I've read on a few websites that as a non-resident any share trading you do on the ASX will be tax free. Is this correct? So that would mean someone can go and live overseas, become a non-resident in Australia and trade the ASX as an active share trader but base themselves in a zero tax country and pay no tax at all. These are some sites that mentioned it: Australian Property Tax and Finance Information Australian expat’s profit from shares not subject to tax Also, if you still have a bank account in Oz earning interest, is it correct that you only get charged 10% tax as a non-resident? As opposed to residents who could be paying up to 47%?
It is generally true. However not all taxpayers activities are a CGT event. An active share trader does not attract the CGT exemption you are referring to and being based overseas may be liable to Australian tax still. The exemption only applies to some shares - I often caution about ETFs and managed funds and stapled securities. The method used by a share trader to calc profit also differs from the CGT basis. Withholding is 10% and is either deducted by the bank OR if when you lodge a return. If the bank doesnt do the withholding you must lodge and report the interest. Unfranked divs are subject to 15% withholding tax. Franked divs are excluded and not subject to AU tax but the franking is lost. You should get personal tax advice.
