A complicated thought i know
Apr 14th 2007, 5:50 pm
#1
Banned
Thread Starter
Joined: Feb 2007
Location: In one big housing bubble!
Posts: 177
A complicated thought i know
The outlaws are thinking of moving out to OZ in the future, i do not know the in's and out's but at the moment it is just a pipe dream i think, well hope>
Anyway, has anyone come across this type of scenario.
1) You sell your house in the UK.
2) You bank the house sale money in a UK high interest paying building Society Account.
3) The interest is transferred to your current account in the UK on an end of monthly basis, like a salary is.
4) You draw on the monthly paid interest when you are in Australia, so to pay your rent and some of your monthly living costs etc.
I am asking because it is something i have discussed with them, as they are not comfortable with converting it all into OZ dollars until they were very sure they will never return back to the UK, a couple of years.
My question is.
1) If they paid 20% tax on the interest accrued at source in the UK building society account, would they have to pay tax on the interest again in OZ.
2) If they instructed the building society to pay the interest at Gross in the UK, then pay tax on it in OZ, is this allowed, and is it efficient.
3) Is this a viable scenario for a couple of years, and what is the best tax efficient method to use?
Thanks for any replies, its quite an interesting thought i know, but i cannot seem to find this question being asked before on here.
Anyway, has anyone come across this type of scenario.
1) You sell your house in the UK.
2) You bank the house sale money in a UK high interest paying building Society Account.
3) The interest is transferred to your current account in the UK on an end of monthly basis, like a salary is.
4) You draw on the monthly paid interest when you are in Australia, so to pay your rent and some of your monthly living costs etc.
I am asking because it is something i have discussed with them, as they are not comfortable with converting it all into OZ dollars until they were very sure they will never return back to the UK, a couple of years.
My question is.
1) If they paid 20% tax on the interest accrued at source in the UK building society account, would they have to pay tax on the interest again in OZ.
2) If they instructed the building society to pay the interest at Gross in the UK, then pay tax on it in OZ, is this allowed, and is it efficient.
3) Is this a viable scenario for a couple of years, and what is the best tax efficient method to use?
Thanks for any replies, its quite an interesting thought i know, but i cannot seem to find this question being asked before on here.
Last edited by Nursebank; Apr 14th 2007 at 5:52 pm.
Apr 14th 2007, 6:46 pm
#2
Worongary
Joined: Sep 2005
Location: GC hinterland
Posts: 10,288
Re: A complicated thought i know
The outlaws are thinking of moving out to OZ in the future, i do not know the in's and out's but at the moment it is just a pipe dream i think, well hope>
Anyway, has anyone come across this type of scenario.
1) You sell your house in the UK.
2) You bank the house sale money in a UK high interest paying building Society Account.
3) The interest is transferred to your current account in the UK on an end of monthly basis, like a salary is.
4) You draw on the monthly paid interest when you are in Australia, so to pay your rent and some of your monthly living costs etc.
I am asking because it is something i have discussed with them, as they are not comfortable with converting it all into OZ dollars until they were very sure they will never return back to the UK, a couple of years.
My question is.
1) If they paid 20% tax on the interest accrued at source in the UK building society account, would they have to pay tax on the interest again in OZ.
2) If they instructed the building society to pay the interest at Gross in the UK, then pay tax on it in OZ, is this allowed, and is it efficient.
3) Is this a viable scenario for a couple of years, and what is the best tax efficient method to use?
Thanks for any replies, its quite an interesting thought i know, but i cannot seem to find this question being asked before on here.
Anyway, has anyone come across this type of scenario.
1) You sell your house in the UK.
2) You bank the house sale money in a UK high interest paying building Society Account.
3) The interest is transferred to your current account in the UK on an end of monthly basis, like a salary is.
4) You draw on the monthly paid interest when you are in Australia, so to pay your rent and some of your monthly living costs etc.
I am asking because it is something i have discussed with them, as they are not comfortable with converting it all into OZ dollars until they were very sure they will never return back to the UK, a couple of years.
My question is.
1) If they paid 20% tax on the interest accrued at source in the UK building society account, would they have to pay tax on the interest again in OZ.
2) If they instructed the building society to pay the interest at Gross in the UK, then pay tax on it in OZ, is this allowed, and is it efficient.
3) Is this a viable scenario for a couple of years, and what is the best tax efficient method to use?
Thanks for any replies, its quite an interesting thought i know, but i cannot seem to find this question being asked before on here.
as a source of income it will rise and fall with value of the dollar/pound each month plus the costs for exchanging it will make budgeting difficult as you wont know how much you have to spend each month
( and it does varie considerabley
) secondly as the rates higher here your intrest payment would be better
ie 6.2 to 6.6% on high intrest accounts is commonplace
worth looking into i`d say
regards
steve
