Do you earn income from overseas investments?
The Australian Taxation Office is targeting Australian taxpayers who are not declaring their earnings from overseas investments.
Generally speaking, an Australian resident taxpayer is taxed on his or her worldwide income, regardless whether that same income is taxed overseas.
Typically foreign income includes income earned on overseas investments, salary and wages from working overseas, foreign pensions, capital gains from the disposal of overseas assets and business and consulting income from overseas clients.
There are some exception to the above:
- where the taxpayer is classified as a temporary resident, and
- where the proceeds are from a gift from an overseas relative.
Should you be unclear as to whether you should declare income from overseas in your Australian tax return, feel free to contact Peter Quinn by filling out our contact form, or give us a call on +61 2 9580 9166 to book an obligation free appointment.
The information in this document does not take into account your personal objectives, financial situation or needs and so you should consider its appropriateness having regard to these factors before acting on it. It is important that your personal circumstances are taken into account before making any financial decision and it is recommended that you seek assistance from your financial adviser.