Are you required to pay Oz Tax if you've done Initial Entry then fly outside OZ to settle stuffs?

Birhen_ng_Guadalupe

May stupid question po ako. Pasensya na kung natanong na. I'm planning my initial entry this month pero mga 2 weeks lang then balik muna ako SG since di pa ako ready for the final move (uuwi nanay ko from abroad, maglilipat bahay sa pinas etc). Ang alam ko ang mga Australians ay nagbabayad ng tax kahit hindi sila nagwowork sa Australia.

Does that mean, may tax responsibilities na rin pag nag activate ng visa ang mga PR kahit di pa siya nagwowork doon?

TasBurrfoot

May stupid question po ako. Pasensya na kung natanong na. I'm planning my initial entry this month pero mga 2 weeks lang then balik muna ako SG since di pa ako ready for the final move (uuwi nanay ko from abroad, maglilipat bahay sa pinas etc). Ang alam ko ang mga Australians ay nagbabayad ng tax kahit hindi sila nagwowork sa Australia.

Does that mean, may tax responsibilities na rin pag nag activate ng visa ang mga PR kahit di pa siya nagwowork doon?

So what you are trying to ask is; will you be required to pay taxes for income abroad?

lock_code2004

@Birhen_ng_Guadalupe - hindi nmn stupid question... okay nga eh..

1. Yes australian residents are taxed for their income worldwide.
2. Meron pong residency test na tinatawag. But the definition of a "resident" for tax purposes is different from immigration definition. Normally, if you live in AU for 6mos continuously or more than half of the financial year, you should file income tax..

here is a flowchart to illustrate and "resident" definition from ATO:
http://www.ato.gov.au/taxprofessionals/content.aspx?doc=/content/64144.htm
http://www.ato.gov.au/individuals/content.aspx?doc=/content/64131.htm

LokiJr

There is a thing called double taxation and Au and Ph follow this. It means that if your investments are taxed in your domicile country then it should not be taxed in your itr in Australia. How that exactly works is beyond me since I am not an accountant Hehe

TasBurrfoot

http://www.guidemesingapore.com/research-reports/australia/singapore-australia-dta

If you understand this, paki-explain na rin... Don't know if this is updated though

Bigfoot

@Birhen_ng_Guadalupe - Ma'am tama po si lock, may residency test po and kahit na naginitial entry ka na sa Au kung hindi mo nameet ang residency requirement e hindi ka magiging taxable sa Au for income earned in Sg. Also, related sa post ni psychoboy, may tax treaty ang Au and SG wherein ang personal/professional services income (remuneration) is taxable only on the place where the service is rendered. I'm not sure kung kelangan pa itong ideclare as income subject to final tax sa Au tax filing. Baka may makapagcomment regarding this.

Regarding Loki's comment, tama po na may double tax treaty ang Au and Phil and same with Sg ang income from remuneration is only taxable in the place where the service is rendered. But this is subject to some exceptions, meaning the remuneration income in the Phil can still be taxable in Au subject to some factors.

I haven't tried filing an Au individual tax return pero I understand that Au tax residents are required to declare all income derived from within and outside of Au. If the Au tax resident suffered income tax from its income derived from outside of Au, then the tax resident shall be able to claim tax credit (tax offset) for the said taxes paid, meaning the total Au income tax payable may be reduced by claiming the tax credits for the taxes paid in foreign jurisdictions.

Hope this helped in some way.

IslanderndCity

@LokiJr so it means if may property for rent, funds & stocks investments ka sa Pinas, wala na pakialam si Au kahit Au PR o citizen ka?

TasBurrfoot

@LokiJr so it means if may property for rent, funds & stocks investments ka sa Pinas, wala na pakialam si Au kahit Au PR o citizen ka?

Bayad ka ng tax for these...

In the first place, wala ka naman binabayaran for these types of income in the Philippines to begin with.

IslanderndCity

@LokiJr so it means if may property for rent, funds & stocks investments ka sa Pinas, wala na pakialam si Au kahit Au PR o citizen ka?

Bayad ka ng tax for these...

In the first place, wala ka naman binabayaran for these types of income in the Philippines to begin with.

so ibig sabihin i-declare ito diyan sa Au?

TasBurrfoot

@LokiJr so it means if may property for rent, funds & stocks investments ka sa Pinas, wala na pakialam si Au kahit Au PR o citizen ka?

Bayad ka ng tax for these...

