ATO, the Australian tax service, has launched an inventory of overseas transfers, and some of its friends, who receive remittances from overseas, are uneasy. So how to avoid the Australian tax inventory?
Overseas remittance ≠ overseas income
Most Chinese in Australia often receive remittances from domestic relatives and friends from banks to Australia, as well as tuition fees for overseas students, in order to meet the needs of home-buying, car-buying and investment, and so on. It also needs to be remitted to Australian banks through a bank or a foreign exchange company.
(here, we suggest that when looking for a foreign exchange company, you must find a foreign exchange company that holds a legal licence issued by the Australian Federal goverment and operates in good faith.)
At first, everyone thought that these remittance behavior did not deserve special attention. Not to mention ATO's tax policy on "overseas income". However, since last year, the Australian Inland Revenue Authority has begun a large-scale inventory of overseas remittance income projects.
First, let's take a look at the overseas revenue defined by ATO:
First, overseas revenue as defined by ATO is as follows
Any overseas income, including income generated, derived or received directly from sources other than Australia
Key words: periodicity
Two, the most important thing: 28 days.
You only have 28 days to respond to ATO's questions about the source and nature of the funding
If you do not respond within 28 days, the Inland Revenue Department has the right to modify your personal income, thereby affecting taxes payable, resulting in tax arrears, late payment, penalty interest, etc., so it is important.
Third, how to respond to the Inland Revenue Bureau's request to explain overseas remittance notice?
Export mode 1
ID: 's relatives themselves remitted through the bank.
Please prepare the following materials:
The remitter's bank statement. Can clearly show that the money is remitted by your family account, and the time, the amount of money and you receive the remittance time and amount in line with the amount;
Export mode 2
ID: relatives entrust others to remit through the bank
The remitter's bank statement. Can clearly show that the money is sent out by another account number, and the time, the amount of money and you receive the remittance time and amount in line with the amount;
Export mode 3
Entrust overseas Chinese express exchange company to remit
Please prepare the following materials
A bank statement for your relative. Be able to clearly show that the money is remitted by your relatives account to the company's designated account number, and the time, the amount of money and Rongqiao company to receive the time and amount of remittance in line with the time and amount;
Submission time: the Inland Revenue Department will require you to submit the relevant information within 28 days. If you think there is not enough time, you can call the Inland Revenue Office to apply for an extension of submission, which is generally approved by the Inland Revenue Department to grant you a grace on the time of submission, and if after one extension, you still feel that there is not enough time to do so. You can apply again to the Inland Revenue Department for an extension.
