Tax treaties

It would be a real shame to work or invest in another country, pay the correct taxes there and do the right thing... only to find yourself taxed again on the same money when you return home to Australia.  If this were really how tax worked, there would almost be no point in trying to earn a crust anywhere else at all.

Luckily, Australia has international agreements in place with over 40 countries, which help prevent double taxation. These agreements – or treaties – help prevent fiscal evasion and builds co-operation and relationships with other international tax authorities. Sort of a 'if you scratch my back, I'll scratch yours' situation, allowing the enforcement of respective tax laws where necessary.

The tax treaties that exist aren't a case of 'one size fits all.' There are specific points which relate to particular countries, and the interpretations and tax guidelines change regularly. Tax treaties may also be interpreted differently to Australian tax legislation so it's always worth checking with your accountant, or with the Tax Office.

NOTE: Capital gains tax
If you dispose of property in another country, you may be subject to capital gains tax. However, there are some countries with pre-capital gains tax treaties ('pre-CGT treaties') these are indicated in the table by a '#' sign.  To find out what you should do if this applies to you, and how the Tax Office treats CGT in pre-CGT-treaties, consult your accountant.

Countries Australia has tax treaties with:

The linked countries go to the Australian Tax Office website, and contain a summary of the key treaty points.

For those countries without a current summary, the relevant legislation and explanatory memorandum can be viewed on the Treasury website. Their website also contains up-to-date details of current treaties.

Last reviewed 9/08/2012

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