First time tax return - foreign income
Jul 13th 2020, 1:53 am
#1
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First time tax return - foreign income
Sorry for the boring tax question here. Wondered how you're supposed to enter "foreign employment income" (if at all) for the period before you got to Australia, that falls within the period July 1st to when you left your old country.
In my case, I got here Oct 5th, so I'm a 2019/2020 tax resident in Aus. I was still being paid in my old job before we sold up and left Canada. Do I need to report the income earned back there on the Aus tax return?
In my case, I got here Oct 5th, so I'm a 2019/2020 tax resident in Aus. I was still being paid in my old job before we sold up and left Canada. Do I need to report the income earned back there on the Aus tax return?
Jul 13th 2020, 4:58 am
#2
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Re: First time tax return - foreign income
You only need to declare income received from the time you became a tax resident in Australia.
So you don't need to declare anything earned before the day you arrived.
So you don't need to declare anything earned before the day you arrived.
Jul 13th 2020, 5:27 am
#3
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Re: First time tax return - foreign income
Cheers Nicky, that's very helpful to know.
Jul 18th 2020, 11:58 pm
#4
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Re: First time tax return - foreign income
I thunk you may find such income is to be disclosed as target foreign income.
Such income is not taxable, but is to be disclosed.
Best regards.
Such income is not taxable, but is to be disclosed.
Best regards.
Jul 19th 2020, 11:30 pm
#5
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Re: First time tax return - foreign income
Cheers Alan. I finally found some wording under the target foreign income guide that does seem to apply:
(https://guides.dss.gov.au/guide-soci...ection%2023AG.)
newly arrived migrants who received foreign income in the reference tax year that is not subject to tax in Australia.
I've got a feeling it isn't going to be sufficient to simply enter the target foreign income into a box and leave it at that. Probably I'll need to fill in all that other stuff about foreign tax offset limits etc as well. Might just give them a call. I'll post back when I get full instructions so it hopefully helps others.
(https://guides.dss.gov.au/guide-soci...ection%2023AG.)
newly arrived migrants who received foreign income in the reference tax year that is not subject to tax in Australia.
I've got a feeling it isn't going to be sufficient to simply enter the target foreign income into a box and leave it at that. Probably I'll need to fill in all that other stuff about foreign tax offset limits etc as well. Might just give them a call. I'll post back when I get full instructions so it hopefully helps others.
Jul 19th 2020, 11:33 pm
#6
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Location: Offices in Melbourne, Brisbane, Perth, Geelong (Australia), and Southampton (UK)
Posts: 6,459
Re: First time tax return - foreign income
FYI there's no need to include a FITO - the target foreign income amount is info gathering for Centrelink purposes.
Feel able to ping a PM to me if you think you might need help with the preparation of your tax return.
Best regards.
Feel able to ping a PM to me if you think you might need help with the preparation of your tax return.
Best regards.
Jul 20th 2020, 10:44 pm
#7
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Re: First time tax return - foreign income
Cheers Alan. I finally found some wording under the target foreign income guide that does seem to apply:
(https://guides.dss.gov.au/guide-soci...ection%2023AG.)
newly arrived migrants who received foreign income in the reference tax year that is not subject to tax in Australia.
I've got a feeling it isn't going to be sufficient to simply enter the target foreign income into a box and leave it at that. Probably I'll need to fill in all that other stuff about foreign tax offset limits etc as well. Might just give them a call. I'll post back when I get full instructions so it hopefully helps others.
(https://guides.dss.gov.au/guide-soci...ection%2023AG.)
newly arrived migrants who received foreign income in the reference tax year that is not subject to tax in Australia.
I've got a feeling it isn't going to be sufficient to simply enter the target foreign income into a box and leave it at that. Probably I'll need to fill in all that other stuff about foreign tax offset limits etc as well. Might just give them a call. I'll post back when I get full instructions so it hopefully helps others.
Aug 8th 2020, 2:31 pm
#8
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Posts: 145
Re: First time tax return - foreign income
Depends on your visa as well. If you are an Australian permanent or citizen or on a temporary visa (akin to the old 457) your offshore earnings / income are treated differently.
Aug 9th 2020, 2:53 am
#9
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Re: First time tax return - foreign income
* Having an Australian spouse or partner overrules the temporary resident exemptions.
* Income earned overseas remains taxable in Australia while tax resident in Australia, even if you are the holder of a temporary residency visa and otherwise able to access the temporary resident exemptions.
https://www.ato.gov.au/Individuals/I...rary_resident_
Best regards.
