“Are the losses from my rental in NZ tax deductible in Australia if I’m working there?” That’s what we were recently asked by a client. It appears that if your NZ rental property is owned in your personal name, the answer is yes. But if it is owned by a Look Through Company (LTC), what then? We didn’t know the answer, so we rang the Australian Taxation Office (ATO). After speaking to three different people, no one there knew either, so we have written to them. Here’s our letter below… we’ll let you know when we get a response:
GPO Box 9990
Dear Sir or Madam
Re: Personal attribution of losses from a Look Through Company (LTC)
We have some clients that are moving to Australia, where they will receive a regular wage from which tax is deducted by their employer and forwarded to the ATO. My questions are:
Click here to see the ATO's reply.
Accounting for your rental residential investment property; general taxation advice.