Moving Overseas - Pros & Cons??

[Joey5641]

My partner and I are considering moving overseas with his current job (nothing definite).

We've been advised that the tax rules for working overseas has changed and as such we would both be subjected to Aust tax (not oversea tax).
Is there anyone who's found this to be a big issue or are there ways around it? How would we deal with our PPOR & IP (probably change out PPOR to IP)?
We have not approached an accountant about this (although if you know of someone in Melb, please advise).
I would really like to see if anyone has gone though this and what sort of processes we need to consider.

Pros and con's welcome (like I said we're still deciding).
Still doing to research in the mean time.....

Feel free to let me know if there are any thread related to this

 

[Joey5641]

Hello....anyone...?

""We've been advised that the tax rules for working overseas has changed and as such we would both be subjected to Aust tax (not oversea tax)""

See below for a link to article with some basic information about taxes if working overseas:
http://www.theage.com.au/articles/2009/07/07/1246732332884.html

 

[exstatic]

I recently got back from a 3 year stint in the UK.

I am not entirely sure how the new rules will affect you, but for myself and my partner we just made sure that for the 3 years we were in the UK we were not an Australian Resident for Tax Purposes, and this seemed to work well.

We had a PPOR when we left and converted it to an IP which worked really well and is still an IP now that we have returned.

Best advice I can give is to chat to an accountant to work out the best way to set yourself up, you should make sure you set yourself up in a way that benefits you when you return to Australia in the future.

If you are looking for an accountant in Melb.. there are a few of us who use JamesGG on these forums, he runs House Of Wealth..

Good luck, and enjoy the trip if you decide to go!

 

[BayView]

I am not entirely sure how the new rules will affect you, but for myself and my partner we just made sure that for the 3 years we were in the UK we were not an Australian Resident for Tax Purposes, and this seemed to work well.

We lived in the US for just short of 3 years. My wife had a work contract there.

We did the same as above.

We still had to fill out the Aus tax return as well because we had IP's and income from them, but it wasn't linked to the US income tax returns.

Talk to your accountant on this though.

 

[Perp]

It sounds to me like these changes won't affect those who are moving their base overseas; as others have said, you simply ensure you're not a resident for tax purposes, for the time you're away.

It sounds like these changes are targeting fly-in, fly-out workers, and fair enough - why should they be enjoying all the advantages of the Australian tax system (with their family living here using Medicare, in schools, driving on the roads, etc) and not paying tax just because their job is offshore? Sounds like a good change to me.

 

[Joey5641]

Thanks, some good advice.
I will speak to an accountant before making any decisions (possibly James GG).