Selling Australian Shares Held By An Overseas Resident

Selling shares from overseas can seem complicated but we’ve been doing it for years.

Whether you’re looking to diversify your portfolio or take advantage of exchange rates, we can give you the know-how to make informed decisions.

If you're a non-resident selling Australian shares, then partner with us so we can get your shares sold safely and quickly.

How to Sell Australian Shares as an Overseas Resident

If you’re an overseas resident holding Australian shares, the share sale process is straightforward and can be initiated with the preparation of your certified identification documents.

1. Complete our online share sale form. It will only take a few minutes and you’ll need to have your Securityholder Reference Number (SRN) to hand.
2. We’ll reach out to you to complete a simple online ID check.
3. You need to email us a recently certified and colour copy of the following documents:
   1. Passport and Driver’s License; AND
   2. Recent Utility Bill or Bank statement showing your current residential address

The accepted certification needs to be performed by one of the following individuals:

• An Australian Consular Officer
• A Notary Public
• A Commissioner of Oaths

If you wish the funds to be transferred to an international bank account, you’ll need to complete an International Banking Form.

How Long Does it Take to Sell Australian Shares Held by an Overseas Resident?

The time it takes to sell your Australian shares as an overseas resident can vary slightly, but generally, the process is swift and efficient.

If your online ID check is completed before 3 p.m. AEST, express share sales are done on the same day. Otherwise, sales usually wrap up within 1-2 business days.

Bear in mind, that the funds will be transferred to your bank account three business days after the shares are sold.

How Much Does it Cost to Sell Australian Shares? 

For New Zealand residents, the cost is 1.0% of the transaction size or a $110 minimum.

Other overseas residents will incur a fee of 1.5% of the transaction size or a $150 minimum. The fees are higher for our International Service due to the additional labour and administrative costs involved.

Brokerage fees will be deducted from your sale proceeds and GST is applied to all fees. 

Effective Strategies and Potential Risks

While considering the costs of selling your Australian shares from overseas, don’t forget to strategise effectively and be aware of potential risks.

Consulting with a financial advisor or tax specialist can provide valuable insights into the most beneficial methods of selling. Set clear investment goals and regularly monitor market trends for optimal timing.

However, be aware of the risks inherent in international trading. Market volatility, political and economic instability, and limited knowledge of local market conditions can impact your returns. 

Benefits and Considerations Explained

You’ll find several benefits and considerations when selling Australian shares from overseas, and understanding these can greatly influence your financial decisions.

The benefits include opportunities to diversify your investment portfolio and access to global markets. You might reap higher returns and exploit favourable exchange rates while managing your investments remotely.

However, don’t ignore the considerations. Be aware of the income tax implications in Australia and your country of residence. Currency conversion fees and exchange rate risks could eat into your profits. Selling shares also incur transaction costs, and market timing could affect selling prices.

Additionally, you must comply with the legal and regulatory requirements of both countries. Understanding these aspects is vital for a sound financial strategy. 

Frequently Asked Questions

What Are the Australian Tax Implications for Overseas Residents Selling Australian Shares?

You should not be subject to Australian Capital Gains Tax when selling Australian shares, even as an overseas resident. Double taxation agreements may apply, so you must consult with a tax specialist to understand your obligations.

How Can Overseas Residents Ensure the Security of Their Transactions When Selling Australian Shares?

To ensure transaction security when selling shares, you’ll need to use a reputable brokerage firm. Regularly monitor your account, confirm transactions promptly, and safeguard your account details to prevent unauthorised access.

Can an Overseas Resident Hold Onto Australian Shares for an Extended Period of Time Before Selling?

Yes, you can hold onto Australian shares for an extended period before selling. However, consider market trends, potential tax implications, and currency exchange rates to ensure it’s the best decision for your investments.

What Factors Can Affect the Exchange Rate When Transferring the Proceeds of a Share Sale to a Non-Australian Bank Account?

You’ll find that factors like inflation rates, interest rates, political stability, and economic performance can affect exchange rates when transferring your share sale proceeds to a non-Australian bank account.

Are There Any Additional Services or Support Available for Overseas Residents Who Are New to Selling Australian Shares?

Yes, there’s plenty of support for you. We can provide you with customer service and financial advice. It’s important to use these services to understand the process and make informed decisions.