In the first place, wala ka naman binabayaran for these types of income in the Philippines to begin with.

so ibig sabihin i-declare ito diyan sa Au?

tomoh!! ideally you should declare it with the ATO...

IslanderndCity

@LokiJr so it means if may property for rent, funds & stocks investments ka sa Pinas, wala na pakialam si Au kahit Au PR o citizen ka?

Bayad ka ng tax for these...

In the first place, wala ka naman binabayaran for these types of income in the Philippines to begin with.

so ibig sabihin i-declare ito diyan sa Au?

tomoh!! ideally you should declare it with the ATO...

ideally...
thanks po

gerardds

although this is an old thread,
Thanks so much for the information above at di ko na kailangan magcreate ng thread >:D<

supertoblerone

Mga Boss @TasBurrfoot @lock_code2004 @Birhen_ng_Guadalupe di ko parin gets to. Sensya tanong ko lang ulet, Mag IED ako this May 2015 and be there for at least 3 weeks to 1 month, and balik sa Singapore for 1 year only as my current employer promoted me to Senior position.

Sa case na to po ba kelangan ko magbayad ng Tax even di ko pa maasikaso ang TFN pag dating ko sa May?

Please advise po.

lock_code2004

@supertoblerone you dont have to pay Au tax yet, you are not yet considered as Au resident for tax purposes..

No need to apply for tfn until you are decided to say here permanently..

supertoblerone

@lock_code2004 boss thanks! Tumawag din ako sa ATO yesterday morning at same kayo ng sinabi. Thanks sa confirmation.

One more question, ok lang ba na mag apply na ako sa TFN once I arrived there even di pa tax payer agad agad? Kasi bali total of maximum 3 weeks lang ang stay ko dyan sa Melbourne then after than have to be back in SG para settle lahat bago mag BIG move sa 2016.

Thanks again!

lock_code2004

@supertoblerone pwde, if you have a postal address in au.. They will send the tfn via post.

So kung wla kang address here, just do this pag magsettle kana dito..

supertoblerone

@lock_code2004 Well noted boss! Maraming salamat ulet!

Andoy31

tama ba na once you have TFN - required ka na to pay AU Taxes?
patanong lang mga boss

what if mag initial entry and kumuha ng TFN pero may work pa rin sa singapore - does this mean idedeclare na uing income? kahit may treaty against dual taxation si AU and SG?

wizardofOz

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

Andoy31

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

ahhh got it, getting a TFN is a one way road :P

thanks

IslanderndCity

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

ahhh got it, getting a TFN is a one way road :P

thanks

can we put numbers for better understanding po? for example you're an Au PR, done sa initial entry na, then balik SG to work muna,..
SG salary 4000 sgd
SG tax 280 sgd
how much tax you must pay to Au in that month?

wizardofOz

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

ahhh got it, getting a TFN is a one way road :P

thanks

can we put numbers for better understanding po? for example you're an Au PR, done sa initial entry na, then balik SG to work muna,..
SG salary 4000 sgd
SG tax 280 sgd
how much tax you must pay to Au in that month?

Bro, there are couple of factors to consider...

Here's the sample calculator from ATO

http://calculators.ato.gov.au/scripts/asp/simpletaxcalc/main.asp

Andoy31

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

ahhh got it, getting a TFN is a one way road :P

thanks

can we put numbers for better understanding po? for example you're an Au PR, done sa initial entry na, then balik SG to work muna,..
SG salary 4000 sgd
SG tax 280 sgd
how much tax you must pay to Au in that month?

actually when i was reading the ATO site, I'm getting confused lalo :P
will give a call to ATO sometime today and will let you guys know.

Andoy31

@Andoy31 as far as I know kahit may tax treaty... ang i-aaddress lang nun is yung double-taxation.. meaning ibabawas lang any tax na bayaran mo sa SG sa tax na due mo to AU.... since magkaiba sila ng percentage..

But basically, you still have to pay tax to Oz... yan eh as far i know.

