Panic has besieged the Expat community that they may now be subject to tax on their foreign income in Australia as a result of changes in Government policy in the Budget.
The changes announced in the Budget only affect RESIDENT Taxpayers, that is people living in Australia and commuting for short term employment stints overseas.
For anyone that is genuinely LIVING ABROAD there is no change as you are a NON RESIDENT for Tax Purposes and the old Exempt Income Rules did not apply to you in any case.
If you are unsure if your are living in or out of Australia, it is a simple as where is your “HOME”. If your current “LIFE” (for the next few years roughly) is based out of Australia, then it is highly likely you are Non Resident. If you have doubt please do not hesitate to contact us for clarification.
What the change does mean is that anyone currently living in Australia and enjoying the tax Exempt status on 90 plus day overseas assignments or on flexible short term overseas assignment, should seriously consider moving abroad after 1st July to become tax Non Resident rather than continuing to commute and be exposed to Australian tax. For those that travelled less than the 90 days there is no change to the previous treatment as they have been taxable in Australia throughout.
I have put a little article up on our website and you are welcome to pass this email around to your friends as well.
It shows the importance of coming along to our Budget Review Seminar to find out more about this and the other changes announced. We are holding these in Asia, Middle East, UK & USA over May & June so check our schedule and reserve your seat at http://www.aussieproperty.com/Events/Default.aspx
Regards
Steve Douglas
Managing Director
Australasian Taxation Services Pty Ltd
The Aussie Expat Specialists Since 1995 www.smats.net
Found this interesting piece of info:
Panic has besieged the Expat community that they may now be subject to tax on their foreign income in Australia as a result of changes in Government policy in the Budget.
The changes announced in the Budget only affect RESIDENT Taxpayers, that is people living in Australia and commuting for short term employment stints overseas.
For anyone that is genuinely LIVING ABROAD there is no change as you are a NON RESIDENT for Tax Purposes and the old Exempt Income Rules did not apply to you in any case.
If you are unsure if your are living in or out of Australia, it is a simple as where is your “HOME”. If your current “LIFE” (for the next few years roughly) is based out of Australia, then it is highly likely you are Non Resident. If you have doubt please do not hesitate to contact us for clarification.
What the change does mean is that anyone currently living in Australia and enjoying the tax Exempt status on 90 plus day overseas assignments or on flexible short term overseas assignment, should seriously consider moving abroad after 1st July to become tax Non Resident rather than continuing to commute and be exposed to Australian tax. For those that travelled less than the 90 days there is no change to the previous treatment as they have been taxable in Australia throughout.
I have put a little article up on our website and you are welcome to pass this email around to your friends as well.
http://aussieproperty.com/News/Default.aspx?search=1¤t=1&id=9b2895...
It shows the importance of coming along to our Budget Review Seminar to find out more about this and the other changes announced. We are holding these in Asia, Middle East, UK & USA over May & June so check our schedule and reserve your seat at http://www.aussieproperty.com/Events/Default.aspx
Regards
Steve Douglas
Managing Director
Australasian Taxation Services Pty Ltd
The Aussie Expat Specialists Since 1995
www.smats.net