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Australian Aged Pension


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4 hours ago, giddyup said:

Before I moved here 14 years ago I was told by a Centrelink employee that my pension would stop once I left Australia. Had to get her to go online while I was there to read the actual policy re moving overseas. If I hadn't already known the facts it may have dissuaded me from moving.

When in Sydney many many years ago I called the older Oz line and said I wanted some advice about portability. The stubborn female office responded quickly 'there's no such thing, do you really expect Australia to pay you in another currency?' and she hng up. 

 

I politely hung up and called again, different pleasant office, I shared what had happened 2 minutes earlier. She responded 'please give me 2 minutes and I can identify who you spoke to, please don't hang up. About 5 minutes later a more senior officer came on the line and strongly apologized. Then she gave me me a lot of information and advice re portability.

 

She shared that the errant officer had a track record of rudeness and wrong answer.  About 3 days later the errant officer called me and apologised and shared that she would finish work that day, she had been sacked. Snr officer called very late same day to check that the errant officer had called me and apologized. 

 

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6 minutes ago, scorecard said:

When in Sydney many many years ago I called the older Oz line and said I wanted some advice about portability. The stubborn female office responded quickly 'there's no such thing, do you really expect Australia to pay you in another currency?' and she hng up. 

 

I politely hung up and called again, different pleasant office, I shared what had happened 2 minutes earlier. She responded 'please give me 2 minutes and I can identify who you spoke to, please don't hang up. About 5 minutes later a more senior officer came on the line and strongly apologized. Then she gave me me a lot of information and advice re portability.

 

She shared that the errant officer had a track record of rudeness and wrong answer.  About 3 days later the errant officer called me and apologised and shared that she would finish work that day, she had been sacked. Snr officer called very late same day to check that the errant officer had called me and apologized. 

 

That was justice. The officer who gave me bad information I kind of paid out a bit, told her to check before giving people bad info. Surprise, surprise my pension was stopped the first week I moved here. Maybe a coincidence, maybe payback. I had to ring the international off and get reinstated.

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13 hours ago, rhodie said:

Mate, stop feeding him. He thrives in feedback. We'll get 15 posts to back his scaremongering.

We all know it is BS.

 

My bad, your 100% correct, I'll go back to blocking him 🤐

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17 hours ago, 4MyEgo said:

 

Google is your friend.

 

You don't need to lodge a tax return if:Centrelink is not withholding tax from your pension payment and you have no other income. If your aged pension payment is your only source of income, then you do not need to lodge a tax return.

 

https://www.kpgtaxation.com.au/blog/how-much-can-an-australian-pensioner-earn-before-paying-tax/#:~:text=Typically%2C you need to be,%2428%2C974 per person for couples.

 

 

I read your link. 

 

Once again, it's focused on Australian residents for tax purposes, who have the benefit of the tax free threshold. 

 

The whole games changes as a non resident of Australia for tax purposes.  The first tax bracket of non resident tax is $0 to $135,000 at 30%.

 

I found the below links in 10 seconds on the first page of a Google search.  Remember, the pension is deemed an "income" at law.  This has already been established on this thread.   If you disagree with this, post a link showing so. 

 

From the ATO.  Note it includes "pensions." 

 

https://www.ato.gov.au/individuals-and-families/coming-to-australia-or-going-overseas/your-tax-residency/foreign-and-temporary-residents

 

"If you're a foreign resident for tax purposes you must declare on your tax return any income earned in Australia, including:

 

employment income

 

rental income

 

Australian pensions and annuities

 

capital gains on Australian assets.

 

As a foreign resident:

 

you have no tax-free threshold"

 

 

On the same first page of a Google search are the below that supports the above.

 

https://reesgroup.com.au/australian-tax-returns-for-non-residents/

 

"Non-Residents must also lodge a tax return if they earn income while in Australia. However, non-residents only have to include income earned in Australia and do not have to declare foreign income, including income from employment in other countries.

Australian non-residents are not entitled to the tax-free threshold and as a result pay higher tax rates than residents. This means that Tax in Australia for non-residents is charged from the first dollar of income they earn."

 

And this one.

 

https://www.taxback.com/blog/file-australian-tax-return/#:~:text=So%2C it's important to stay,on Australian buildings and land.

 

"If you have any income derived from Australian sources, even as a foreign resident, you will have to file a tax return."

 

Also this from the ATO about bank interest.

 

https://community.ato.gov.au/s/question/a0JRF0000004AX3/p00253264

 

"Non-tax residents of Australia are taxed only on income earned in Australia.

