Weasy

If we transfer our cash over to an Oz savings account before we get our visa and tax file number do we pay a higher rate of tax on those savings does anyone know?

Cheers

Lou
xx

happy chappy

From what I understand if you don't have a tax file number they will tax your interest at the highest rate which according to this link is 45% http://www.ato.gov.au/individuals/co...u=5053&mfp=001
You will be able to claim any overpayments back at the end of the tax year though.

That will be one of the first things I do when I get to OZ is get aTFN, you can do it online now and it looks straightforward you just need an OZ adddress.

Hope this helps
Dave

touchingcloth

I think its 30%.

TC

Swerv-o

Witholding tax is 10% if you are not yet resident, ie, still in uk, with a uk address for the account.

If when you become resident, you still don't supply your TFN, then it moves up to the highest rate, which is about 40-45% I believe.

Hope this helps.

S

Wendy

Haven't looked at the rate latelty but last time I did is was over 40%

ianandhelena

if you are resident for tax purposes, tax is paid gross by the banks, and your liability for tax is assessed at the end of the tax year when you complete your tax return.
if you are still in the UK and don't have a TFN yet, the bank withholds 10% of the interest; when you complete your tax return this deduction is offset against your tax liability for the year.
if you are not yet in Oz at the end of the tax year then you will be taxed as a non-resident - tax rates are here