Frequently Ask Questions
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Yes. If you are a U.S. resident for tax purposes (usually under the Substantial Presence Test or by holding a green card), you must report your worldwide income to the IRS, even income earned in Australia.
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It depends. If you are considered a non-resident for Australian tax purposes, you may only need to report Australian-sourced income (like rent from property in Australia). If you remain an Australian tax resident, you must file a full return in both countries. Residency tests in Australia are strict, so this often requires careful analysis.
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No, not if planned correctly. The Australia–U.S. tax treaty and foreign tax credits generally prevent double taxation. The order in which you file and claim credits matters.
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Yes, if you have more than USD $10,000 combined across foreign accounts (bank, superannuation, brokerage, etc.) at any time during the year, you must file an FBAR (FinCEN Form 114). Penalties for missing this are severe.
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Superannuation is a gray area. The IRS doesn’t recognize super as a tax-free retirement account the way Australia does. Contributions and growth may be taxable in the U.S., depending on the type of fund and your contributions. Reporting is always required.
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Yes. The rental income and expenses must be reported on your U.S. tax return. Depreciation rules differ between the two countries, so your taxable income may look different in each system.
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Yes, in most cases. Foreign tax credits can offset U.S. tax owed, but the rules are complex and don’t always match perfectly.
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Generally no, unless you become a resident for tax purposes and lose the exemption. Australians on certain visas may also benefit from the Australia–U.S. totalization agreement.
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Yes. If you are a U.S. tax resident, you must report all worldwide gains. This includes property, shares, and crypto sold in Australia. The U.S. and Australia may tax them differently, so timing matters.
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Yes. We specialize in Australians in the U.S. We prepare U.S. federal and state returns, and can coordinate with Australian accountants to make sure both returns line up.