CGT on my Aussie shares

[jilly59]

Hi

I'm heading home to New Zealand in a couple of months after a few years in Australia and was wondering if anyone else on the forum had bought Aussie shares while living in Australia and what they did as far as paying Australian CGT (on the shares).
If I understand the ATO (Aussie tax office) rules concerning CGT correctly, I have the option of paying CGT on all my shares before I leave Australia (which I don't want to do!) or pay the CGT (to the ATO) when I do actually sell the shares while living back in NZ.
Anyone been in the same situation - selling their shares after returning to NZ and then the ATO chases you up for the CGT owing or is it up to you to contact the ATO?
Or do nothing? ;).

Thanks

Jill

[Snow Leopard]

Now why not play it the simple legal way and declare a CGT event for the shares on leaving?

Then you will not spend the rest of your life fearing that knock on the door.

During my time in the West Island, as a result of the mutual swapping of tax information, I got a tax bill from the ATO for a lot of money (taxes on undeclared overseas income for several years plus interest). A quick phone call and sending a photocopy of my NZ passport with Oz entry/exit stamps resolved the problem without paying money (except for cost of the stamp, call etc).

I still pay tax on Australian income in Australia, but do not have to do the CGT thing on shares any more.

Best Wishes
Paper Tiger

PS I would just like to say that the ATO is a wonderful organisation to do business with.

[couta1]

Do nothing. After all, you may or may not be returning to Australia in the future ;) And if it turns out you don't, well it could be easy to forget that you were supposed to file a tax return years from now :D
Agreed and the way the Aussie Govt treats kiwis they already get far too much tax from us,yet we treat them well on this side of the Tasman:cool:

[Snow Leopard]

If you want to sleep easy at night, then at least wait until another Australian tax year to sell them and declare the CGT. That way the tax rate you pay is based on your income, which will be nil, so much lower than if you had been working there and paying one of the top marginal rates. Also make sure you have held them for at least 12 months so you get the CGT discount.

Great thinking there KW :)
Leave on or after 1 July - unless you income this year will be less than $18,000 in which case it could be 'cheaper' to leave before 1 July.

[As a non-resident you are taxed at 10% on every dollar - there is no tax free allowance].

Best Wishes
Paper Tiger

Disc: this is guidance only do not book flights based on this post.

[jilly59]

Some good thoughts there; thanks for all your replies.

Jill