Is U.S rental income double Taxed? i.e over there and here in OZ?

Viewing 4 posts - 1 through 4 (of 4 total)

woohah76
Participant
@woohah76
Join Date: 2014
Post Count: 20
December 24, 2014 - 11:27 am
Just asking anyone with experience how U.S rental income is taxed if you are still an Australian resident/citizen etc?
Thanks for your insight
Nigel Kibel
Participant
@nigel-kibel
Join Date: 2005
Post Count: 1,425
December 25, 2014 - 11:01 am
You should buy a property in a LLC you then declare and pay the tax to the IRS and you receive a tax credit and you then pay the difference between the US and Australian tax which would be added to your taxable income in Australia. Naturally you should seek independent advice.
- This reply was modified 9 years, 3 months ago by Nigel Kibel.
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
Email Me | Phone Me
We have just launched a new website join our membership today
woohah76
Participant
@woohah76
Join Date: 2014
Post Count: 20
December 25, 2014 - 2:23 pm
Thanks for that. Briefly, how do the deductions work? Can any expenses incurred be claimed in Australia or is it all to be claimed when paying taxes to the IRS in the state?
Redwood
Participant
@redwood
Join Date: 2013
Post Count: 340
December 25, 2014 - 9:13 pm
Nigel is correct. You will need a tax return in the local jurisdiction in the states and there is a double tax agreement between US and AUS so a foreign tax credit is received to avoid double taxation.
Cheers Ivan
Redwood | REDWOOD | SMSF | PROPERTY | FINANCE
http://redwoodadvisory.com.au
Email Me | Phone Me
SMSF - PROPERTY INVESTMENT - WEALTH CREATION AND FINANCE SOLUTIONS