janieco Posted January 26, 2013 Share Posted January 26, 2013 Hi all, my parents have recently moved back to the U.K. after living in Oz for 38 years. They each recieve an Oz aged pension and a small U.K. aged pension. Today they went to their local bank to discuss their options for term deposits and their advisor was concerned that their Oz pension would be considered taxable income with in the U.K. Can anyone advise regarding this please. Their pensions are the only income they have. They own their U.K. home. Cheers Janieco :wink: Link to comment Share on other sites More sharing options...
patsmb Posted January 27, 2013 Share Posted January 27, 2013 Yes I think it is counted as taxable income but if they are over 65 then there is a higher tax allowance to be had because of their age I have just received ,in Oz , a form to fill out for the UK tax department ,it was sent as I have just turned 65 Did your parents get an increase in thier UK pension when they went back as my understanding (this comes from the UK pensions o/s service ) is that there would be an increase if not full UK pensions payable when we go back later this year When we have been there on holiday in recent years we have told the DHSS and had an increase because we were in the Uk I am wading through all of the paperwork on both sides of the pond before we move and would be interseted to hear how your parents get on Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 27, 2013 Share Posted January 27, 2013 Why not just ring HMRC and ask them? [h=3]HM Revenue & Customs: Home Page[/h]www.hmrc.gov.uk/Cached - SimilarShareShared on Google+. View the post. You +1'd this publicly. Undo Includes information about the UK's customs and tax department and includes the prototype on-line VAT (Value Added Tax) returns system. Self Assessment - VAT - Log in to HMRC Online Services - HMRC Online services Link to comment Share on other sites More sharing options...
Alan Collett Posted January 28, 2013 Share Posted January 28, 2013 Why not just ring HMRC and ask them? => Because advice from Government Departments can't be relied upon. With all due respect to our public sector friends. Best regards. Link to comment Share on other sites More sharing options...
Alan Collett Posted January 28, 2013 Share Posted January 28, 2013 Hi all, my parents have recently moved back to the U.K. after living in Oz for 38 years. They each recieve an Oz aged pension and a small U.K. aged pension. Today they went to their local bank to discuss their options for term deposits and their advisor was concerned that their Oz pension would be considered taxable income with in the U.K. Can anyone advise regarding this please. Their pensions are the only income they have. They own their U.K. home. Cheers Janieco :wink: Hi Janieco. Yes, your parents can reasonably anticipate that an Australian pension that was tax free in Australia is taxable once they become tax resident in the UK. Best regards. Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 28, 2013 Share Posted January 28, 2013 Why not just ring HMRC and ask them? => Because advice from Government Departments can't be relied upon. With all due respect to our public sector friends. Best regards. What? You mean if you were to ring a Government department, they will DELIBERATELY lie to you? Get away with you! Where have you been living? We are not talking 3rd World countries where you expect to have to pay a bribe to get anything done. I ring Government departments all the time, both in Australia and the UK. I rang the Immigration Department here in Sydney to try and solve a query from someone on PIO. The guy I spoke to was very helpful. Last week, I rang a guy from the Commonwealth Super Fund with a query regarding my account. No problem. He was helpful and solved my query. If you cannot rely on what the civil servants tell you, why on Earth would you rely on an 'amateur' on PIO, with no technical/legal experience? Are you saying that if you had a query regarding renewal of, say, a driver's licence, or a passport, or a query about your NHS number, NI number, TFN (in OZ) the releveant department would not tell you the correct information? That is ridiculous. Link to comment Share on other sites More sharing options...
rammygirl Posted January 28, 2013 Share Posted January 28, 2013 Because the people on the phone lines are not qualified accountants or immigration agents. The rules are very complex for both and change all the time. Many people on these forums have been given well meaning but incorrect advice from these sources. Alan Collett is both a qualified immigration agent and accountant in Oz and the UK. Ring immigration with the same issue on different days and you can get two completely different answers - go figure I know which advice I would rather rely on. Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 28, 2013 Share Posted January 28, 2013 I shall try and remember that. NEVER approach a Government department directly. ALWAYS (and pay) for an agent to do it for you. When I came to Australia I did everything myself, telephoning or writing the relevant offices. Using an agent is like throwing your hands up in the air and saying 'it's all too frightening for poor me.' Link to comment Share on other sites More sharing options...
