Taxation in UK of superannuation payments in Australia

I have an historic Pension in Australia - I think it is called an 'Account Based Pension'. The funds are held in a series of managed funds and I receive interest, dividends and when these are traded capital gains/loss each year. I pay several tiers of management fees to both the Fund and my Funds Mamagement company. The Australian Government requires that I draw down these funds annually as a pension. The minimum amount is 5% per tax year, which I draw down on a monthly basis. As I am over pension age I pay no tax within the funds. The funds have performed in such a way that the income from the funds has been eaten up by fees and the Net income is less than the 5% I draw down. The funds remain in australia and are not remitted to the UK. How should I treat this in my UK tax return please?

Hi,

As it it classed as a pension, this income would be declared to the UK if you are UK tax resident and domciled. You can see guidance here:

Tax on foreign income

Thank you.

The above request doesn’t clarify Australian rules regards taxation on Superannuation (pre pension phase). All contributions employee or employer are taxed at source annually, throughout the Superannuation/accumulation fund period. Also annual growth performance in the Superannuation Fund is subject to Taxation. Unlike UK where contributions throughout the accumulation period are tax exempt, and subsequent taxed as income in pension phase. The Double taxation Agreement in Article 17 creates a Double Tax issue on pre-taxed Australian Pension/Superannuation. How is this issue treated by HMRC.

Hi,
As UK resident you are liable on your worldwide income whether remitted here or not and you will need to declare the pension. We cannot advise or comment on how Australia tax the pension. If they do, you can claim foreign tax credit relief to set against your UK tax on the same source.
Thank you.