I'm mid-thirties, married with a kid. We're moving to Australia, to stay indefinitely. We may come back. May not. Wife is EU citizen, I'm US citizen.
We have a decent amount in a wide range of Roth IRAs/401(k)s/SEP/403(b)/...
Does anyone have experience with how Australia would treat these accounts? My understanding is that they would tax capital gains and dividends (but perhaps at a reduced rate?). Many of these would be taxed by the US when the money is taken out of the account. So paying Oz tax when capital gains/dividends occur and US tax when withdrawn would be less than ideal.
Is there a way to avoid double taxation? I'd like to do as little as possible. Withdrawing the money and moving it to Australia would trigger a lot of taxes, and may be counter-productive if we later move back. The one thought I've had is to convert the dividends/capital gains to Roth IRAs. Then pay Australia tax on the dividends/capital gains and claim that against the US taxes triggered by the conversion. This leaves everything taxed once.
Mostly, I'm looking for someone with experience on this who can at least point me in the right direction. I assume I'll end up talking to a professional at some point, but want to be more informed first.
We have a decent amount in a wide range of Roth IRAs/401(k)s/SEP/403(b)/...
Does anyone have experience with how Australia would treat these accounts? My understanding is that they would tax capital gains and dividends (but perhaps at a reduced rate?). Many of these would be taxed by the US when the money is taken out of the account. So paying Oz tax when capital gains/dividends occur and US tax when withdrawn would be less than ideal.
Is there a way to avoid double taxation? I'd like to do as little as possible. Withdrawing the money and moving it to Australia would trigger a lot of taxes, and may be counter-productive if we later move back. The one thought I've had is to convert the dividends/capital gains to Roth IRAs. Then pay Australia tax on the dividends/capital gains and claim that against the US taxes triggered by the conversion. This leaves everything taxed once.
Mostly, I'm looking for someone with experience on this who can at least point me in the right direction. I assume I'll end up talking to a professional at some point, but want to be more informed first.