NHS coverage for spouse on visa?

[Marisawright]

My OH's spouse visa for the UK has come through - hurrah! It took less than a month!

 

We were so sure it would take the three months they quoted, that we can't change our plans now, so we still won't be leaving till mid-April.

 

One question though - the visa is marked "no access to public funds", which I sort of expected - I knew he couldn't claim benefits etc. However, does that mean he also can't get treated on the NHS? I know that while he's a resident of Australia there's a reciprocal agreement with Medicare, but once he becomes non-resident does that mean he can't get free health care at all?

 

We thought we'd covered all the tax implications etc but that's one thing I hadn't thought about...

[ramot]

My OH's spouse visa for the UK has come through - hurrah! It took less than a month!

 

We were so sure it would take the three months they quoted, that we can't change our plans now, so we still won't be leaving till mid-April.

 

One question though - the visa is marked "no access to public funds", which I sort of expected - I knew he couldn't claim benefits etc. However, does that mean he also can't get treated on the NHS? I know that while he's a resident of Australia there's a reciprocal agreement with Medicare, but once he becomes non-resident does that mean he can't get free health care at all?

 

We thought we'd covered all the tax implications etc but that's one thing I hadn't thought about...

 

 

i really don't know the answer, but out of interest we aren't entitled to NHS either when we go back every year, so perhaps it's not automatic.

 

our scenario:

 

Both British

 

have not lived properly in UK for over 20 years.

On a long term self funded temporary retirement visa in Oz, with no access to Medicare.

therefore no reciprocal entitlement to NHS.

 

sounds absolutely unbelievable I know.

 

All our income comes from UK, we both have a state pension and we pay our tax in UK.

so anything is possible.

would understand if that literally means benefits, but as you say will be interesting if that extends to NHS.

[BillW]

i really don't know the answer, but out of interest we aren't entitled to NHS either when we go back every year, so perhaps it's not automatic.

 

our scenario:

 

Both British

 

All our income comes from UK, we both have a state pension and we pay our tax in UK.

 

 

 

Thats interesting - my wife receives UK pension and must declare that in Aussie tax return.

 

I thought that under the Double Tax Agreement you'd have to pay tax in the country you are resident in.

 

Am interested because am going the other way and trying to understand tax on Aussie pensions - see other threat that has had lots recent activity from me - may be of interest to you.

 

Bill

[Marisawright]

I thought that under the Double Tax Agreement you'd have to pay tax in the country you are resident in.

 

 

That's a common misconception. In general, you are required to pay tax on income in the country where it is earned, even if you are non-resident.In fact, that was our biggest surprise - that non-residents are often taxed more harshly than residents. It's the reason we had to dispose of our Australian investments (i.e. property, shares, self-managed super fund) - the tax on those as a non-resident is horrendous.

 

So, someone earning income in the UK but resident in Australia (or vice versa) would normally have to submit tax returns in both countries. There are exceptions - for instance, you don't need to do a tax return if the income is already taxed at source.

 

The Double Taxation Agreement simply allows you to declare the foreign tax paid on your Australian tax return so Australia doesn't tax it again.

[ramot]

We definitely pay our tax in UK although resident for over 12 years in Oz on a temporary retirement visa.

we don't have to submit anything here, and have a letter stating that.

as British tax payers with all our income from UK we aren't taxed more harshly in any way, unlike from what you have said about moving from Oz to UK in retirement.

Let's hope that doesn't change.

there are new rules being introduced I think in April, about owning property in UK, but luckily the tax on the increase in property value, starts from then, and with our properties in joint names, the increase in value will be shared, so shouldn't impact to much.

[Marisawright]

We definitely pay our tax in UK although resident for over 12 years in Oz on a temporary retirement visa.

we don't have to submit anything here, and have a letter stating that.

as British tax payers with all our income from UK we aren't taxed more harshly in any way, unlike from what you have said about moving from Oz to UK in retirement.

 

 

We would be taxed more harshly not because we're in the UK, but because we will be classed as non-resident in Australia. Australia taxes non-residents with Australian investments more harshly than residents.

 

I don't think that's the case with every country. So it may be that the UK doesn't penalise non-residents, or perhaps the fact you're not deemed resident in Australia (which is an unusual situation) means that you're still deemed resident in Britain and are taxed at resident rates.

Edited February 8, 2015 by Marisawright

[ramot]

There aren't many of us left in Oz apparently on the old 410 retirement visa, (ended at least 7 years ago), and I don't know if other retirees on the newer 405 investment retirement visa are in the same situation as us? as, as far as I know, they have to invest in OZ. So will have income here, but we are definitely not penalised in any way tax wise for being non resident in UK, on our income from pensions and property.

again have no idea about other parents who retire to Oz from UK, to be near family and who are permanent residents or citizens in OZ are in the same tax position as us, if all their income comes from UK, would be interesting to hear if they are treated differently?

it pays us to be taxed in UK as we both have the tax free allowance increased with age.