Expat Chat Episode 106 – Expats Are Still Confused Regarding The Main Residence Exemption (MRE)
Welcome to the one hundred and sixth episode of the #Expatchat podcast where we discuss the latest tax and financial issues affecting an #Australianexpat.
In today’s Expat Chat we revisit the topic of the Main Residence Exemption (MRE) and the confusion amongst Australian expats that still surrounds the changes that came into play on the 1st of July 2020.
With many Australian expats owning property when they leave Australia, especially their former principle place of residence, how this asset is treated when you are a non-resident for tax purposes is completely different to that of an Australian tax resident.
The premise behind the Main Residence Exemption (MRE) is that you can live in a property that you make your principle place of residence, move out of it and rent the property for up to 6 years and should you chose to sell it in that period you do not pay capital gains tax.
However should an Australian expat follow this path not only will they pay capital gains tax when they are a non-resident for tax purposes but they will potentially pay it all the way back to the day that they purchased it, not when they left the country.
Discussion Points on Todays Podcast Episode
In this episode we run through the following topics:
How does the Main Residence Exemption work?
How do the changes in 2020 affect Australian expats?
Sample scenarios of Australian expats retaining or selling their former principle places of residence.
Links that we discussed in this episode include:
- Upcoming Webinars – https://atlaswealth.com/events
- Facebook Group – Don’t forget to join our Australian Expat Financial Forum Facebook Group – https://www.facebook.com/groups/Australianexpatfinancialforum
- Ask Atlas – Have your questions answered on the podcast by clicking this link – https://atlaswealth.com/news-media/australian-expat-podcasts/questions-or-feedback-for-the-expat-podcast/
- Expat Mortgage Podcast – https://atlaswealth.com/news-media/australian-expat-podcasts/expat-mortgage-podcast/
If you like the content make sure you let us know by hitting the thumbs up and subscribing as well as providing some feedback in the comments below.
Atlas Wealth Management is a specialist in providing tax financial planning advice to every Australian #expat.
Whether you are based in Asia, the Middle East, Europe or the Americas, we have the experience in providing wealth management and planning services to the expatriate community.
Atlas Wealth Management was born out of the demand from expats who wanted a financial adviser to help them navigate the tax and financial maze of living abroad as well as assisting them make the most out of their time overseas.
To find out more about Atlas Wealth Management and how we can help Australian expats please go to https://www.atlaswealth.com.
Make sure you connect with us on our respective social media channels:
Make Sure You Don’t Miss An Episode of the Expat Chat Podcast
To ensure you don’t miss any future episodes make sure you subscribe to our podcast on your favourite channels below.
As we’d like to educate as many Australian expats as possible we’d also sincerely appreciate it if you could share this page using the buttons at the bottom of this article.