Author Topic: US citizen with Australian shares  (Read 427 times)

Little Bird

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US citizen with Australian shares
« on: January 11, 2018, 09:57:01 PM »
Hello,
I have about AUD$130,000 worth of Australia shares. These were all bought through a family broker before I met my US wife and before I made the greencard and citizen journey.
Now I'm a bit more financially & tax savy I'm just wondering if there's something smarter I could be doing with these?
I understand generally the whole PFIC thing so selling and buying into Australian Vanguard funds isn't really an option I guess.
I could sell up and transfer the funds to the US and dump into my US Vanguard account. We're now living in Asia but not really sure where we'll end up so the thought of doing this, in case we return to Australia, is unsettling.
I suppose I could buy some property, but I'm not really keen to get into that.
Are these my only options?
Thanks in advance!

Leisured

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Re: US citizen with Australian shares
« Reply #1 on: January 11, 2018, 11:12:13 PM »
Australia is a well managed first world country, so owning Australian shares and living elsewhere in the world should not be a problem.

If you sell, you need to consider capital gains tax.


marty998

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Re: US citizen with Australian shares
« Reply #2 on: January 12, 2018, 02:54:11 AM »
There are implications for (not being able to claim) franking credits if you are a non-resident for tax purposes. I'm sure you're aware of that or your accountant is across it?

You could swap into a US Asia Pacific Fund, which will still give an exposure to Australia, as well as Japan and Korea. This will give a bit more diversification, especially towards the tech sector and away from Banks and resources.

Little Bird

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Re: US citizen with Australian shares
« Reply #3 on: January 13, 2018, 06:15:27 PM »
Australia is a well managed first world country, so owning Australian shares and living elsewhere in the world should not be a problem.
If you sell, you need to consider capital gains tax.

True. That I hadn't thought of.

There are implications for (not being able to claim) franking credits if you are a non-resident for tax purposes. I'm sure you're aware of that or your accountant is across it?
You could swap into a US Asia Pacific Fund, which will still give an exposure to Australia, as well as Japan and Korea. This will give a bit more diversification, especially towards the tech sector and away from Banks and resources.

I am aware of the franking credits but thanks for the reminder. Thanks for the fund tip. I'll have a look.