Get Out of Australia Now Before Tax Rules Change! | Summary and Q&A

TL;DR

Australia is implementing new rules that will make it harder for wealthy expats and entrepreneurs to become non-resident taxpayers, potentially leading to higher taxes and stricter regulations.

Key Insights

• 🌏 Becoming a non-resident taxpayer in Australia involves meeting the resides and domicile tests.
• 🌏 Retaining assets in Australia is possible while becoming a non-resident taxpayer.
• 🥺 Proposed changes may make it harder to become a non-resident taxpayer, potentially leading to higher taxes and stricter regulations.
• 🥳 Spending less than 45 days in Australia over three income tax years may be required to be considered a non-resident taxpayer.

Transcript

hi it's a wealthy expat here australia is becoming one of the worst countries to be if you're a wealthy entrepreneur or investor you're going to pay more taxes it's going to be harder to become tax on resident in this video i interview mark from worldwide accountancy an accounting firm based in australia he helps australians leave australia get the... Read More

Questions & Answers

Q: What are the current tests for becoming a non-resident taxpayer in Australia?

The resides test and the domicile test are the primary tests, with the former focusing on residency and the latter on establishing a new domicile outside of Australia.

Q: Can I become a non-resident taxpayer without selling my properties in Australia?

Yes, it is possible to retain assets in Australia while becoming a non-resident taxpayer. There are distinctions between taxable and non-taxable Australian property.

Q: How can I stop paying taxes to Australia and become a non-resident taxpayer?

You need to cease residency and spend less than 45 days in Australia over the last three income tax years. However, proposed changes may extend this requirement to spending less than 90 days.

Q: How long do I need to wait to be considered a non-resident taxpayer after leaving Australia?

Currently, you stop paying taxes to Australia on the day you leave. However, proposed changes suggest a three-year test, meaning you would need to spend less than 45 days in Australia over three income tax years to be considered a non-resident.

Summary & Key Takeaways

• The current process of becoming a non-resident taxpayer in Australia involves meeting the resides and domicile tests, which require ceasing ties with Australia and establishing a new domicile elsewhere.

• To become a non-resident, individuals need a long-term lease and visa outside of Australia to demonstrate their intention to live outside the country for at least two to three years.

• It is possible to retain assets in Australia, such as properties, while becoming a non-resident taxpayer.