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Commentary

AU2.3.6 Sale of foreign property by Australian tax residents

Australia

When Australian tax residents dispose of a foreign property, they are required to report the capital gain on their Australian income tax return for the year ended 30 June. Many Australian tax residents who own foreign property purchased their property before migrating to Australia. Where a person acquires a foreign property whilst they are a non-Australian tax resident they are deemed to have acquired the property on the date they became an Australian tax resident, in most cases.

However, if a person migrates to Australia and satisfies the conditions of a temporary resident under Australian tax law (see AU1.3.1), they will be deemed to have acquired

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