Tax on funds transfered after you move
Aug 25th 2006, 8:54 am
#76
Banned
Joined: Jan 2004
Posts: 47
Re: Tax on funds transfered after you move
Originally Posted by tweed
There are many but here's one for starters from your post on 21 July 2005
"Don't forget that once you are a tax resident of Australia any currency you held on arrival other than A$'s is a CGT asset: the tax legislation specifically names foreign currency as a CGT asset. That means that if you sell it for more than it was worth on the date you become a tax resident you have an assessable capital gain (just like any other investment such as shares or an investment property).
That's before you consider the forex gains and losses provisions"
Regards
"Don't forget that once you are a tax resident of Australia any currency you held on arrival other than A$'s is a CGT asset: the tax legislation specifically names foreign currency as a CGT asset. That means that if you sell it for more than it was worth on the date you become a tax resident you have an assessable capital gain (just like any other investment such as shares or an investment property).
That's before you consider the forex gains and losses provisions"
Regards
Regards
Aug 25th 2006, 9:16 am
#77
Migration Agent
Joined: May 2002
Location: Offices in Melbourne, Brisbane, Perth, Geelong (Australia), and Southampton (UK)
Posts: 6,459
Re: Tax on funds transfered after you move
tweed,
It is my opinion that a gain arising on the disposal of non-A$ currency that is retained and is sold at a future date for more A$'s than when one becomes an Aussie tax resident gives rise to an assessable capital gain. That is what I said in the posting to which you refer of July last year.
MartinLuther, in his previous posting, posted the reply from his request to the ATO for a Private Ruling in relation to the same issue. I quote from the Ruling:
"Can you disregard the capital gain you made transferring money between your UK and Australian bank accounts?
No"
I acknowledge that others, such as jumbo, appear to have had verbal advice to the contrary, but until one can persuade the ATO to commit to writing I would be careful about placing undue reliance on what might or might not have been said.
All of which is repeating the same as has been said before. Can we call a truce to this, because we seem to be simply going over the same points again.
Best regards.
It is my opinion that a gain arising on the disposal of non-A$ currency that is retained and is sold at a future date for more A$'s than when one becomes an Aussie tax resident gives rise to an assessable capital gain. That is what I said in the posting to which you refer of July last year.
MartinLuther, in his previous posting, posted the reply from his request to the ATO for a Private Ruling in relation to the same issue. I quote from the Ruling:
"Can you disregard the capital gain you made transferring money between your UK and Australian bank accounts?
No"
I acknowledge that others, such as jumbo, appear to have had verbal advice to the contrary, but until one can persuade the ATO to commit to writing I would be careful about placing undue reliance on what might or might not have been said.
All of which is repeating the same as has been said before. Can we call a truce to this, because we seem to be simply going over the same points again.
Best regards.
Originally Posted by tweed
Its interesting that Alan, who has made many good and useful posts on this forum, will not admit that he has dropped off on this one. He should have said all along that he was not sure about tax on personal transfers instead of saying with authority (as per the post I quoted) that there was an assessable capital gain.
Regards
Regards
Aug 25th 2006, 9:33 am
#78
Banned
Joined: Jan 2004
Posts: 47
Re: Tax on funds transfered after you move
Originally Posted by Alan Collett
tweed,
It is my opinion that a gain arising on the disposal of non-A$ currency that is retained and is sold at a future date for more A$'s than when one becomes an Aussie tax resident gives rise to an assessable capital gain. That is what I said in the posting to which you refer of July last year.
MartinLuther, in his previous posting, posted the reply from his request to the ATO for a Private Ruling in relation to the same issue. I quote from the Ruling:
"Can you disregard the capital gain you made transferring money between your UK and Australian bank accounts?
No"
I acknowledge that others, such as jumbo, appear to have had verbal advice to the contrary, but until one can persuade the ATO to commit to writing I would be careful about placing undue reliance on what might or might not have been said.
All of which is repeating the same as has been said before. Can we call a truce to this, because we seem to be simply going over the same points again.
Best regards.
It is my opinion that a gain arising on the disposal of non-A$ currency that is retained and is sold at a future date for more A$'s than when one becomes an Aussie tax resident gives rise to an assessable capital gain. That is what I said in the posting to which you refer of July last year.
MartinLuther, in his previous posting, posted the reply from his request to the ATO for a Private Ruling in relation to the same issue. I quote from the Ruling:
"Can you disregard the capital gain you made transferring money between your UK and Australian bank accounts?
No"
I acknowledge that others, such as jumbo, appear to have had verbal advice to the contrary, but until one can persuade the ATO to commit to writing I would be careful about placing undue reliance on what might or might not have been said.
All of which is repeating the same as has been said before. Can we call a truce to this, because we seem to be simply going over the same points again.
Best regards.
Sure we are getting nowhere now but I have also had the same advice as Jumbo having now escalated the question through the ATO to be sure.
But despite the fact that the ATO say in writing that there is a cgt event they do not say that tax should be paid. I know of at least one cgt event that my accountant says is not payable or has a zero rate. That is perhaps the difference.
Talking of getting things in writing – where can you show me that tax should be paid on a personal transfer – not just that a cgt event has occurred?
Best Regards
Aug 25th 2006, 9:42 am
#79
Migration Agent
Joined: May 2002
Location: Offices in Melbourne, Brisbane, Perth, Geelong (Australia), and Southampton (UK)
Posts: 6,459
Re: Tax on funds transfered after you move
Tweed,
As you agree we are getting nowhere I will move on. I have better things to do with my time than to justify my opinions with you.
Good luck in resolving the issue.
Best regards.
As you agree we are getting nowhere I will move on. I have better things to do with my time than to justify my opinions with you.
Good luck in resolving the issue.
Best regards.
Originally Posted by tweed
Alan
Sure we are getting nowhere now ... <snip>
Sure we are getting nowhere now ... <snip>
Aug 25th 2006, 9:49 am
#80
Banned
Joined: Jan 2004
Posts: 47
Re: Tax on funds transfered after you move
Originally Posted by Alan Collett
Tweed,
As you agree we are getting nowhere I will move on. I have better things to do with my time than to justify my opinions with you.
Good luck in resolving the issue.
Best regards.
As you agree we are getting nowhere I will move on. I have better things to do with my time than to justify my opinions with you.
Good luck in resolving the issue.
Best regards.
It is resolved for me but I suspect you leave many others in doubt.
Also noted that you cannot show me anything in writing to prove your argument.
Regards
Aug 25th 2006, 10:02 am
#81
Home and Happy
Joined: Dec 2002
Location: Keep true friends and puppets close, trust no-one else...
Posts: 93,807
Re: Tax on funds transfered after you move
This thread is being closed as it appears to be achieving nothing.
Alan Collet has contributed his opinion, as have many other posters.
Please remember that these are merely the opinions of all the posters concerned, and are designed to give general guidance. For serious financial advice all circumstances must be taken into account, and no serious decisions should be taken merely on the basis if general advice on a forum such as this.
Alan Collet has contributed his opinion, as have many other posters.
Please remember that these are merely the opinions of all the posters concerned, and are designed to give general guidance. For serious financial advice all circumstances must be taken into account, and no serious decisions should be taken merely on the basis if general advice on a forum such as this.
