I have read multiple articles about debt recycling which states we can redraw the money to buy shares or buy property. However, my question is:
I am going to refinance my home loan and use debt recycling strategy, Can I use the money I redraw to invest overseas (For example: Property investment overseas or use term deposit overseas)? or the investments have to take place only in Australia?
Thanks,
Hi @DianaV
No you can invest overseas. If you intend on claiming interest you'd need to make sure your investments are producing income and be able to prove that. E.g. collecting rental income from an investment property, receiving dividends from shares.
Hi @DianaV
No you can invest overseas. If you intend on claiming interest you'd need to make sure your investments are producing income and be able to prove that. E.g. collecting rental income from an investment property, receiving dividends from shares.
What would be considered as valid proof of income for tax purposes, in case the amount from a redraw account is used for earning income through investing in overseas term deposits or foreign stock traders?
Every country has their own type of documents so, we can't say exactly.
Any evidence/document that proves income was produced from your investment.
Here's some info from our website on records you need to keep.
Scroll down to investments and assets.
15 Apr 2026 · 4 min read time
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