The ATO has recently issued an alert on gifts or loans from overseas. The ATO is particularly concerned about schemes and arrangements designed specifically to circumvent Australian tax laws. In general, Australian-resident taxpayers need to declare their worldwide income in their Australian tax return. Some schemes however disguise offshore capital gains or income as a gift or loan. Overseas gifts and loans in the spotlight.
If you have planned well and feel financially secure for the years ahead, gifting money or assets to family members can be a kind and compelling idea. Just make sure you know how the rules might affect your wealth.