Ito naman ang naappreciate ko sa Pinas.. hindi na tayo required magbayad ng tax sa PHL Govt sa mga earnings natin abroad...

ahhh got it, getting a TFN is a one way road :P

thanks

can we put numbers for better understanding po? for example you're an Au PR, done sa initial entry na, then balik SG to work muna,..
SG salary 4000 sgd
SG tax 280 sgd
how much tax you must pay to Au in that month?

actually when i was reading the ATO site, I'm getting confused lalo :P
will give a call to ATO sometime today and will let you guys know.

opps sorry - for your case sguro as long as di ka pa kumuha ng TFN - ok lang.
also if may TFN ka na, ithink uing difference ng tax ng australia and SG and kailangan mong bayaran sa AU --

anyway, i did called ATO up and the guy said na it depends whether you're an australian tax resident
https://www.ato.gov.au/Individuals/Income-and-deductions/How-much-income-tax-you-pay/Are-you-an-Australian-resident-for-tax-purposes-/

and then
https://expertsystems.ato.gov.au/scripts/CA/Web/Default.aspx?PID=68&anchor=DoINeedToLodge#DoINeedToLodge

IslanderndCity

@Andoy31 thanks. no TFN pa po ako. and balak sana kukuha this March during sa initial entry :-*

wizardofOz

Question lang with regards to Interest earned from Savings sa AU Bank

Assuming I have “not permanently” moved to OZ (i.e. I am still offshore and not moved permanently to Oz)... but I already have money in the bank (e.g. NAB Migrant Account) earning interest…

Paano kaya ang Tax nun?

gotstamped

hi @wizardofOz , may withholding tax na 10% on the interest that you earn.
ganito sa case ko.
on their records, i'm a non-resident living outside aus. at saka wala pa ako TFN.

Andoy31

Question lang with regards to Interest earned from Savings sa AU Bank

Assuming I have “not permanently” moved to OZ (i.e. I am still offshore and not moved permanently to Oz)... but I already have money in the bank (e.g. NAB Migrant Account) earning interest…

Paano kaya ang Tax nun?

Based sa mga nabasa ko --Assuming na wala pang tfn dun sa NAB account mo, then you'll still be taxed- the tax rate is the highest rate

IslanderndCity

Question lang with regards to Interest earned from Savings sa AU Bank

Assuming I have “not permanently” moved to OZ (i.e. I am still offshore and not moved permanently to Oz)... but I already have money in the bank (e.g. NAB Migrant Account) earning interest…

Paano kaya ang Tax nun?

Based sa mga nabasa ko --Assuming na wala pang tfn dun sa NAB account mo, then you'll still be taxed- the tax rate is the highest rate

Are you suggesting not to get TFN if wala ka pa plan to stay in Au permanently?

Andoy31

Question lang with regards to Interest earned from Savings sa AU Bank

Assuming I have “not permanently” moved to OZ (i.e. I am still offshore and not moved permanently to Oz)... but I already have money in the bank (e.g. NAB Migrant Account) earning interest…

Paano kaya ang Tax nun?

Based sa mga nabasa ko --Assuming na wala pang tfn dun sa NAB account mo, then you'll still be taxed- the tax rate is the highest rate

Are you suggesting not to get TFN if wala ka pa plan to stay in Au permanently?

Yap.. Kse mga @least 2-3 weeks daw ang delivery ng tfn sa mailbox-- i jut signed up for one and 28 days ang sabi dun sa website confirmation and ipapadala via mail

kangarookoala

If you are not in au kahit pr na and may tfn na even if working in sg or ph... You don't have to pay tax. Double taxation only works if you live in au and still receive income from abroad.
Let say may property ka in pnas and you receive rent pero yung pera naman stays in pinas. You don't need to declare that kasi the money will not be reflected in au. You are also already taxed sa pinas. There is no way for au to check ur income in your home country if d naman pumapasok sa au bank account mu.
BUT if it is deposited in au and you live in au then you will get taxed. Once the money gets into au..then double taxation will apply kasi part of your income na sya. Kaya double taxation kasi nag bayad ka ng tax sa pinas..pag dating sa au ng pera mu may tax ulit.
Money (baon) you bring in from sg/ pinas as a new migrant is not taxed kasi savings yan and not income anymore.
Like si hubby, he was in au for about half a year but he was not working. He was doing a course. He has a tfn and we asked the accountant if he needs to file for tax. The accountant said no kasi he is not working even though he did live here in au no need to pay tax. Same principle will go for unemployed and students. They don't pay income tax if they have no income in au.
Now, si hubby had to go home kasi he has work back home. during tax time i asked the accountant does he need to file for tax. Accountant said, no need kasi he has not been in au for more than a couple of weeks (holiday) for the tax year. Si hubby is p.r. Of au but hindi sya tax resident kasi he does not live in au.