 

As such, the $35 bank interest may be taxable in Australia as it appears your bank is not aware you are a non-resident and has not withheld tax. (Dependant on the terms of any applicable double taxation treaty)

 

As a non-tax resident, you do not have access to the tax-free threshold and will be taxed at 32.5% on the $35 (so $11.38 tax to pay)"

 

Note the non resident tax in the first bracket has changed to 30%, down from 32.5%.

 

Plenty of other links stating the same. 

 

If you can post a link that shows pensions are exempt from non resident tax, or expat pensioners still have the benefit of the tax free threshold, I would like to read it.

 

The Australia / Thailand DTA covers government service pensions, not aged pensions from Centerlink. 

Edited by KhunHeineken
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16 hours ago, rhodie said:

 

 

Mate, stop feeding him. He thrives in feedback. We'll get 15 posts to back his scaremongering.

We all know it is BS.

 

 

 

Perhaps you would care to comment on the links I have provided.

 

if you think the links I have posted are "BS" can you post some links that counter the information? 

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The way I read the rules for OAP, once you're on the pension you can elect to do a final tax submission and never have to file a tax return again (as pension + rebates is < threshold). 

 

I'd then assume tax residence is irrelevant as you never have to file a tax return again and therefore never have to declare residency status (Resident or non-resident tax status is only determined during a tax return, never any other time)

 

Have I missed something?

 

Edited by Pattaya57
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2 hours ago, Pattaya57 said:

The way I read the rules for OAP, once you're on the pension you can elect to do a final tax submission and never have to file a tax return again (as pension + rebates is < threshold). 

 

I'd then assume tax residence is irrelevant as you never have to file a tax return again and therefore never have to declare residency status (Resident or non-resident tax status is only determined during a tax return, never any other time)

 

Have I missed something?

 

This may be obvious but if you lodge a final tax return and circumstances change you would need to start lodging. A change in residency could be such a situation. 

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10 hours ago, Pattaya57 said:

 

Yep, if everyone blocks him and never replies to him then this decades old thread may actually be useful again to newbies to the OAP and old timers as well. Just remember he posted this:

 

"I'm not on a pension, I'll never be on a pension and I think all pensioners are freeloaders living off my taxes"

 

Why would anyone engage with someone in the pensioner thread who obviously has an agenda of hating pensioners? Meanwhile he's made nearly 1000 posts in this thread 

 

I have answered this before. 

 

After working hard and paying a lotttttttttt of tax, I admit, I do feel somewhat entitled, thus, I very well may restructure my income, and assets, and my finances in general, to receive a part pension.  I have already discussed this with my accountant. 

 

Why would I "hate pensioners" when I am considering arranging my financial position so I could possibly receive a part pension????

Edited by KhunHeineken
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8 hours ago, Pattaya57 said:

The way I read the rules for OAP,

The way you read the rules isn't worth much though, is it? 

 

It's the law, and the laws are changing, and moving more towards making it easier for the government to enforce the law. 

 

8 hours ago, Pattaya57 said:

once you're on the pension you can elect to do a final tax submission and never have to file a tax return again (as pension + rebates is < threshold). 

That's not what the several links I have posted just a few posts ago say, is it????

 

One link is from the ATO website.  Did you read it?  I quoted the relevant part.  Is it incorrect?  Can you post a link showing otherwise, and supporting your "read" of the "rules?" 

 

Another link is from an ATO staff member. 

 

What about posting about how "the ATO read the rules for OAP?" 

 

8 hours ago, Pattaya57 said:

I'd then assume tax residence is irrelevant as you never have to file a tax return again and therefore never have to declare residency status (Resident or non-resident tax status is only determined during a tax return, never any other time)

Quite an assumption. 

 

Do you have any links to back up your assumption? 

 

8 hours ago, Pattaya57 said:

Have I missed something?

Yeah, lots. 

Edited by KhunHeineken
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5 hours ago, Fat is a type of crazy said:

This may be obvious but if you lodge a final tax return and circumstances change you would need to start lodging. A change in residency could be such a situation. 

Clearly, circumstances are changing, and not just for guys like Paul Hogan. 

 

Funny how most members on this thread accept Thailand's inside Thailand for 180 days you WILL BE a tax resident of Thailand for tax purposes, as discussed in another forum, but NO WAY can they accept Australia moving to a similar system of outside of Australia for 183 days, you WILL BE a non resident of  Australia for tax purposes. 

 

Go figure. 

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