Australian Taxes

[Liam and Sam 2]

Calling all Aussies! My fiance has left taxes up to me to figure out and I want to make sure I have everything in order. For those of you who have migrated to the United States:

The Australian fiscal year is different than the US: July 2007 - June 2008. My fiance will be paying 07-08 taxes before he leaves the country. However, he will have made Australian income from July 2008 - October 2008. When tax year rolls around in the US early 2009 what exactly do I do considering he hasn't paid on those four months of income. (He will not have earned any American income in 2008).

If I choose to classify him as a resident for tax purposes then we will be taxed on our worldwide income which is over the exclusion threshold. What happens to the amount over that threshold?

If we choose not to classify him as a resident for tax purposes then is he just excluded for my 2008 taxes and pay Australian taxes on that remaining income when it comes about in July 2009?

I am going to call the ATO anyway to ask some more questions but was wondering if anyone else had experience with this. I read somewhere about prorating but I would have no idea how to do that.

I apologize if anything is unclear.

[Liam and Sam 2]

Couldn't edit my post but I meant to say:

If we choose not to classify him as a resident for tax purposes then is he just excluded for my 2009 taxes and pay Australian taxes on that remaining income when it comes about in July 2009?

[DairyFarmer 1]

Calling all Aussies! My fiance has left taxes up to me to figure out and I want to make sure I have everything in order. For those of you who have migrated to the United States:

The Australian fiscal year is different than the US: July 2007 - June 2008. My fiance will be paying 07-08 taxes before he leaves the country. However, he will have made Australian income from July 2008 - October 2008. When tax year rolls around in the US early 2009 what exactly do I do considering he hasn't paid on those four months of income. (He will not have earned any American income in 2008).

If I choose to classify him as a resident for tax purposes then we will be taxed on our worldwide income which is over the exclusion threshold. What happens to the amount over that threshold?

If we choose not to classify him as a resident for tax purposes then is he just excluded for my 2008 taxes and pay Australian taxes on that remaining income when it comes about in July 2009?

I am going to call the ATO anyway to ask some more questions but was wondering if anyone else had experience with this. I read somewhere about prorating but I would have no idea how to do that.

I apologize if anything is unclear.

I think you will find these two links helpful. The first is the overview of someone leaving the country and their obligations.

http://www.ato.gov.au/individuals/pathway....565#001_002_012

The other is checking to see the eligibility of lodging the tax return early. You will need to download the Taxpayer leaving Australia – Request for early assessment (NAT 3407). But its on the link.

http://www.ato.gov.au/individuals/content....mp;st=&cy=1

Unfortunately not up on the US tax system....yet so can't help there. But he will be required to complete his tax return for the Australian 2008/09 fiscal year.

[Liam and Sam 2]

Calling all Aussies! My fiance has left taxes up to me to figure out and I want to make sure I have everything in order. For those of you who have migrated to the United States:

The Australian fiscal year is different than the US: July 2007 - June 2008. My fiance will be paying 07-08 taxes before he leaves the country. However, he will have made Australian income from July 2008 - October 2008. When tax year rolls around in the US early 2009 what exactly do I do considering he hasn't paid on those four months of income. (He will not have earned any American income in 2008).

If I choose to classify him as a resident for tax purposes then we will be taxed on our worldwide income which is over the exclusion threshold. What happens to the amount over that threshold?

If we choose not to classify him as a resident for tax purposes then is he just excluded for my 2008 taxes and pay Australian taxes on that remaining income when it comes about in July 2009?

I am going to call the ATO anyway to ask some more questions but was wondering if anyone else had experience with this. I read somewhere about prorating but I would have no idea how to do that.

I apologize if anything is unclear.

I think you will find these two links helpful. The first is the overview of someone leaving the country and their obligations.

http://www.ato.gov.au/individuals/pathway....565#001_002_012

The other is checking to see the eligibility of lodging the tax return early. You will need to download the Taxpayer leaving Australia – Request for early assessment (NAT 3407). But its on the link.

http://www.ato.gov.au/individuals/content....mp;st=&cy=1

Unfortunately not up on the US tax system....yet so can't help there. But he will be required to complete his tax return for the Australian 2008/09 fiscal year.

I guess we'll have to lodge the 08-09 early and show that he moved from resident to non-resident of Australia. Do you think it's ok to apply for early lodgement after he has arrived in the United States? Or do we have to do this before he leaves the country?

Thank you for the links!!

[Liam and Sam 2]

Nevermind. I just read the portion where it says how to file from overseas. I'm having one of those days...

[DairyFarmer 1]

Early lodgement is basically any time before the EOFY (sorry end of financial year). In your case I would wait till he is with you. The biggest issue he will have is getting his group certificate / PAYE from his employer. You need that before you can file.

[Liam and Sam 2]

Early lodgement is basically any time before the EOFY (sorry end of financial year). In your case I would wait till he is with you. The biggest issue he will have is getting his group certificate / PAYE from his employer. You need that before you can file.

I'll let him know to get the final 08-09 group certificate. Hopefully they won't have any issues getting it to him early. THANK YOU. You have no idea how much stress you helped relieve! I am crossing my fingers that the US tax portion isn't much more complicated.