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Gift Tax

Discussion in 'Accounting, Tax & Legal' started by Cam, 8th Jul, 2010.

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  1. Cam

    Cam New Member

    Joined:
    20th Jun, 2010
    Posts:
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    Location:
    Golden Beach, QLD
    I'm considering making monetary gifts to members of my family by transfering funds from my bank account to their bank accounts (all australian accounts but in different domestic banks) and am wondering what charges are involved.

    I understand there is no gift tax applicable to the reciever in Australia, but for the donor I'm assuming there is some kind of fee/charge/tax.

    If anyone is knowledgable on this topic, any feedback would be greatly appreciated.

    Cheers,
    Cameron.
     
  2. Superman

    Superman Well-Known Member

    Joined:
    6th Nov, 2007
    Posts:
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    Location:
    Gold Coast, QLD
    Cameron,

    You are correct - there is no applicable gift tax in Australia.

    Only fees applicable will be bank fees which very bank to bank.

    If your family members earn income from the money you give to them, then they will pay tax on those earnings.

    The only other potential thing to look out for is if any family members are receiving any Government benefits such as the Age Pension then the money you gift to them will be counted under the applicable assets tests.

    Good luck :cool:
    SM
     
  3. MattR

    MattR Well-Known Member

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    23rd May, 2007
    Posts:
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    Location:
    Sydney
    If the giver is in Oz and they are on age pension etc. then the gift is still counted towards their assets.