winter1

Not sure it is paid out of current taxation: https://en.wikipedia.org/wiki/National_Insurance_Fund

If you are under 55 the UK would tax you at 55% except under certain conditions https://www.gov.uk/early-retirement-pension/personal-and-workplace-pensions

When you leave the UK you will need to fill in HMRC tax form P85. This will stop you paying tax on your UK aged pension in the UK it will then be taxed in Australia after you have reached the tax free threshold. This is the case regardless of where it is banked. However the amount that you receive could be taxed annually in your tax return. you should talk to an Australian accountant with regards this. If you have certain occupational pensions from the UK mainly civil service pensions these could still be taxed in the UK but you will not pay tax twice due to the double tax treaty and you normally keep your UK tax free threshold. I hope you are aware that your aged pension will never increase each year after you arrive in Australia as Australia along with many Commonwealth countries is a frozen destination. Also inform your occupational pension scheme if you are in one you are going to a frozen country as they will by law have to make up part of the GMP element of your aged pension. The part they make up is only a small percentage of the increase you will lose each year. please see the links below. https://www.gov.uk/tax-right-retire-abroad-return-to-uk https://www.theguardian.com/money/2015/aug/15/hope-for-expats-uk-pensions

Just one piece of advice from me is find out about your financial status you may have to employ a specialist tax person such as Andrew from Vista or Alan Collett seen on the Money and finance pages of this forum. I have known some find it too difficult once they know the reality. I am not trying to put a damper on just trying to make sure that you consider this aspect as well as the emotional one. if you are going back and you have Australian Superannuation it is tax free in Australia but you will pay marginal rate tax in the UK. The only way round this is to withdraw it from Super before you go and then take it as capital which is not taxed. Although this has it's own problems of where to invest if you have large amounts. You will have to consider your personal situation as regards what income you will receive in the UK either from a UK state pension if you have enough qualifying years (the UK Australia agreement finished in July 2001). If you already have some qualifying years in the UK you can claim yearly credits up until 2001 this may give you a much higher pension. Good luck

Not sure what would happen with a hung parliament. However could we consider a situation where there is a huge Tory majority that will include a greater number of Euro Sceptics which may worsen her bargaining hand as well as threaten her leadership. As I believe the date for final candidates to be accepted for the poll is still a week or so away so nobody can definitely yet look at the bias of many new Tory MPs some replacing retiring members but also those taking opposition seats. This is I suspect now more likely as the Brexiteers have been emboldened. Can you imagine a house full of Redwood and Leigh and Gove supporters. I note that the current Tory MP from my old constituency in the UK is a young rabid Brexiteer having replaced a much more moderate Conservative.

That's what I said it is from the Guardian however there is no such thing as right wing propaganda is there? The rich with all the resources are well able to look after themselves and influence the laws you only have to look at negative gearing. They have far greater disposable income. I am sure that I would rather live in a society that you can freely walk down the street safely without having to live in gated communities with access to good health care. Taxation has to be seen to be fair. I do not believe in Corbyn or in his ability to run the UK sensibly either, but the thought of a UK with a massive Tory majority is not an outcome I would like to see. Have the Tories promised to help the NHS from it's troubles. Beware I remember the days when Margaret Thatcher coasted to victory after the Falklands war. A war which was made necessary due to her own defence cuts that stopped the Royal Navy from the annual deployment of HMS Endurance to the South Atlantic. This made the Argentines think we no longer cared about the Islands. The UK has a serious choice to make but without a clear vision.

I know it is the guardian but I do not believe the richest 1% pay 30% of all tax. VAT and GST are also taxes. https://www.theguardian.com/money/2014/jun/16/british-public-wrong-rich-poor-tax-research

Does she have to get parliamentary approval to relinquish the 5 year fixed term rule?

