Advice on Aus tax implications of closing my UK company

[Gothnet]

Hi there,

Hopefully this is a quick and easy answer from someone with a bit of knowledge in the area. I was a Ltd company director in the UK for 9 years and I put my company into voluntary liquidation before I left the UK last August. There was a final payout of the remaining funds in the company before we left (literally the day before we flew out).

I will be paying UK-relevant taxes on everything and am doing my self-assessment with my UK accountant right now. As it was a liquidation that sum will be handled under capital gains (I think, I'm not an expert!)

What I need to know - is there any Australian tax liability here? Or is this not relevant to the ATO as it was all completed before I became resident in Australia?

Thanks for your help

[DIG85]

No Aus tax.

[Ken]

On 20/04/2022 at 13:37, Gothnet said:

Hi there,

Hopefully this is a quick and easy answer from someone with a bit of knowledge in the area. I was a Ltd company director in the UK for 9 years and I put my company into voluntary liquidation before I left the UK last August. There was a final payout of the remaining funds in the company before we left (literally the day before we flew out).

I will be paying UK-relevant taxes on everything and am doing my self-assessment with my UK accountant right now. As it was a liquidation that sum will be handled under capital gains (I think, I'm not an expert!)

What I need to know - is there any Australian tax liability here? Or is this not relevant to the ATO as it was all completed before I became resident in Australia?

Thanks for your help

Based on the fact that you've said this all occurred before you left the UK and not after you arrived in Australia this would all be outside the scope of Australian taxation. It's the foreign income of a foreign resident. Perhaps you are confusing your immigration status (where you might well be a permanent resident before ever setting foot in Australia) with your tax residency which doesn't start until you arrive.

[Gothnet]

Thanks, I just wanted some reassurance that it wasn’t going to get complicated. I got everything signed and sealed before leaving the UK specifically to avoid any cross-border complications. My accountant seemed unsure.