ISAs and savings
Sep 14th 2003, 8:33 am
#1
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ISAs and savings
I have an ISA here in the UK, just started putting money in.
1. Are we allowed to continue to contribute to ISA's if we are no longer resident in the UK? Are we taxed on the income - I'll be living in NZ?
2. Do they even have such things as ISAs or other tax-free equivalent savings schemes in NZ?
Donna
1. Are we allowed to continue to contribute to ISA's if we are no longer resident in the UK? Are we taxed on the income - I'll be living in NZ?
2. Do they even have such things as ISAs or other tax-free equivalent savings schemes in NZ?
Donna
Sep 14th 2003, 8:39 am
#2
Joined: Aug 2003
Posts: 11,149
Answers
1 No
2 No
Tax free and Oz are mutually exclusive unless you are worth millions.
I save with ING Direct who pay 4.75% interest. Interest is paid gross which you are supposed to declare in on your tax return. You then pay the tax with your assessment.
The IR kindly informed Smile that I could not contribute any further to my ISA's.
1 No
2 No
Tax free and Oz are mutually exclusive unless you are worth millions.
I save with ING Direct who pay 4.75% interest. Interest is paid gross which you are supposed to declare in on your tax return. You then pay the tax with your assessment.
The IR kindly informed Smile that I could not contribute any further to my ISA's.
Last edited by bondipom; Sep 14th 2003 at 8:43 am.
Sep 14th 2003, 8:42 am
#3
Forum Regular
Thread Starter
Joined: May 2003
Posts: 90
Originally posted by bondipom
Answers
1 No
2 No
Tax free and Oz are mutually exclusive unless you are worth millions.
I save with ING Direct who pay 4.75% interest. Interest is paid gross which you are supposed to declare in on your tax return. You then pay the tax with your assessment.
Answers
1 No
2 No
Tax free and Oz are mutually exclusive unless you are worth millions.
I save with ING Direct who pay 4.75% interest. Interest is paid gross which you are supposed to declare in on your tax return. You then pay the tax with your assessment.
Donna
Sep 14th 2003, 10:55 pm
#4
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Don't think Bondipom read your mail property as he's refering to Oz and you said NZ.
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Sep 15th 2003, 9:11 am
#6
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Originally posted by Kiwipaul
Don't think Bondipom read your mail property as he's refering to Oz and you said NZ.
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Don't think Bondipom read your mail property as he's refering to Oz and you said NZ.
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Thanks for the info. Not sure about turning my ISA into a PEP, will check it out.
Donna
Sep 15th 2003, 11:16 am
#7
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Thread Starter
Joined: May 2003
Posts: 90
Originally posted by Kiwipaul
Don't think Bondipom read your mail property as he's refering to Oz and you said NZ.
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Don't think Bondipom read your mail property as he's refering to Oz and you said NZ.
The NZ gov don't care if you continue paying into an ISA you just need to check with British IR. You will also have to declare any income which will be taxed in NZ even though it's exempt in UK.
I kept a PEP I had in UK whilst I was in NZ and was not liable for any tax as no income, and when I sold it no CGT tax either.
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Can't open a PEP anymore, it all has to be ISAs now.
So if I have my interest paid out from my ISAs, will I be taxed on it from NZ in the same way as any other savings account?
Just trying to work out whether there's any advantage of keeping it all going - the whole point is for tax-free saving, but if NZ taxes you on the interest it obviously is no longer that.
Sep 15th 2003, 11:26 am
#8
Here in Dunedin
Joined: May 2003
Location: Dunedin
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Originally posted by Kiwipaul
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Mind you their is no tax free investments in NZ like those in the UK. Could you turn your ISA into a PEP.??
Many kiwis therefore buy themselves a portfolio of shares, or some rental property, as passive investments.
Sep 15th 2003, 10:20 pm
#9
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Originally posted by DonnaS
So if I have my interest paid out from my ISAs, will I be taxed on it from NZ in the same way as any other savings account?
So if I have my interest paid out from my ISAs, will I be taxed on it from NZ in the same way as any other savings account?
Sep 15th 2003, 10:33 pm
#10
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Originally posted by southerner
The NZ tax free saving vehicle is called capital gains. All capital gains on shares, property or businesses are tax free, unless you are a 'trader' or 'developer'.
Many kiwis therefore buy themselves a portfolio of shares, or some rental property, as passive investments.
The NZ tax free saving vehicle is called capital gains. All capital gains on shares, property or businesses are tax free, unless you are a 'trader' or 'developer'.
Many kiwis therefore buy themselves a portfolio of shares, or some rental property, as passive investments.
The NZ strock market is a joke, what with insider trading and backhanders with very little regulation.
Maybe I was unlucky but my dabbling in the NZ stock market turned $20,000 into $15,000 over 5 years with very little income.
Doing much better in NZ property market but you need more money to enter that and the cheaper solution if you cannot afford a property is to use property trusts but they only seem to benefit the people who run them from what I've read. Metropole in Auckland is a classic example of the managers ripping off the punters.
