tax on money moved here

[Guest Dan]

Hi,

 

Does anyone know if money that is moved over here from the Uk now will be taxed here, as the australian tax year ends in June. I'm obviously watching the exchange rates with interest at the moment and trying to work out when is the best time to move money, as I'm sure thousands of you out there are. I've never read so many business sections of the newspaper before!

 

Thanks to any replies and hope your all enjoying the move/moves.

 

Dan

[Guest John Sydney]

Interest only will be taxed on the money sent in so long as the interest is earned in Australia - if anybody asks the money is from "Uncle fred who died" Not that I have ever been asked about money being shipped in

[Guest Pinhead]

Interest is taxable in the country that you are a taxable resident. Usually if you spend 6 months in any one country you become a taxable resident.

In the UK you can elect to have interest paid gross but you still need to declare it on the appropriate tax return.

In Australia interest is taxed at 10% for a non resident or paid gross if you are a resident who has provided a TFN number.

If you are a taxable resident in Oz you need to declare interest earned on an overseas account on your oz tax return. You can obtain tax relief if it has already been taxed at source.

 

Money transferred between countries is not taxable as it is not income or a capital gain, however there are provisions in the Oz taxation system to tax you on exchange gains on principle values greater than $250K. I believe the base rate is locked in when you become a taxable resident but you would need to clarify this.

[Guest AndrewL]

Interest is taxable in the country that you are a taxable resident. Usually if you spend 6 months in any one country you become a taxable resident.

In the UK you can elect to have interest paid gross but you still need to declare it on the appropriate tax return.

In Australia interest is taxed at 10% for a non resident or paid gross if you are a resident who has provided a TFN number.

If you are a taxable resident in Oz you need to declare interest earned on an overseas account on your oz tax return. You can obtain tax relief if it has already been taxed at source.

 

Money transferred between countries is not taxable as it is not income or a capital gain, however there are provisions in the Oz taxation system to tax you on exchange gains on principle values greater than $250K. I believe the base rate is locked in when you become a taxable resident but you would need to clarify this.

 

Hi, there's various tax residence statuses and you can be taxed in several countries on the same income.

 

Cheers, Andrew