Dorsetgirl1 Posted February 18, 2012 Share Posted February 18, 2012 Hi My husband and I have just been granted perm res as we had a 457 visa. Anyone know what tax implications this will have for us as we have savings(ISAs etc) in the UK and also rent out a property. Not sure where we will be taxed now and if we lose our tax earning threshold in the UK Link to comment Share on other sites More sharing options...
scuffythetugboat Posted February 18, 2012 Share Posted February 18, 2012 You will certainly come under the very watchful eye of the ATO to whom you must declare all your worldly income. However, any tax you pay in the UK is taken into account so that you are not taxed twice. A visit to an Australian tax accountant would be wise. Link to comment Share on other sites More sharing options...
Alan Collett Posted February 18, 2012 Share Posted February 18, 2012 You retain an entitlement to a UK personal allowance given you are a UK citizen. However, your worldwide income is assessable in Australia from the date you were granted permanent residency visas - and your UK personal allowance is immaterial to whether the UK income is taxable in Australia. For the 2011/12 Aus tax year you will have to split your UK source income into that received while you were a temporary visaholder (when it is not taxable in Australia), and that received on or after the date you were granted p/r visas (when it is). See also: http://www.gmtax.com.au/downloads/ Best regards. Link to comment Share on other sites More sharing options...
Guest oldmarried Posted February 18, 2012 Share Posted February 18, 2012 Am I right in thinking you also will have a capital gains tax issue on your UK property when you dispose of it. The taxable gain is calculated on the increased difference of value between when pr was granted and when you dispose of it Link to comment Share on other sites More sharing options...
Alan Collett Posted February 19, 2012 Share Posted February 19, 2012 Am I right in thinking you also will have a capital gains tax issue on your UK property when you dispose of it. The taxable gain is calculated on the increased difference of value between when pr was granted and when you dispose of it Also depends on whether the property being let is a former main residence, and whether you own a property in Australia. In Australia there is a 6 year letting exemption for a former main residence - see the ATO website - or discuss with a good accountant! Best regards. Link to comment Share on other sites More sharing options...
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