Every year thousands of people pack their bags and book flights to Australia. Students, backpackers, professionals and working holidaymakers all go Down Under in pursuit of adventure or to make some money.
We can’t help but envy these lucky folk. If you are going to Australia then you should grasp the opportunity to visit the so-called ‘Land of Plenty’ with both hands.
We wouldn’t be doing our job, however, if we didn’t remind you of some of the important tax info that you need to be aware of during your stay. We find that most people are so bowled over by the amazing experience they’re having in Oz that they can sometimes forget about their tax obligations.
During your first six months in Australia, you are legally classified as a non resident for tax purposes.
It is vital that you are categorised as a non resident as it can otherwise lead to fines and penalties. No matter what you hear from other people or other tax agents, it’s a cast-iron rule. By paying the correct amount of tax on the non-resident rate, you will be due a tax refund and can apply to get this back.
We get asked all the time if people need to file an Australian tax return or not. Australian tax law requires all non-residents who earn any income from Australian sources to file a tax return – even if they are just working there temporarily. Also, most importantly, without filing a tax return you can’t get a tax refund.
The average tax refund Down Under is AU$2600
The Australian tax year is ending soon (30th June) so it’s a good time to get your tax sorted and file a return. The process of preparing and filing a tax return can be complicated and time-consuming which is why we recommend getting professional help from a licensed and reputable tax agent.
We have a very helpful team of Australian Tax Specialists who can help you with any of your tax queries either on the phone, online or in any of our six Australian offices. Alternatively you can download our Australian Tax App ‘ Pocket Tax Oz’, available for Android and iOS.