rcal

Hi all,

I'm moving to Melbourne from the UK in May to start a new job. I've been offered a relocation allowance, where I can get the cost of flights and initial accommodation reimbursed. With regards to the flights, I'm trying to understand what the ATO/FBT implications are. Ideally, I'd like to do some travelling (e.g. Sri Lanka, the Philippines) on the way over, but I'm not sure if the rules on the reimbursement would cover stopovers. Has anyone been in this situation before or know where I can go to get some advice? My company hasn't been asked this question before so is also a little unsure.

Thanks in advance!

Beoz

I was given an overall budget for my move so I could choose whatever I wanted to do with the flights and other bits like accommodation, shipping, etc. There was no tax implications from my end ..... no idea what the company did with tax in regard to relocation costs. I would say if you want to take a side trip that's yours to choose and any extra costs for the side trip would be out of your pocket.

Buzzy--Bee

You're only taxed on income you earn while you're Australian tax resident. So unless you are paid the allowance after you start living here, I suspect it would not be taxed in Australia.