Tax on overseas financial gifts

[kiwibird27]

Should u declare financial gifts sent to u from overseas relatives?? Is it classed as income??? Is there a dollar amount that u have to declare.

What about inheritance from overseas, Transfering money to Australia....Is that different???

Can't find info on the ATO website

[KatiesMum]

Gifts - a gift is a gift.....is not assessable income. Whoever has given the gift has paid tax on the money when it was earned. This is the same whether it comes from Aus or overseas.

Sorry but I dont know much about inheritances...

[Lastcenturymum]

I think there is still a limit even if it a gift, same as if you give to your children there is a limit (it can be classes as income) I forget the name of it. Interested about the inheritance one as I know someone who is due some money but avoiding claiming it till divorced so the ex can't get any of it...but I suspect that might backfire on them! :p

[Manxie]

hi

I'm fairly sure that you dont pay any tax on inheritance earned overseas. They assumed that it is taxed at source so they wont tax again. The only cost will be in bank fees when transferring it over.

[kiwibird27]

Okay, Tahnks guys, the ATO website is really un helpful!!