Bringing money into Australia from overseas
- Thread starter manny
- Start date
IF it's over $10K you need to fill out a form for AUSTRAC declaring the amount. If it's transferred via electronic means it'll be an EFTR. Your bank should be able to advise/assist here. It is a regulatory requirement that any transactions of $10K or over are reported to AUSTRAC.
Not sure of the tax implications though. Talk to your accountant.
Not sure of the tax implications though. Talk to your accountant.
I've never heard of AUSTRAC and have been bringing in money ($10k+) for ages... should I contact them or will they call me?
depends - do you want to get flagged for Money Laundering ? AUSTRAC are the regulatory agency that monitors all transactions in and out of, and around, Australia, and regulate the Financial Transactions Reporting Act (FTRA), they look for suspicious transactions (eg the laundering side of things and terrorist financing) and also regulate the financial sector where transfers/overseas transactions and the movement of financial vehicles of significant value occur.... see www.austrac.gov.au for more.
If you've been getting the money via electronic transfer, check with your bank to see if they've declared the incoming funds for you to AUSTRAC. They should have if tis an overseas transfer of over $10K. If not, it couldn't hurt to contact AUSTRAC anyway. Check out the website - there's usually a ton of information on there.
? AUSTRAC are the regulatory agency that monitors all transactions in and out of, and around, Australia, and regulate the Financial Transactions Reporting Act (FTRA), they look for suspicious transactions (eg the laundering side of things and terrorist financing) and also regulate the financial sector where transfers/overseas transactions and the movement of financial vehicles of significant value occur.... see www.austrac.gov.au for more. If you've been getting the money via electronic transfer, check with your bank to see if they've declared the incoming funds for you to AUSTRAC. They should have if tis an overseas transfer of over $10K. If not, it couldn't hurt to contact AUSTRAC anyway. Check out the website - there's usually a ton of information on there.
Hi Ian/Matt,
thanx for that, I'll speak to CBA as well (as I bank with them)... Also, if you bring in say $50k in one transaction (inheritance), would they require to know where you got the money from (ie. evidence?), as in my case its from my grandparents that have passed away (but didn't have a written will, but was verbal & funds coming from relatives)... Also, not sure if there would be any Taxation implications...
Cheers,
Manny.
thanx for that, I'll speak to CBA as well (as I bank with them)... Also, if you bring in say $50k in one transaction (inheritance), would they require to know where you got the money from (ie. evidence?), as in my case its from my grandparents that have passed away (but didn't have a written will, but was verbal & funds coming from relatives)... Also, not sure if there would be any Taxation implications...
Cheers,
Manny.
Ian - I used to work for them. trust me. you need to report it and have done so for the last ten years at least as requirements under the FTRA.
As for the evidence questions etc, ring them, ask them, most of the folks there are happy to answer questions, but usually the EFTR or whichever form is filled out will have a stat dec attached as a declaration of the source of funds. Depends on the amount and the country of origin and if it's on the list of 'countries of interest'.
As for the evidence questions etc, ring them, ask them, most of the folks there are happy to answer questions, but usually the EFTR or whichever form is filled out will have a stat dec attached as a declaration of the source of funds. Depends on the amount and the country of origin and if it's on the list of 'countries of interest'.
I'm not suggesting anyone try this ... but ...
I had a friend who needed to get a fairly substantial sum of money into the country.
He had an account opened back in his homeland, funds deposited into it, and the debit card mailed to him. Then he pulled out a few hundred dollars a day, in reasonably randomised transactions (different atms, different times of day, different amounts .. etc).
Then he'd bundle up the cash at home, into different parcels than he withdrew, and drop it into his bank account in a similarly randomised non-pattern.
His thinking was:
- No transfer to Australian institutions, so no reporting there.
- small and irregular transactions, looks like a tourist
- deposits of cash, no problem
I don't really know how much he moved like this, or if anything ever came of it. But there you go.
(yes, all that is probably multiple breaches of multiple laws. Don't try this at home)
I had a friend who needed to get a fairly substantial sum of money into the country.
He had an account opened back in his homeland, funds deposited into it, and the debit card mailed to him. Then he pulled out a few hundred dollars a day, in reasonably randomised transactions (different atms, different times of day, different amounts .. etc).
Then he'd bundle up the cash at home, into different parcels than he withdrew, and drop it into his bank account in a similarly randomised non-pattern.
His thinking was:
- No transfer to Australian institutions, so no reporting there.
- small and irregular transactions, looks like a tourist
- deposits of cash, no problem
I don't really know how much he moved like this, or if anything ever came of it. But there you go.
(yes, all that is probably multiple breaches of multiple laws. Don't try this at home)
Here's something I picked up in a bar once, though I would never recommend trying to defraud the government.
You go to an overseas casino, change $50k into chips, have a drink, then go back to the cashier and get them all changed back and get a receipt. At the airport show immigration the $50k and also the receipt for your casino winnings which are not subject to tax.
Sorry this doesn't answer the original tax question, but I thought it was worth a mention.
You go to an overseas casino, change $50k into chips, have a drink, then go back to the cashier and get them all changed back and get a receipt. At the airport show immigration the $50k and also the receipt for your casino winnings which are not subject to tax.
Sorry this doesn't answer the original tax question, but I thought it was worth a mention.
why would your friend go to this trouble though? if your funds were legitimate and you were previously not an australian resident (or if you had paid australian tax on the those earnings), you should not be taxed on it...
Both those examples are punishable at law under the FTRA with jail terms or significant fines, as they fall under the money laundering legislation. I personally saw a number of cases of people doing those exact things ending up in court.
Just FYI.
The various methods have been around for a long time, lots try them, lots get caught, some get away.. ce la vie.
Just FYI.
The various methods have been around for a long time, lots try them, lots get caught, some get away.. ce la vie.
I forget the reasons, and don't know enough about the laws in this area to know whether he should have been paying tax on this money.
I'm fairly certain the money was a gift from his mother, who had sold a property overseas.
Manny,
Speak with Sarah Inglis of HiFX. She specialises in international money transfers and will be able to give you the advice you're after. Their exchange rates are usually better than the banks and they can lock in the rate if required.
Sarah Inglis
(02) 9251 2626
Speak with Sarah Inglis of HiFX. She specialises in international money transfers and will be able to give you the advice you're after. Their exchange rates are usually better than the banks and they can lock in the rate if required.
Sarah Inglis
(02) 9251 2626
