Header Ad Module

Collapse

Announcement

Collapse
No announcement yet.

Tax Benefits of Overseas Property

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Tax Benefits of Overseas Property

    Hi All,
    I have a investment property in Aussie which is currently negatively geared. I am moving back to Wellington next month and I am wondering if I will get any tax deduction by IRD even for my aussie property. I will be working full time in NZ, so can I claim the interest payments against my NZ income.

    Thanks for your help

    Regards
    Shocky

  • #2
    From memory you can claim tax losses but the have to be calculated based on NZ tax rules, not Australian. Therefore you will need to do two tax calcs/ tax depreciation calcs etc.

    Comment


    • #3
      We have a property in Vanuatu, what we do is essentially just treat it as a NZ rental. We convert all transactions to NZD, then the accountant just does his thing as though it was a NZ rental. The only difference is that you will need to get AIL status approved by IRD-again your accountant should be able to sort this

      Comment


      • #4
        Hi Guys,

        Thanks for your replies.

        The Australian Tax Office doesn't allow losses from overseas properties to be offset against any Australian income. Basically what this means is that any losses incurred are not subsidised.
        Is this the same with the NZ IRD?


        Thanks
        Shocky

        Comment


        • #5
          Hi there
          you can offset losses from aussie rentals against your NZ income. as cj mentioned, your NZ accountant will recalcuate the taxable loss based on NZ tax legislation. is your loan from overseas/Aust? there are some additional rules this.
          hope this helps.

          Comment

          Working...
          X