Letsdoit

So do you mean that the UK reviews the Australian return and will also tax the mortgage interest deduction as well(because they’ve applied their rules)? Also could I not just get a new mortgage in AU before I go and get the equity out of the house? Then but a house with that cash in the UK?

Thanks for the replies everyone. My understanding of the tax rules is a bit fuzzy. So is it that the AU property is assessed under the AU tax rules? And then the AU tax return is then given to the UK? So basically can I still offset the expenses of the interest part of the AU mortgage? In the UK you can’t deduct the mortgage interest expenses can you? Does the UK then apply its tax rules over the top of the AU one and charge you more tax as a result? Hope that makes sense!

Hi there, Does anyone here who is a dual Citizen of the UK and Australia own property in both countries? Is it a good idea investment strategy wise? I currently have a principal place of residence in AU and am thinking to try to refinance before I go back to live in the UK, rent out my place and use the equity to purchase a place to live in the UK. So the one in AU would end up a long term investment property. The challenge I have is if I sell the AU property I will never be able to afford to buy back into this area if I did want to come back. Does anyone have any insight into all of that? Does anyone here own a property in each country or do you think it’s better to sell up completely before moving? thanks

I am British and have lived in Australia for the last 20 years. I am thinking to go and live with my parents in the UK until the pandemic is over. At this stage I’m not sure if I want to make the move permanently however I’d say at least for the next two years while my little one is still so young. It could be that I want to stay there or possibly come back to Australia. I have a couple of financial questions and tax residency questions - can anyone help? if I own a principal place of residence in Australia that would be positively geared if I rented it out. If I earn income in the UK does that automatically make me a resident of the UK for tax purposes? If I then wanted to sell the Australian property would I then lose any ‘principal place of residence’ tax concessions? Ie should I sell this property before going to the UK? Or can I say I’m on a holiday for the first couple of years? If I say I’m on a holiday does that mean I can’t work in the UK for that time? Or get a bank account, NHS etc? I also have some cash in my old business - if I want to pay it out as dividends while I’m away but somehow I’m a UK tax resident, what then? Also does anyone know my chances of getting an exemption to fly if my intention is to go home for at least a year?