How to bring money to Australia?

My sister is in a similar situation with wanting to transfer money to Australia (for the purpose of buying a house here).

She was born and raised here, but currently working and residing in SG. She has saved up over 100k in the last few years of working in SG.

What is the best way of transferring funds to Australia? We considered doing a telegraphic transfer, but was wondering if we could use an account like Citibank to transfer $3k per day to minimise the fees levied on international transfers (i believe Citibank SG has something similar to Citibank AU where you can withdraw money from ATM's free of charge and get a rate that is almost matching to XE - ie AUD$1 = SGD$1 at present).

How would the ATO view $3k coming in daily in that regard? It's not tax evasion as its funds built up from savings that already have been taxed, but the key purpose is to avoid the bank fees and smooth out exchange volatility over a period of time.

 

The ATO will be suspicious. But you should be able to explain the situation if challenged.

However, It is probably not the fees you need to minimise, but the exchange rate you need to maximise.

 

Part IVA: the general anti-avoidance rule for income tax

Or in Goverspeak, If we want it we'll get it

 

thanks sim. paging worked haha

first question. are you a resident for tax purposes in Australia ? if so then you are taxed on your worldwide income which will include any capital gain made on the sale of overseas property.

was the trust an Australian trust or a foreign trust (e.g. Labuan trust). are your parents residents of Australia for tax purposes or Malaysian tax residents ?

documentation will be the key in case of an ATO audit.

 

Hi Mike, appreciate your response. I am a resident for tax purpose in Aust and was not aware that I am liable for tax on sale of any overseas property sold irregardless if I didn't bring the funds to Aust.
It was sold under a foreign trust and my parents are Msian Residents and are retired in Malaysia.
If the funds were gifted to me, am I still liable for tax in Aust? The only contribution I made to the house was the misc expenses including the agent fee and lawyers fee. Thanks in advance, guys!

 

who gifted the funds?

 

would need to have an Australian tax lawyer analyse the Malaysian trust documents to determine whether there is an impact to you. RobG might be able to assist in that regard.