Sunbound

I've never been great with numbers and i just wondered if someone could explain at what point we will get taxed on the money we transfer into Oz?
We will bring some over with us on the flight (can't remember how much you are allowed for a start , is it 10,000 ?) And then we will transfer over the rest via a money transfer company such as Hi fix etc to an Oz bank account that we will set up prior to arrival in Oz.
So at what point will someone pinch half our money ,and how much in tax?????
Thanks for any advice !!!
Sunbound

sassie

You are allowed to bring in as much cash as you want with you, but you have to declare anything over $10,000. Once you become tax resident, the only tax you may be liable for is the interest you will earn, depending on whether you will be over the tax free threshold.

Sunbound

Hello, thank you for that, thats a little clearer.
So if we were to put the money straight into property we'd be ok then?
How do i find out what the tax free threshold is ? Any ideas?

DrWho

ATO

Wol

Not sure what you mean: *which* tax threshold?

bcworld

A single person can earn $6000 per year before being taxed. Unlike the UK, that threshold is pro-rata for part year residents - so if you are resident for only one month this tax year only $500 will be taxed at 0% before the 15% band kicks in.

2008-9 Tax bands

$0-6000 0%
$6001 - 34000 15%
$34001 - 80000 30%
$80001 - 180000 40$
$180001+ 45%

Tax is not collected by the bank on any savings you have. You have to declare that interest on your tax return along with any other earnings you have. You will then know how much you have to pay the ATO, or hopefully they have to pay you.

geordie downunder

Don't forget,they do not deduct tax if you supply a tax file number.They deduct tax at the highest rate if it is not supplied,however any overpayment will be rebated when the tax forms are filled in and returned.

Sunbound

Oh thats much clearer , thank you everyone !!!

EvannTel

And the $10K cash import is per person.

fluffy1

When we first arrived we had not supplied this number and were taxed around 47% I think on all interest on our savings. Once we gave the bank the tax number we got it all back in full however at the end of the tax year we were taxed around 30% I think on the interest earned and have been taxed on the interest every year since.

As we had received a refund on the tax after we gave them the tax file number I stupidly had not expected to have to pay tax again at the end of the year. Might sound thick but just thought it may help someone else who is in the frame of mind I was.....

Marie

Pollyana

Yes, its cash, and its per person.