The first question is the house owned in joint names or are you the only one as the registered owner or is your wife the registered owner. It will also depend on the type of Visa you have PR(possibly liable in Australia) or 457( no liability on assets owned outside Australia). If it is in your name only then there is no liability anywhere if you remain till you sell. My understanding is that if you purchase another house in Australia you then lose the ability to claim main residence allowance which is available for six years in Australia if you are renting another property. The UK liability only gives 18 months CGT residence allowance if you do not buy another property(this is the rule since April 2015). As the property is in the UK the HMRC will have first call then any tax paid in the UK can be offset against any Australian Tax due. You will have a UK CGT tax allowance each this is around £11,100 the Australian side will depend on your Taxable income. https://www.gov.uk/capital-gains-tax/rates-6-april-2016 https://www.ato.gov.au/General/Capital-gains-tax/ Check this with an accountant.

One of the things you will also have to consider is the taxation of this super if you remain in the UK. Currently if you draw your Super in the UK while it can be accessed tax free in Australia over the age of 60. However it is taxed in the UK as income you would pay tax on 90% of this assuming you were above the UK tax free threshold. This is changing in the UK to taxed at 100% but receiving the cash lump sum benefit of 25% tax free. There is one avenue that I believe is available to super accrued up until April 2011( I also believe this includes earnings on this accrued amount post 2011). If you take out a lump sum from your Super that accrued up to this date then you can claim Extra Statutory concession A10 which allows this to be transferred to the UK tax free any comments from anyone who has used this would be of interest. According to my source this has been grandfathered and can be used at any time. an extract from HMRC below. "10.9 Lump sums received from overseas pension schemes and provident funds If you receive lump sum retirement benefits from an overseas pension scheme or provident fund which relate to an employment outside the UK, you will not be charged UK Income Tax or will be charged at a reduced rate. This is by concession (Extra-Statutory Concession A10). What UK Income Tax you are charged will depend on the extent of your foreign service. You will receive a full exemption where, in the employment to which the pension relates: • at least 75% of your total service was abroad, or • your total foreign service exceeds 10 years and the whole of the last 10 years service was abroad, or • your total foreign service exceeds 20 years and not less than 50% of the total service was abroad, including any 10 of the last 20 years. If you do not meet these conditions you will not receive a full exemption. You will be charged Income Tax on the percentage of the lump sum which equals your UK service in the employment."

Hopes for another quick trade deal! http://www.bbc.co.uk/news/uk-politics-38704325 Never mind there is always being first in line for a Trade deal with the USA . Perhaps Trump can smell the blood "America First".

Especially as the UK will need loads of parchment to record new laws as they overturn or replace EU legislation ( yes they still record acts of Parliament on it as it lasts longer than anything else yet invented). Also with no barmen how will they drown their sorrows when it all goes pear shaped? Just like BoJo's book of "how to win friends and influence people".

Yes sorry I meant to say when you first draw the UK State Pension in Australia, so not backdated to when you first received it if you were living in the UK at the time.

I can only answer part of your question. Unfortunately the UK government make no distinction between types of Visa you have in Australia. They will deem you are no longer resident for tax if you live overseas for tax purposes if you meet the criteria set out in the Statutory residence rules. http://www.accountingweb.co.uk/tax/personal-tax/the-new-statutory-residence-test-explained This effectively means that anyone living in Australia on whatever visa has their UK State pension frozen at the level at which they first draw it. I don't know if there are time breaks for periods of UK residence i.e. if you were to return to the UK for 5 or more years this amount would be reset. Time spent in the UK or an unfrozen country for a holiday etc can allow you to upgrade the State Pension to the current levels for the period you are on holiday but you have to apply for it. Also note that any other pensions from an occupational scheme should still increase annually as per the rules of that particular scheme. You may also be entitled to extra increases in these occupational schemes if they make a GMP deduction (for pre 1988 pension component contributions) which takes account of your state pension increases, although in practise this is only a small amount. You have to inform your Occupational scheme that you live in a frozen country and they should automatically adjust the amount. http://www3.hants.gov.uk/pensions/lgps/pensioner-information/lgps-payment-information.htm see the last paragraph re Guaranteed Minimum Pension.

You must have visited different places in the UK to me then. I see much more bad manners in Aus particularly on the roads.