Working on My VISA

Travellers coming to Australia for travel, work, study, or migration need a visa appropriate for their reason for travel. Visas include different conditions on a person’s stay in Australia including working and engagement with the tax and superannuation systems.

The Australian Taxation Office (ATO) data matches with the Department of Home Affairs on active and newly granted visas. The data is matched against ATO records to ensure visa holders, visa sponsors, and migration agents are meeting their tax and superannuation obligations.

The visa data-matching program allows the ATO to identify and address taxation risks in the population of visa holders, visa sponsors, and migration agents including, among other things:

  • Helping process tax file number (TFN) registration for visa holders entering the country including tailored advice for TFN applicants’ employers,
  • Ensuring appropriate taxation treatment is being applied by employers of visa holders including registration, lodgement, reporting and payment obligations for pay as you go withholding (PAYG), fringe benefits tax, and super guarantee,
  • Determining if applicants departing Australia are entitled to access superannuation,
  • Identifying taxpayers who incorrectly claim Australian residency in their income tax returns for financial gain,
  • Identifying incorrect tax refunds through pre-issue compliance work,
  • Identifying and cancelling Australian business numbers (ABNs) obtained and used inappropriately by visa holders as contractors, when they should be classified as employees.

If you plan to work in Australia, you need a tax file number (TFN). Your TFN is your personal reference number in our tax system. You can apply for a TFN online once you have your work visa. It is free to get a TFN.

Keep your TFN safe. You keep the same TFN your whole life, even if you change your name or move interstate or overseas. Don’t let anyone else use your TFN – not even friends or relatives. Never give your TFN out in a job application or over the internet. You should only give your TFN to your employer when you start working for them.

When you start work, you give your employer a tax file number declaration. This helps the employer work out how much tax to withhold from your pay.

You should tell your employer if your visa is a subclass 417 – Working Holiday, or subclass 462 – Work and Holiday, to ensure you are taxed at the correct rate.

The first $45,000 of your working holiday maker income is taxed at 15%. All other income is taxed according to your residency status.

If your income includes lump sum or employment termination payments and is:

  • Less than or equal to $45,000, you won’t receive an ’employment termination payment or unused leave tax offset’ on those payments.
  • More than $45,000, the amount will be taxed according to your residency status.

Your employer is required to be registered with the ATO as an employer of working holiday makers, you do not have to register yourself. If your employer has not registered themselves, they must withhold tax from you at 32.5% for the first $90,000 you earn.

You can ask your employer about this and they should tell you. If they don’t, your first pay will tell you as there will be more tax taken out of your wages than you expect.

Subclass visa 403 has two types, called stream 60 and stream 69.

The 403 – Seasonal Worker Program (SWP) is stream 60. This is a temporary visa that is valid for up to 9 months.  

You must:

  • Continue to be employed by your sponsor,
  • Only do the work in the industry covered by the visa,
  • Not work for yourself or anyone other than the sponsor,
  • Comply with all visa conditions and Australian laws.

If you are in the SWP, your employer must withhold tax at a flat rate of 15% on all payments made to you. Workers under the SWP are non-residents of Australia for tax purposes. You may become a resident for tax purposes if you stay in Australia after working on the program.

***Seasonal workers are not required to lodge tax returns unless you have other Australian or foreign income outside of the program. You do not declare the income earned and cannot claim any work-related deductions. If seasonal workers do lodge a return, you should not include your income from the SWP in your tax returns. Only other Australian or foreign income is declared.

The 403 – Pacific Labour Scheme (PLS) is stream 69. This is a temporary visa that is valid for up to 3 years. This scheme covers primarily hospitality, tourism, aged and disability care, agriculture, forestry and fishing. The obligations imposed are the same as stream 60.

PLS workers are considered to be residents for tax purposes because you can work in Australia between a minimum of one year and up to three years or longer. If you are a PLS worker, your employer must withhold tax at resident rates using regular tax tables. PLS workers are protected by Australian workplace laws, in the same way as Australian workers.

PLS workers are required to lodge tax returns and must include other income earned in Australia and outside of Australia.

You may also be on a subclass 408 visa, which is a bridging visa. These can be issued when a person is on a 403 and is seeking to stay in Australia. The conditions of a 408 are the same as the type (stream) of 403 you had.

Your employer also has to pay superannuation for you if you are an ‘eligible employee’. This is someone who is 18 years of age or older and is paid $450 or more, before tax, in a month.  It doesn’t matter if you are full time, part time, or casual.

When you are going home permanently, you can ask for your superannuation to be paid back to you. You must have an active Australian bank account to do this.

Everyone working in Australia has the same workplace rights under the National Employment Standards (NES). The national minimum wage and NES make up the minimum employment entitlements that must be provided to all employees.

Should you require any additional assistance please don’t hesitate to contact us.

Posted on 30-June-2023
See other blogs!

