Foreign Investment Funds (FIF) Tax

Dictionary Says

Definition of 'Foreign Investment Funds (FIF) Tax '


A tariff imposed on Australian residents by their government on asset value gains from offshore holdings. The FIF tax was implemented in 1992 to prevent citizens from deferring the payment of Australian tax on investments made outside of the country. Investments that can fall within the definition of FIF funds include personal retirement funds, such as American IRAs and Canadian RRSPs, as well as life insurance wrappers, which are often sold by overseas advisors.
Investopedia Says

Investopedia explains 'Foreign Investment Funds (FIF) Tax '


The FIF tax is as controversial as it is complicated, with a variety of exceptions and loopholes. In its 2009 Federal Budget, the Australian government attempted to address these problems by announcing its intent to repeal and replace the foreign investment fund (FIF) provisions with a more specific rule.
comments powered by Disqus
Hot Definitions
  1. Legal Monopoly

    A company that is operating as a monopoly under a government mandate. A legal monopoly offers a specific product or service at a regulated price and can either be independently run and government regulated, or government run and regulated.
  2. Closed-End Fund

    A closed-end fund is a publicly traded investment company that raises a fixed amount of capital through an initial public offering (IPO). The fund is then structured, listed and traded like a stock on a stock exchange.
  3. Payday Loan

    A type of short-term borrowing where an individual borrows a small amount at a very high rate of interest. The borrower typically writes a post-dated personal check in the amount they wish to borrow plus a fee in exchange for cash.
  4. Securitization

    The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors.
  5. Economic Forecasting

    The process of attempting to predict the future condition of the economy. This involves the use of statistical models utilizing variables sometimes called indicators.
  6. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
Trading Center