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Tax advantages of being paid in the UK - any issues?

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benflux
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Posts: 1
Joined: Sun May 27, 2007 1:17 pm

Tax advantages of being paid in the UK - any issues?

Post by benflux » Sun May 27, 2007 1:25 pm

I understand that due to double-taxation agreements between the UK and Australia that when I arrive in Australia to live I can decide to still pay tax in the UK (rather than Australia) as my business will still be based out of the UK.

From what I can see, the upper UK tax rate is lower than the Australian one so it makes sense as far as I can see.

Has anyone any experience of this? Any problems with doing this?

Jon_H
Junior Member
Posts: 53
Joined: Sun May 13, 2007 6:12 pm

Post by Jon_H » Thu May 31, 2007 5:09 pm

If you spend your time working in Australia, and living in Australia you would be a tax resident and liable to Australian tax.

http://www.ato.gov.au/individuals/conte ... 1&st=&cy=1

The way double taxation generally works is that you would be able to deduct from you AU tax bill any tax paid in the UK. This would therefore mean you would still pay the AU rate. [/url]

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