Go Matilda Your Gateway to Australia Info
Visas Personal Issues News Forums Destinations
This is the archived version of the Go Matilda website. Please visit our new site for the latest information and news
Home Register Contact Links
News
Renting UK property - tax - rental losses

Author: Alan Collett
Date: Monday, July 07, 2008
 
It is all change from the 1st of July, 2008: losses arising on the rental of property located outside Australia can now be offset against Australian assessable income.

This means that taxpayers can effectively "negatively gear" in respect of property located outside Australia.

The change will be particularly good news to migrants from countries such as the UK who have been unable to sell their main residence due to the recent problems in the housing market. They can now plan to rent out their property and to claim a tax deduction for any losses they sustain, reducing their Australian tax bill as a result.

This change commences from the start of the current Australian tax year (the year starting on the 1st of July, 2008).

In addition, taxpayers who have sustained losses on rental property in the last 5 Australian tax years while resident in Australia and which have not yet been claimed as a deduction can contemplate claiming a tax deduction when completing their 2009 Australian Tax Return.

The same principle applies to losses arising on other passive sources of income outside Australia, including interest income, where borrowing and related expenses have been incurred in making the investment from which the interest income derives.

Any taxpayers who would like assistance with their tax affairs and/or Tax Returns on an ongoing basis should contact us in the UK on Southampton number 023 80 30 2525, or in Australia on Melbourne number 03 9935 2929 or Perth number 08 9261 7762.



Weblink:  http://www.ato.gov.au/individuals/content.asp?doc=/content/00107951.htm&page=1&H1=&pc=001/002/012/015/009&mnu=1113&mfp=001/002&st=&cy=1


Back
Search



Eligible for Australian citizenship?
Can you get an Australian passport?

More Details...
Visas   Business Issues   Personal Issues   News   Forums   Destinations   Real Estate   Businesses for Sale
© Copyright & DisclaimerPrivacy StatementDesign & Technology by Reading Room