Two countries can both tax the same dollar. That is what happens without a tax treaty. You earn a salary overseas, your host country taxes it, and Australia taxes it again as a resident’s worldwide income — unless a double tax agreement (DTA) says otherwise.
Each treaty sets different rules for salary, dividends, rental income and capital gains, so the country you live in changes your answer. Find your country below, then read the full breakdown for the specifics that apply to you.
Quick answer: Australia has double tax agreements (DTAs) with most major economies and common expat destinations, including Singapore, the UK, the USA, Canada, New Zealand, France, Indonesia and Japan. A handful of countries — the UAE, Greece, Macau, Mauritius, Saudi Arabia and the Solomon Islands — have no DTA with Australia. Each treaty is negotiated separately, so the rules for salary, dividends and property income differ by country. Find your country below for the specifics.
TL;DR
- A DTA determines which country taxes your income first, and what the other country credits back.
- DTAs do not remove your Australian tax obligation. Australian tax residents still declare worldwide income; the treaty and the Foreign Income Tax Offset (FITO) prevent paying full tax twice on it.
- Not every country has one. The UAE, Greece, Macau, Mauritius, Saudi Arabia and the Solomon Islands have no DTA with Australia, which changes the analysis for Australians based there.
- Capital gains on Australian property are taxed in Australia in almost every case, regardless of which treaty applies.
- Treaty text matters less than how it is applied to your specific income mix — salary, super, rental, dividends, and business income are often treated differently within the same treaty.
Country-by-country DTA Breakdown
Find your country below, then click through to read the specifics for salary, dividends, rental income and capital gains under that treaty.
If you don’t see your country above, or the answer doesn’t match what you expected, check with a registered tax agent to confirm your specific status.
Why the Treaty Alone Doesn’t Answer Your Question
A DTA sets the rules. It does not do your tax return. The same treaty produces different outcomes depending on what kind of income you have:
- Salary: usually taxed where you physically work, with the treaty preventing your home country from taxing it again in full.
- Australian rental income: almost always taxed in Australia first, treaty or not.
- Capital gains on Australian property: Australia keeps the primary right to tax this under nearly every treaty, regardless of where you live.
- Dividends and interest: often taxed in both countries, with the treaty capping the withholding rate and the other country crediting it back.
The mechanism that actually stops you paying twice is the Foreign Income Tax Offset. The treaty tells you which country has the right to tax first; FITO is how the second country gives you credit for what you already paid. For a longer walkthrough of how this works for expats in Hong Kong, Singapore, the UAE, UK and USA specifically, see this full country-by-country DTA guide.
No DTA? Different Approach, Same Tax Obligation
The UAE, Greece, Macau, Mauritius, Saudi Arabia and the Solomon Islands have no DTA with Australia at all. No treaty does not mean escaping Australian tax — it means there is no treaty mechanism to lean on, so residency status and the source of each dollar carry more weight. Read the specific guide for your country before assuming a rule from a treaty country applies to you.
Frequently Asked Questions
Does Australia have a tax treaty with every country?
No. Australia has DTAs with most countries, but a handful — including the UAE, Greece, Macau, Mauritius, Saudi Arabia and the Solomon Islands — have no treaty at all.
If my country has a DTA with Australia, do I still need to lodge an Australian tax return?
Usually yes, if you have Australian-sourced income such as rental property, dividends, or Australian employment. The treaty affects how that income is taxed, not whether you need to lodge.
Does a tax treaty protect me from capital gains tax on my Australian property?
Rarely. Under nearly every Australian DTA, Australia retains the primary right to tax capital gains on Australian real property.
Which treaty applies if I’ve lived in more than one of these countries?
The treaty for your current country of tax residence applies to income earned while you lived there. Moving countries mid-year is common for expats and usually needs a specialist to sequence correctly.
Before you rely on any DTA: get clear on two things — where you earn your income, and what tax you already pay there. Your country’s treaty status determines what happens next: the FITO calculation, the withholding rate, or, for countries with no DTA, a different approach altogether.
Not sure how your treaty applies to your situation?
Speak with a registered Australian tax agent to confirm your specific position before you lodge.
