Changes announced to the Australian Foreign Income rules

admin — Thu, 11 Jun 2009 06:47:21 +0000

Changes announced to the Foreign Income rules, in the 2009 Australian Federal Budget, have led to much speculation and concern throughout the Australian expat community. The biggest concern was that all Australians living abroad would be subject to Australian tax on their overseas earnings.

Having reviewed the new legislation 1st Contact are pleased to feedback that the changes only affect Resident Australian Taxpayers (i.e. Australians who live in Australia and travel overseas for short term and temporary work assignments with their Australian employer).

The new tax law does not affect Australian citizens who have relocated overseas on a permanent basis. These Australian citizens will still be classed as Non Resident Taxpayers and their offshore income will not be taxable in Australia.

If you are concerned about any of the definitions of this new tax law (e.g. what is the guidelines around permanent relocation) please do not hesitate to contact our tax advisors in our Australian office: austax@1stcontact.com

1st Contact eNews » Australian tax

Changes announced to the Australian Foreign Income rules

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