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Sakurai(Initiate)Initiate
22 May 2025

Hi all


I am a non-resident who plan to invest in a unit trust in Australia. The unit trust, managed in Austrlia with an Australian trustee, invest globally and has dividend, interest income and capital gains from outside of Austrlia. I was told that I'm not liable for any Australian tax regarding those foreign-sourced income or capital gains, while my tax obligation on those Australian-sourced income and gains would be taxed at 45%. I wish to clarify this and wish to know if I should file a tax return regarding those foreign-sourced income.


And, if at some point of time I become a temporary resident (for example, work visa), does it change my tax obligation?


Thank you very much.





504 views
4 replies
504 views
4 replies

All replies

KaraATO(Community Support)Community Support
27 May 2025

Hi @Sakurai,


Non-residents generally don’t pay tax on foreign-sourced income or capital gains in Australia but any Australian-sourced income or capital gains from the unit trust are taxed at 45%, since non-residents don’t receive the tax-free threshold.


You won't need to file a tax return for foreign-sourced income, but you must file a tax return for Australian-sourced income.


There is some info on tax for non-resident trusts.

Liked by Sakurai
Sakurai(Initiate)Initiate
27 May 2025

Hi @KaraATO,

Thank you for your reply.

Would you please help me clarify that if the Australian unit trust invests in only US stock and bond markets, the interest income and capital gains would be foreign-sourced instead of Australian-sourced even if the unit trust is managed in Austrlia with an Australian trustee?


I was also told that the tax obligation would be different should the Australian trust be a "Managed Investment Trust" rather than a fixed trust. Is that true?


Thank you very much again!


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