Header Ad Module

Collapse

Announcement

Collapse
No announcement yet.

Living overseas with family home rented in NZ

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

  • Living overseas with family home rented in NZ

    If I work in Australia for 2 years and rent my home out in Auckland is tax paid on my NZ home in NZ or Australia?

  • #2
    Afaik if the money is earned here it should be taxed here

    However if it easier for you to list it as Australian earnings on an Australian tax return both tax offices will accept that

    The modern thinking is that as long as you have paid tax somewhere you're covered
    have you defeated them?
    your demons

    Comment


    • #3
      Hi Elliot,

      1) The rent is NZ income. So the entity who owns your NZ home would need to return the income and claim any expenses in NZ tax returns. Then pay tax on the profit in NZ.

      2) Not my area, and best to talk to Aussi tax advisor. My understanding, if your home is in your personal name, then if you become an Australian Tax resident, then the NZ rental profit would also need to be returned in Aussi, with a credit for any NZ tax paid.

      Ross
      Book a free chat here
      Ross Barnett - Property Accountant

      Comment


      • #4
        Originally posted by eri View Post

        However if it easier for you to list it as Australian earnings on an Australian tax return both tax offices will accept that

        The modern thinking is that as long as you have paid tax somewhere you're covered

        This is not correct. NZ IRD and government want the NZ tax!

        Ross
        Book a free chat here
        Ross Barnett - Property Accountant

        Comment


        • #5
          Thanks Rosco. If you pay tax in NZ on your rental and it runs at a loss is that used to reduce your taxable income in Aiustralia?

          Comment


          • #6
            Originally posted by Rosco View Post
            Hi Elliot,

            1) The rent is NZ income. So the entity who owns your NZ home would need to return the income and claim any expenses in NZ tax returns. Then pay tax on the profit in NZ.

            2) Not my area, and best to talk to Aussi tax advisor. My understanding, if your home is in your personal name, then if you become an Australian Tax resident, then the NZ rental profit would also need to be returned in Aussi, with a credit for any NZ tax paid.

            Ross
            Which are you ?
            Permanent tax resident ...taxed on worldwide income
            Temporary tax residents. ..local income only




            https://www.ato.gov.au/Individuals/I...-introduction/

            Comment


            • #7
              Originally posted by elliot View Post
              Thanks Rosco. If you pay tax in NZ on your rental and it runs at a loss is that used to reduce your taxable income in Aiustralia?
              Why do you pay tax on your NZ property when you make a loss ?
              Is the tax you are paying in NZ income tax ? (Not FB tax which you would still have to pay even if you lose money )
              Last edited by Beano; 25-07-2019, 11:45 PM.

              Comment

              Working...
              X