Ken

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Ken last won the day on September 28 2016

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  1. Work for a uk company but will be 190 PR - tax issues?

    In theory your UK employer should register with the Australian Tax Office as a withholder and deduct Australian Tax (and pay Super on top of your salary). In practice that's not going to happen - they'll realise the red tape is too difficult and decide not to keep you on. Another option is for you to be self-employed in Australia. You will need to obtain an ABN (Australian Business Number) which you can't get until after you've moved as you'll need your TFN (Tax File Number) first and those are only sent to Australian addresses. You would treat the UK earnings as Australian income just as any exporting business would (it is Australian income because that is where the work is done). A third option is to remain on the UK payroll (once you've submitted your P85 when you leave the UK then HMRC will issue a new tax code where no tax is deducted while you remain abroad) and simply report the amount earned on your Australian Tax Return as foreign income. That's not strictly the right way to do it (as I said in the previous paragraph it should really be Australian income) but provided you're not doing it to avoid tax it won't be a big deal to the tax man - but because Foreign income is regarded as passive income rather than earned income it might cause you issues down the track (with obtaining mortgages for example - not that obtaining a mortgage is easy if you're self-employed).
  2. Pensions clarity

    No one under the age of 55 can transfer a UK personal pension to Australia. It used to be the case that you could, but HMRC tightened up the rules when they noticed that under very rare extenuating circumstances it's possible to access the funds in an Australian Super Scheme while under the age of 55 which is in breach of UK pension rules. Even if you were able to transfer your pensions if they're defined benefit (aka Final Salary) schemes it's rarely worth the gamble of converting them to cash and hoping you can invest it for more than the scheme guaranteed. Even if they're defined contribution schemes you don't have any choice, you can't transfer them. Your employer in Australia will have to contribute 9.5% on top of your salary to a Superannuation Fund of your choice. Even if you return to the UK that will have to remain here. You can't access it early (despite what I said in the first paragraph as those circumstances are extremely rare).
  3. Renting renting out house in UK.

    You haven't said what type of visa you're coming on. If you're a permanent resident (or citizen) living in Australia you pay tax in Australia on your worldwide income (but you can offset tax paid overseas) regardless of whether you bring it to Australia or not. If however you are only a temporary resident you won't need to pay tax on your foreign income.
  4. Money

    It's your bank's job to report transfers over $10,000. No need for you to do so. Cash of course doesn't go through the banking system which is why you have to report that.
  5. UK Rental Income and Australian Tax

    You may be able to claim some depreciation - but you need a Depreciation Report to do so. See the thread "Depreciation report on UK rental property". I don't know if the cost of obtaining the report (which should itself be claimable) will be worthwhile but it looks as if Alan Collett may be in a position to advise. Other than that have you incurred any expenses on your UK rental property that you haven't been able to claim on your UK tax return?
  6. Hi Manxhaven, I have to qualify this my saying that I have no personal experience of either myself or a client making such a withdrawal, but I am confident that because you have been outside of the UK for 5 full tax years and your QROPS was transferred over 5 full tax years ago that whatever you do with your Super is outside the scope of UK taxation. Ken
  7. Commonwealth or Westpac?

    No matter who you bank with you can get cash out at a Woolworths till fee free and without needing to buy anything (most other Supermarkets will let you take cash free of fees too but they generally expect you to buy something).
  8. Deciding on a Bank Account

    Yes, most supermarkets let you withdraw cash at the same time as paying but Woolworths are the best as their self-service tills are set up to dispense cash without you needing to buy anything (or you can pay for your groceries with your credit card and take out cash with your debit card in separate transactions - something that most supermarkets wouldn't want as it's two sets of fees for them).
  9. Are UK child seats any good in Oz

    Target, Kmart and BigW have already been mentioned - they're all good discount department stores and if they've got the seat you want will have it at a good price - but if you want a specialist store (equivalent to Mothercare in the UK) there's Baby Bunting and of course there's Babies R Us (at Toys R Us same as in the UK). PS - Am I the only one who asks "since Toys R Us sells toys then shouldn't Babies R Us sell babies?"
  10. Are UK child seats any good in Oz

    No. Even booster seats have to comply with Aus standards. There is an actual difference in that both seats and booster seats have to have a top tether in Australia (which no one else in the world uses) but even if there was no difference you'd still need the Australian piece of paper to comply with the law.
  11. Going back after getting a PR for 5-7 years

    Trips out of the country do affect your eligibility for citizenship in that you are only allowed to be outside of Australia for 12 months in the 4 years preceding application for citizenship including no more than 3 months in the final year. Was Dec 2015 the first time you came to Australia? If you came on a visa activation trip you can use that to start your 4 year period of residency earlier than Dec 2015 but (including the two months you've already been out of the country plus 10 months before Dec 2015 to take you to the maximum 12 months outside Australia in the preceding 4 years) the earliest you could apply for citizenship would still be Feb 2018. Note that it doesn't matter if you were actually outside Australia 4 years before your citizenship application provided you'd been before that and you meet the residency requirement across the 4 years.
  12. Temporary residents pay the same tax on Australian Income as Permanent residents, you are clearly getting them confused with Non residents (who do get hammered with tax on Australian income). You first have to work out if you are a resident or a non-resident (that determines how you are taxed on your Australian income) and then if you find you are a resident you then need to work out if you are a permanent resident or a temporary resident (as that determines how you are taxed on your foreign income). While the ATO don't have to follow Immigration's notion of who is a permanent vs. who is a temporary resident a 457 holder shouldn't be paying tax on their foreign income.
  13. Life insurance

    You need to ask your insurance company. Some (Aviva for example) will still be happy to cover you. If they let you keep it then keep since if you've had the policy for a while it will be cheaper than any comparable Australian Insurance that you can take out now. I'm not saying the Aussie policy would have been worse value if you'd taken it out 10 years ago - if that's how long you've had your UK policy - but that isn't an option to you now. It can be difficult to get a stand alone life insurance in Australia (the policies are much more restrictive than in the UK - rather than just adding a loading they refuse cover altogether is there's anything out of the ordinary) but the Superannuation funds all have policies which are easy to get at the point you join the Super fund (although these can be less flexibility about the amount of cover you can get and the cover normally reduces with age at the same time as the premium goes up with age).
  14. Changes to pathway to Citizenship

    While there are obviously going to be differences since they both represent constituencies that's not going to be one of them.
  15. Changes to pathway to Citizenship

    Actually it is. If you born in Australia and both your parents were born in Australia and all four of your grandparents were born in Australia then (and only then) is it safe to assume you are not entitled to any other citizenship and can stand for the Senate. In any other circumstance you need to take some action to renounce your citizenship entitlements before you stand for Senate. Of course Section 44 is ludicrous - not to mention highly undemocratic - but it is simple.