Transferring money from UK house sale
#1
Transferring money from UK house sale
Sold our house in the UK June this year and want to transfer the money over to Aus. It is over $10,000 and wonder if we will be taxed on this in Australia?
#2
Re: Transferring money from UK house sale
Why would it be taxed, just because you transfer? What kind of tax do you have in mind?
If you made a capital gain on the sale of the house, then you might be liable to Australian capital gains tax whether you transfer it or not. Depends on private residence exemption, also your visa status in Australia. There may also be a potential U.K. capital gains tax liability unless and until you have been non-resident about 5 years.
If you made a capital gain on the sale of the house, then you might be liable to Australian capital gains tax whether you transfer it or not. Depends on private residence exemption, also your visa status in Australia. There may also be a potential U.K. capital gains tax liability unless and until you have been non-resident about 5 years.
#3
Re: Transferring money from UK house sale
Why would it be taxed, just because you transfer? What kind of tax do you have in mind?
If you made a capital gain on the sale of the house, then you might be liable to Australian capital gains tax whether you transfer it or not. Depends on private residence exemption, also your visa status in Australia. There may also be a potential U.K. capital gains tax liability unless and until you have been non-resident about 5 years.
If you made a capital gain on the sale of the house, then you might be liable to Australian capital gains tax whether you transfer it or not. Depends on private residence exemption, also your visa status in Australia. There may also be a potential U.K. capital gains tax liability unless and until you have been non-resident about 5 years.
#4
BE Forum Addict
Joined: Jan 2003
Location: Brisbane
Posts: 1,576
Re: Transferring money from UK house sale
If you claim your UK house as your PPOR )primary palce of residence) their will be no Oz tax liability.
#5
Re: Transferring money from UK house sale
Yes you are BUT you work it out in A$ using the exchange rate when you became tax resident and then again the rate when you exchanged contracts (not completion date). So depending on how the $A moved in relation to the pound depends on your CGT liability.
If you claim your UK house as your PPOR )primary palce of residence) their will be no Oz tax liability.
If you claim your UK house as your PPOR )primary palce of residence) their will be no Oz tax liability.
#6
Re: Transferring money from UK house sale
What if we made a 'loss' in the last four years? Can we take that off our tax liability for the tax return this year? (It was actually early July that it sold). The exchange rate was less than now (not in our favour) four years ago but I still reckon the value of the house four years ago was around 6k more than we just sold for.
#7
Re: Transferring money from UK house sale
Others more knowledgeable than me can clarify, but I thought that if it was your only property then you can still make a profit and keep it, invest in your next house. I thought Capital gains only applied when you have more than one property.?
#8
BE Forum Addict
Joined: Jan 2003
Location: Brisbane
Posts: 1,576
Re: Transferring money from UK house sale
Yes you are correct that is why I qualified my ans by stating if it's your PPOR their is no tax liability in Oz. You can claim it as your PPOR for up to 6 years after you've moved out (assuming you don't buy another house which you also want to claim as your PPOR).