Australians: tax & $$ advice please

[ATOpic]

Hi - a (regularly posed) question to the australians in here - gday - I am an australian who has worked here for six months on a > 1 yr posting, and switched to being paid locally starting two months ago. I have been burned by the ATO as a contractor before and dont want it to happen again. If I reserve approx 10% funds for tax, and remain working in singapore for about 1 yr, am I likely to be liable for any tax on that income when I return to Oz? Surely not - with a double taxation agreement - right? I have an investment property in Oz and expect that to be my only tax affair while overseas. As an aside - what is the cheapest way to send funds back to an Oz bank to pay off a mortgage?

Thanks Folks.

[ansy]

Best to consult a professional.  A double tax treaty may simply allow credit on tax paid in Singapore - doesn't necessarily mean you won't be further taxed in Australia.

[Bewildered]

Don't panic, income from overseas employment is EXEMPT from tax in Australia. This applies whether you are a Resident or Non-Resident for taxation purposes in Australia. It is, however, taken into account in assessing your tax band for any income you earn IN Australia (eg interest, dividends).