DC10

The slow, steady collapse of AUD has far more to do with China, and the related fall in resource prices, than it does with Greece. I for one (and the market for more) would be amazed if the RBA were to raise rates anytime before 2017 at the very earliest. The Aus economy is going to need all the help it can get.

bcworld

What the heck is going on in China!? While the market has corrected, it's still massively up YOY...the thing that's bizarre is the sudden massive amount of margin lending that's going on. And while the government were to crack down on that it sounds like they'll scrap that idea now in order to try and keep stocks pumping higher.

paulry

That would be tempting but there's a five year Australia residence period beyond which we become liable for capital gains tax. We have to sell it this year.

DC10

A dictatorship is manipulating the stockmarket and wider economy to keep itself in power - nothing more, nothing less. Roll up, roll up... everyone's a winner!

Beoz

A mate of mine who has been doing chinese stocks for about 15 years gave me this advice about 2 years ago.

Jump on board for about a year and a half, then pull out for 6 months then jump back in and enjoy the ride. Then he started banging on about the cash reserves and other stuff that only a qualified CFA would understand to justify his advice. So far it appears he was right.

Amazulu

AUD is entirely within normal range against USD and GBP - any other 'opinion' is white noise

My 'normal' will always be about 2.50. Life was good at 1.40 - as it was at 2.80

GBP/USD has been down to 1.30 and up over 2.00 in recent years - a much more important rate to the UK than AUD but nobody on here bats an eyelid. Why is that? The same goes for EUR

The hatred of Australia on this site runs deep - and some posters will use shite like exchange rates to reinforce this

Details

sign

Can you explain.
I have held PR for eight years. In that eight years i lived here for one year then the UK for three years. Now been here for four years. Are you saying in one years time any cash i exchange from GBP to AUD will attract capital gains tax if the rate achieved is higher than it was on initial entry. Do you have any links to your statement. I have never heard of the five year residency ruling on forex gains.

Beoz

I thought you had 6 months to bring your savings over without attracting the attention of the ATO.

On the other side of the coin, I officially now know someone who successfully claimed a loss by an exchange rate fluctuation from their time of starting residency to the time of moving money.

sign

I contacted the ATO. Years ago. They told me they had never heard of any such ruling. But i have read loads of tosh in here about all sorts of rules. I will get a private ruling from the ATO if i ever bring over a large sum. That way there is no argument after the fact.

Swerv-o

No, this is BE hokum and myth.



I believe that this refers to you having six years in which you can declare your UK house as your previous primary place of residence, and hence it isn't considered for capital Gains Tax. After the six year expires, you are liable for any CGT on the increase in value over the period. This was my understanding, of it - though I have been known to be wrong.


S

Beoz

So if I decided to bring over my life savings of pounds now, I could do that without being taxed on the exchange rate fluctuations between 2011 and 2015?

Swerv-o

Exchange rate fluctuations are a different thing - there has been huge debate in the past as to whether they are considered for tax purposes, and whether they are Capital Gains or just declared income.

But my understanding is that you wouldn't pay CGT on the capital that you bring across. Though if you haven't declared any investment income on your pounds while they have been residing in Blighty, then you may be asked to explain where the money has been resting.


S

Beoz

Fair enough ...... luckily I do declare the income in my ATO returns.

jad n rich

I bet ATO would find the money coming in anyway.

Then they will enquire ? as to its history and go retrospect from there adjusting any tax, capital gains, centerlink payments etc according to the newly arrived stash.

We had a principal place of residence denied because it had been rented out in that time, capital gains tax applied. They went back about 7 years from memory. They found the sale in the week after we completed contracts, heard from them in the month, but it could be any time they find it, years later even.

Nobody was hiding anything luckily, we owed a few grand, gave them the documents they wanted, smallish bill, no fines for our honesty, paid up.

paulry

Yes I believe your are correct, I said it was 5 years but on further thought I think it is in fact 6. I also understand it to be the CGT on the increase in value since we last lived there. Bearing in mind the exchange rate has changed so much as well as the property value, I reckon it would amount to around $120k tax bill if we go over the 6 years.