rammygirl Posted January 28, 2013 Share Posted January 28, 2013 All I am saying is to double check information given verbally, especially if it is important. Get it in writing if possible. I too have e-mailed tax offices for information and been referred correctly to the relevant regulations. But just ringing you do not know who you get, and most try to be helpful so can give misleading advice. I did all of my visa applications without an agent as I could read and understand all the information. BUT my tax affairs are more complex so I employ an accountant. Horses for courses. You will see many posts on here where people have clearly been given poor advice from immigration. They can help with general inquiries, the sort of thing you can find on the website but not more complex inquiries, for this you would need a CO to respond. Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 28, 2013 Share Posted January 28, 2013 All I am saying is to double check information given verbally, especially if it is important. Get it in writing if possible. I too have e-mailed tax offices for information and been referred correctly to the relevant regulations. But just ringing you do not know who you get, and most try to be helpful so can give misleading advice. I did all of my visa applications without an agent as I could read and understand all the information. BUT my tax affairs are more complex so I employ an accountant. Horses for courses. You will see many posts on here where people have clearly been given poor advice from immigration. They can help with general inquiries, the sort of thing you can find on the website but not more complex inquiries, for this you would need a CO to respond. I use an accountant too, at least for my Aussie tax affairs. In fact I highly recommend that anybody who comes to Australia should do it as a matter of course. Unlike the UK, where unless your tax affairs are complicated, eg by having investment properties, stocks, foreign income, your tax return will be completed automatically by HMRC. Plus, if you do use a tax agent/accountant, his fee is tax deductable. With my UK tax affairs, I found it easy enough to do it myself. After the first couple of years living back in the UK, HMRC accepted that I was 'domiciled' in Australia, although resident and ordinarrily resident in the UK, and consequently, I no longer had to complete self-assessment tax returns for my foreign (Australian) income. Since I have returned to Australia, I have continued to complete my UK tax returns myself, on line. Possibly, I SHOULD be using a UK accountant for much the same reasons as I recommended people coming to Australia use one here. Whenever I ring HMRC I have no problem getting 'straight' answers from them. Link to comment Share on other sites More sharing options...
Alan Collett Posted January 28, 2013 Share Posted January 28, 2013 MaryRose02 - I have dealt with Government Departments for over 2 decades, so I think I speak with a reasonable amount of experience. While the people in HMRC/the ATO/DIAC/etc are pleasant and will be doing the job to the best of their abilities the reality is that if they give incorrect advice you are on your own. All care and no responsibility is the phrase that comes to mind. Those of us on the other side of the fence have an obligation to our clients and are at risk of a claim and a failing reputation if we give incorrect advice. Best regards. Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 28, 2013 Share Posted January 28, 2013 MaryRose02 - I have dealt with Government Departments for over 2 decades, so I think I speak with a reasonable amount of experience. While the people in HMRC/the ATO/DIAC/etc are pleasant and will be doing the job to the best of their abilities the reality is that if they give incorrect advice you are on your own. All care and no responsibility is the phrase that comes to mind. Those of us on the other side of the fence have an obligation to our clients and are at risk of a claim and a failing reputation if we give incorrect advice. Best regards. I agree and I don't have any problem with someone approaching a professional like yourself. I just don't understand why people ask questions on here BEFORE they have even attempted to contact the relevant Government department, and why they think that 'amateurs' like myself will know any better? If I feel like helping someone with a question I have to Google the information like anybody else can. There are some problems - Tax DEFINITELY - where it is wise to see a professional. I've post lists of Government departments on here before which provide the links for just about anything you need when you are migrating - ATO for your TFN, Medicare, Centrelink, RTA, Immigration, City Rail, City Bus etc. etc but nobody takes any notice. Then they ask the same dumb questions on here. I thought half the excitement of coming to a place like Australia was carrying out a bit of research? Link to comment Share on other sites More sharing options...
Alan Collett Posted January 28, 2013 Share Posted January 28, 2013 Yes, I hear what you say. I submit though that many who want to move to Australia are simply too busy to do research of the type mentioned - while I acknowledge that a Google search is pretty quick! Best regards. Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 29, 2013 Share Posted January 29, 2013 Yes, I hear what you say. I submit though that many who want to move to Australia are simply too busy to do research of the type mentioned - while I acknowledge that a Google search is pretty quick! Best regards. Yes, I agree, Alan and I've probably been a bit kranky this weekend. I've been seething about anti-British comments in letters to the Sydney Morning Herald on Australia Day. I have replied to them (not published yet!) What I would like to see on here is someone saying 'I contacted the ATO about obtaining my TFN but there is something I still don't understand and I wonder if anybody on here could advise me?' NOT 'Can anybody tell me how I get a TFN?' Link to comment Share on other sites More sharing options...
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