This is a bit of a long question, and I’m aware I have to pay and get some professional advice on it. So please let me know of any good professional house or person I should contact and pay for their expertise. (quite happy to do that) but can some of you who have done it, give me some advice and your experiences of it. My topic is TRANSFERRING MONEY.

We are off to Oz in February and hope to sell our house in the UK some time this year. We are not taking all our savings over in February. We are avoiding the banks as advised and using a good Exchange House known to us all. With the pound in the gutter at present, I’m hoping to drip feed money over as and when we need it, and transfer a gig lump or two when or FI the pound goes up to an acceptable level. However I have been told that I have just 12 months to transfer all my funds over to Australia or I will be liable to taxation on any funds I bring over after 1 year from entering the country? So if for example I have not sold my house by next February, I pay tax? Also what about our savings, will they tax that as well? Are we talking CGT here at 25% ?

Finally, I’m also told I would pay CGTax on any money brought in after my activation arrival, that being the difference in the rate of exchange between initial entry and any increased rate thereafter.

I have overlooked this aspect of the migration thinking I would be taxed only on earnings I made if working in Australia. Have Australia and the UK got reciprocal Taxation policies and tie ups? Do they log each other’s citizens and exchange all details or what? How serious a situation is this?

I have no problem paying my taxes, I just need to know what to expect. Can anyone recommend Good Professional advice?
Marca

I think you have been told a load of crap !

Get some professional advice.

http://www.gomatilda.com/contact.cfm

GoMatilda can offer financial adice on such things and may charge a fee.

quote:

Originally posted by Colin Hanna:
I think you have been told a load of crap !

Get some professional advice.

http://www.gomatilda.com/contact.cfm

GoMatilda can offer financial adice on such things and may charge a fee.

I am sorry Colin, I didn't mean to cause any offence. I didn't know if the advice was correct or as you put it wrong. Thank you for taking the time to reply and once again my apologies.
Marca

Its a bit of a minefield, and I don't think it has ever been understood by the ato , or tested.

I would stay that 99.99% of individual would not declare it.

Alan ( gomatilda ) may have a better understand of current tax case law etc.

The answer to your question has not been resolved but was the subject of a very lengthy discussion on this forum. This is the url

http://gomatildaforums.com/eve/forums/a/tpc/f/572600414...761084702#6761084702

If it does not work then do a find with the word forex and you will get it.

Bottom line is that I think the ATO has made some bad legislation but the intention is not to capture private individuals transferring their own money.

On a separate note you need to be aware that if any of your UK assets that you leave behind awaiting the drip feed were to produce income while you were in Oz then that income will be subject to tax in Australia and may also be subject to tax in the UK with the double tax treaty coming into play somewhere down the line.

You have 6 years to sort out the sale of your main residence which will remain tax free in both UK and Oz.

The whole area of having assets in the UK can be a minefield as stocks, shares and life policies are affected by the Foreign Investment Fund and Foreign Life Policy rules under Oz tax.

Unless you have time to spend getting to grips with UK and Oz taxation I would suggest that a full discussion with Alan would be advisable as he is a UK qualified accountant who is up to date on the Oz tax scene and more.

thank you all my dear for the good and relevant information. you good guys