In this truly global world you may have accumulated assets in Australia and overseas. Your company may also be trading internationally or you may have spent time overseas, looking at moving permanently out of Australia or are planning on returning to Australia. We have numerous clients experiencing these scenarios and we work with them to ensure they plan their requirements tax effectively and consideration is given to asset protection.
The taxation requirements of leaving and entering Australia are very complex and without careful planning the taxation consequences can be quite severe.
International tax laws differ in all counties and how a transaction is treated overseas may have a completely different treatment in Australia.
Before moving overseas or before you return from periods overseas or are considering moving to Australia it is essential you obtain tax advice. Careful planning and structuring may save you paying unnecessary tax.
A common misconception of operating overseas is profits can be shelved in a low tax jurisdiction. Australia taxes its residents on their worldwide income which can include businesses owned overseas under the Controlled Foreign Corporation rules.
There are considerations to be given to transfer pricing rules where businesses may be transacting with related parties overseas to ensure tax profits are correctly determined for each jurisdiction in accordance with the relevant tax laws.
Before commencing business overseas it is essential you understand these complex rules.
Benefits of international tax planning
Benefits of planning and reviewing your international tax requirements:
• to ensure tax effective strategies are applied in structuring your affairs
• help you understand your tax obligations in Australia
• ensure your asset protection measures do not have adverse tax consequences in Australia
• all Australian tax implications of operating a business overseas are considered to ensure you plan your affairs effectively
• consideration to tax effect of repatriating profits or capital
How can we assist?
We will review your assets and provide you with advice on the tax treatment and possible strategies to implement before moving.
Together with our international alliances we have the experience and knowledge to provide you with planning and structuring your international tax affairs.
Contact us today if you are considering moving to or from Australia.