How to Calculate GST

The Goods and Services Tax (GST) is a fundamental part of the Australian tax landscape. For businesses, mastering GST compliance is key to avoiding penalties and ensuring smooth financial operations. But calculating GST efficiently can also be a strategic asset for business planning. Since its

Read More »

Understanding Company Tax Returns in Australia: A Simplified Guide

Introduction to Company Tax Returns in Australia Navigating the Australian tax landscape can feel overwhelming, but understanding company tax returns is crucial for both business compliance and financial health. The Australian taxation system ensures that companies contribute fairly to the country’s revenue, which involves lodging

Read More »

LIMITED-TIME OFFER – GET $100 OFF ON BASIC PACKAGE TODAY!*

You’ve chosen TAXOPIA LITE, a self-lodgment service. Please be aware that tax offices are starting to phase-out DIY paper lodgments and are encouraging the transition to digital.

Don’t be the last one to enjoy hassle-free digital lodgments. Upgrade to TAXOPIA BASIC PACKAGE today with a special limited-time $100 discount* and enjoy the benefits of having our accountants lodge for you.

As a bonus benefit for working with us, you get a lodgment deadline extension period to avoid penalties.

*The discount only applies to lodgments for one financial year. For clients requiring lodgment for multiple financial years, the discount applies only on the first year. all succeeding tax returns after that will be at regular price.

For the LITE Package: Please note that is a self lodgment service and does not include electronic lodgment by Taxopia. One of our qualified accountants will prepare your tax return, but it is your responsibility to print, sign & post to ATO to lodge.

GET $100 OFF ON BASIC PACKAGE

Continue With Lite Package

You’ve chosen the Taxopia Lite Package…

TAXOPIA LITE is a self-lodgement service. Please be aware that for majority of tax payers, the due date for self-lodged returns is 31st of October.

If you’re self-lodging overdue tax returns, it may put you at risk of incurring penalties from the ATO. We recommend you upgrade to TAXOPIA BASIC PACKAGE and enjoy the benefits of having our accountants lodge for you and get a lodgement deadline extension period to avoid penalties.

For the LITE Package: Please note that is a self lodgement service and does not include electronic lodgement by Taxopia. One of our qualified accountants will prepare your tax return, but it is your responsibility to print, sign & post to ATO to lodge.

GET STARTED WITH THE BASIC PACKAGE

Continue With Lite Package

Need a fast turnaround?*

If you require your taxes to be completed faster, we have a premium Fast Lane option available for this package which puts your request at the front of the queue of our workflow. 

*Excludes public holidays, weekends and office closure dates.

Need a fast turnaround?*

Taxopia’s standard turnaround for this Lite package is three business days. If you require your taxes to be completed faster, we have a premium Fast Lane option available. With this option, pay $220+ GST to get your taxes done within one business day!

*Excludes public holidays, weekends and office closure dates.

A friendly reminder…

Please note that is a self lodgement service and does not include electronic lodgement by Taxopia. One of our qualified accountants will prepare your tax return, but it is your responsibility to print, sign & post to ATO to lodge.

If this option suits your needs, please click below to get started.

Yes, let’s go!

You’ve chosen the Taxopia Lite Package…

Please note that is a self lodgement service and does not include electronic lodgement by Taxopia. One of our qualified accountants will prepare your tax return, but it is your responsibility to print, sign & post to ATO to lodge.

If this option suits your needs, please click below to get started.

Get started now!

* Sole Trader Package pricing conditions, please take note the pricing excludes the following items; however, these services can be provided for an additional cost.

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote.

Get started now!

* Premium Package pricing conditions ($1200+ GST):

Please note that ALL our plans exclude the following:

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote for any additional work.

Get started now!

* Standard Package pricing conditions ($800+ GST):

Please note that ALL our plans exclude the following:

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote for any additional work.

Get started now!

* Basic Package pricing conditions: ($400+ GST):

If you do not qualify for this option, you will need to consider our Standard Package ($800+ GST).

Please note that ALL our plans exclude the following:

Please contact us for a customised quote if you require help on any of the excluded items.

Get started now!

Company or Trust Tax Return for Accountants & Bookkeepers

* BASIC PLAN ($425+ GST) CONDITIONS:

* STANDARD PLAN ($850+ GST) CONDITIONS:

Please note that ALL our plans exclude the following:

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote for any additional work.

Get started now!

* Premium Package pricing conditions ($1200+ GST):

Please note that ALL our plans exclude the following:

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote for any additional work.

Get started now!

* Standard Package pricing conditions ($800+ GST):

Please note that ALL our plans exclude the following:

If any of these exclusions apply to your businesses, please contact us, and we would be happy to provide you with a customised quote for any additional work.

Get started now!

* Basic Package pricing conditions: ($400+ GST):

If you do not qualify for this option, you will need to consider our Standard Package ($800+ GST).

Please note that ALL our plans exclude the following:

Please contact us for a customised quote if you require help on any of the excluded items.

Get started now!

Enquire Now

Fill out the form below and we will get back to you as soon as we can.