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Is payout from a matured overseas life insurance (endowment insurance) taxable?

Newbie

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Dear ATO community.

This is my first ever question here, and I hope that I will provide all the required information so that it can be answered. So please bear with me ...

 

The circumstances are as follows:

While still living in Germany, in 1989 I signed up to an Endowment Policy (direct translation from the German Policy: 'Capital Life Insurance with Profit Sharing.'). It is a mixture of accruing some savings, and to also have a Life Insurance at the same time.
I seized paying into this scheme just before I migrated to Australia, which was in 1996. Since then, the insurance was just 'sitting' there.  

 

A payout could be triggered by either of the following:

a) you pass away, and the life insurance is paid to your nominated beneficiary, or

b) the policy matures


In my case, the policy has now matured and I received a payout of roughly AUD 30,000, which is currently held in an account in Germany. My plan is to transfer that sum to Australia and place it into my Superannuation.

 

My questions are:

- is this payout taxable?

- how do I declare this income in my tax return? 

- as all the documentation around this policy is in German, do I need to provide some kind of translation to prove that the income is of the type I am claiming? Or would a copy of the German insurance policy do?

 

Many thanks 

1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

ATO Community Support

Replies 0

Hi @StephNB,

 

We have answered a similar post on our forum, you can view our response here. If you needed to declare the payment we would recommend having the documents translated. We have a webpage of information on who can translate documents from overseas.

 

All the best.  

1 REPLY 1

Most helpful response

ATO Community Support

Replies 0

Hi @StephNB,

 

We have answered a similar post on our forum, you can view our response here. If you needed to declare the payment we would recommend having the documents translated. We have a webpage of information on who can translate documents from overseas.

 

All the best.