Tax on overseas IP's

[kristopher]

Hi All,
Could anybody tell me how the tax works on overseas income from property?
Do you get taxed in the country where the property is, or where you reside or both?

Thanks!!!

 

[bryson]

Hey kristopher,

So, as an aussie you pay tax on your world wide income no matter what the source. In this case it is property. You get a credit for tax paid in the country where the income is earn so you will not pay any more tax than if you earn the income locally. That's just the basic idea and does not consider structures.

Good Luck!!

 

[AustralianInvestor]

Ok, I have found this post after my tax qustions search and i wanted some clarification from someone with experience.

So lets say I purchased property a property in Morocco and i owned it for 2 years, which means i get taxed 20% from the moroccan government. When these funds come into my Australian bank account, do i need to declare the funds to get taxed once again?

Thanks!