Foreign Tax Returns

Declaring Overseas Income can get tricky. Are you an expat from NZ, UK or US? Foreign investments and income tax advice from accounting professionals. Ask our friendly team how it all works.

Do you receive an income from anywhere in the world or have tax investment properties overseas? We can help!

If you are an Australian for tax purposes you will need to declare any income you earn overseas. This can be particularly relevant if you:

  • Have recently travelled overseas and earned an income or have assets from a country you have migrated from.
  • If you are trading online in other countries
  • A deceased relative or family member has left assets that produce income from another country.

Usually the tax is higher than normal (usually double) but at ITP Queensland, we can let you know of all exemptions and credits that you may qualify for.

Foreign income includes:

  • pensions and annuities
  • employment income
  • investment income
  • business income
  • capital gains on the sale of overseas assets.

Did you know?

If you register with a Tax Agent before 31st of October, you may be granted an extension for lodgement for your Australian tax return until the 15th of May of the following year.

Penalties do apply for tax avoidance or non declaration of income from overseas, so if you’re not sure if you should declare an amount – get advice. Our specialists are available anytime throughout the year and can give you guidance on the best course of action for your overseas investments and claims.

So now is your chance to get someone qualified on your side to bring you the best returns and advice that could save you thousands on your next tax return. Use our store locator to find your nearest office.

Q. Do I need to inform the ATO when I buy an overseas investment property?

A. No, but you are required to disclose certain information regarding the property in your tax return such as capital gain on a sale of the property, any rental income and rental expenses incurred.

Q. I have heard I will have to pay tax in the country I am working in as well as Australia – is this true?

A. Unfortunately, moving overseas doesn’t mean you can just forget about tax in Australia. If you work overseas and you are an Australian tax resident – you would include all income earned overseas in your Australian tax return (and claim a foreign tax credit for any foreign tax paid). So yes, you will have to pay tax on income in the country you are in. As long as you paid tax in a foreign country, you will not be taxed again in Australia. However, if you have not paid tax overseas as a resident you will be required to pay tax on that income, unless it is an approved exempt foreign aide program.

Q. I have just moved permanently to Australia. Do I have to pay tax on the money that I have brought with me?

A. No. You only have to pay tax on earnings you make whilst in Australia. Should you choose to invest the money you brought with you into a bank account or investment, then you will have to pay tax on the interest only.