JoannaAch Posted November 3, 2013 Share Posted November 3, 2013 Hi, I am moving to Au in around 4 months, I already have A NAB account and now I am wondering when will be the best time to transfer my savings (from Germany) via Moneycorp. I read somewhere that 10% tax may be deducted from money sent from overseas if the owner is not an Au resident. Is that true? I can always transfer the money after I arrive in Australia... Any advice is highly welcome:) Quote Link to comment Share on other sites More sharing options...
Toodolou Posted November 6, 2013 Share Posted November 6, 2013 bump Quote Link to comment Share on other sites More sharing options...
Rupert Posted November 6, 2013 Share Posted November 6, 2013 Hi,I am moving to Au in around 4 months, I already have A NAB account and now I am wondering when will be the best time to transfer my savings (from Germany) via Moneycorp. I read somewhere that 10% tax may be deducted from money sent from overseas if the owner is not an Au resident. Is that true? I can always transfer the money after I arrive in Australia... Any advice is highly welcome:) No of course there is no 10% deduction for transferring money, it is your money you can transfer it where you want. Quote Link to comment Share on other sites More sharing options...
Notts Posted November 6, 2013 Share Posted November 6, 2013 There is a withholding tax of 10% that banks have to deduct from interest paid to non-residents, which you may have seen reference to. Quote Link to comment Share on other sites More sharing options...
JoannaAch Posted November 7, 2013 Author Share Posted November 7, 2013 Thanks! In that case I will transfer my savings as soon as possible:) Quote Link to comment Share on other sites More sharing options...
fensaddler Posted November 7, 2013 Share Posted November 7, 2013 Hi,I am moving to Au in around 4 months, I already have A NAB account and now I am wondering when will be the best time to transfer my savings (from Germany) via Moneycorp. I read somewhere that 10% tax may be deducted from money sent from overseas if the owner is not an Au resident. Is that true? I can always transfer the money after I arrive in Australia... Any advice is highly welcome:) Take some advice from a broker. They will help you time your transfer to maximise your exchange rate. If you don't need it for four months, you can give the broker instructions to move your money when the rate reaches a given figure, and you have a four month window for that to happen. No need to rush, especially if you get less money over here as a result!! Quote Link to comment Share on other sites More sharing options...
Alan Collett Posted November 7, 2013 Share Posted November 7, 2013 There is a withholding tax of 10% that banks have to deduct from interest paid to non-residents, which you may have seen reference to. The OP should check the rate of withholding if s/he is a tax resident of Germany - the 10% rate pertains to UK residents receiving Aus source interest income, but the rate can differ for residents of other countries. Not sure without researching whether there is a Tax Treaty between Australia and Germany which specifies the rate of withholding. Best regards. Quote Link to comment Share on other sites More sharing options...
JoannaAch Posted November 8, 2013 Author Share Posted November 8, 2013 The OP should check the rate of withholding if s/he is a tax resident of Germany - the 10% rate pertains to UK residents receiving Aus source interest income, but the rate can differ for residents of other countries. Not sure without researching whether there is a Tax Treaty between Australia and Germany which specifies the rate of withholding. Best regards. Hi Alan, Thanks for your help. But the withholding tax is paid only from the interest, not from the whole amount that I transfer? Quote Link to comment Share on other sites More sharing options...
Alan Collett Posted November 8, 2013 Share Posted November 8, 2013 Confirmed - the withholding tax only applies to the interest. Best regards. Quote Link to comment Share on other sites More sharing options...
Skippy1 Posted November 8, 2013 Share Posted November 8, 2013 Is there a tax on Interest earned on savings in banks for someone on PR Visa in Australia. In Ireland we have a tax called Deposit Interest Retention Tax lovingly referred to here as "DIRT" tax :arghh: am i looking forward to not seeing that again hopefully this tax now stands at 45% in total on any interest earned on your savings held in bank accounts Quote Link to comment Share on other sites More sharing options...
FamilyGuys Posted February 25, 2014 Share Posted February 25, 2014 Skippy1, I'd also appreciate advice on this. We're currently working overseas but have PR and hope to move to Aus in about a year and a half. We're putting money into a savings account here but now I'm worried we will get taxed on these earnings once we transfer them over in about a year. Does anyone know the situation? 10% seems like a lot! Quote Link to comment Share on other sites More sharing options...
Skippy1 Posted February 26, 2014 Share Posted February 26, 2014 The only tax is on any/the interest "earned" on your savings once you deposit it in the bank in Aus, not on the intital deposit as mentioned in the previous posts and that tax seems to be 10% which after Ireland is very acceptable Quote Link to comment Share on other sites More sharing options...
FamilyGuys Posted March 1, 2014 Share Posted March 1, 2014 Thanks, much clearer now! I also have some inheritance money (which did not attract iHT in the UK). Does anyone know whether I'm likely to pay tax on that if I transfer it to an Aus savings account? Quote Link to comment Share on other sites More sharing options...
Sandyp Posted March 3, 2014 Share Posted March 3, 2014 Thanks, much clearer now! I also have some inheritance money (which did not attract iHT in the UK). Does anyone know whether I'm likely to pay tax on that if I transfer it to an Aus savings account? No inheritance tax. No transfer tax. Quote Link to comment Share on other sites More sharing options...
FamilyGuys Posted March 8, 2014 Share Posted March 8, 2014 Thanks SandyP. Maybe you could help me with another query? My sister, who lives in Aus has suggested she set up a savings account in her name for me to transfer my inheritance money as I'm not likely to be there for at least a year and a half. I'm not clear whether this would impact on her financially or affect her tax allowance? Any ideas? thanks ! Quote Link to comment Share on other sites More sharing options...
Alan Collett Posted March 9, 2014 Share Posted March 9, 2014 It will impact you if she finds herself in difficulty financially - not an advisable strategy without a suitable level of comfort for you, in my view. Best regards. Quote Link to comment Share on other sites More sharing options...
FamilyGuys Posted December 28, 2014 Share Posted December 28, 2014 Hi Alan, sorry I thought I'd replied to this. Thanks for yr advice. We're thinking of moving to Geelong - if we need some financial advice I will get in touch. Go Matilda organised our visas ages ago and I was v impressed so ... :-) Quote Link to comment Share on other sites More sharing options...
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