zara283 Posted January 21, 2012 Share Posted January 21, 2012 Hi there my partner & I are slightly confused by the tax process in WA. We thought we would only have to pay normal tax but we have found something that says we have to pay foreign tax too on top of this. Is this right??? If we do have to pay this as well, do we only have to pay it for a set time or not??? Any advice or help would be much appreciated guys!! :eek::unsure::confused: Link to comment Share on other sites More sharing options...
NickyNook Posted January 21, 2012 Share Posted January 21, 2012 On a 457 visa, you pay the same income tax as everyone else does on your Australian income. However, on that visa you don't have to declare or pay tax on world-wide income. (That's any other income you might have from sources outside of Australia). You do, or course, have to pay tax on that income (if any is due) in the country in which it's earned. So, for example, if you were receiving rent from a UK property you don't have to declare it or pay tax on it in Australia. But if the UK want some tax off you for that rental income, then you have to pay them. Link to comment Share on other sites More sharing options...
zara283 Posted January 21, 2012 Author Share Posted January 21, 2012 Thank you, we were confused as we didn't know if we would have to pay higher rate for being foreign nationals or not. Do they tell us when the visa's go through exactly what tax bracket we will be in??? Link to comment Share on other sites More sharing options...
NickyNook Posted January 21, 2012 Share Posted January 21, 2012 The amount of tax you pay is dependent on your income. Here are the current tax rates: http://www.ato.gov.au/individuals/content.aspx?doc=/content/12333.htm Link to comment Share on other sites More sharing options...
zara283 Posted January 21, 2012 Author Share Posted January 21, 2012 Thank you!!!:biggrin: Link to comment Share on other sites More sharing options...
Alan Collett Posted January 22, 2012 Share Posted January 22, 2012 Be careful to ensure you are not taxed as Non Residents - I have heard from a fair few who have had a Non Resident Tax File Number come back from the ATO. Your future employer will work from the Tax File Number Declaration that you complete: http://www.ato.gov.au/content/downloads/OPS6360_nat3092_SO.pdf The box that you tick at q7 will determine whether your employer uses the resident or non resident PAYG withholding tax table. The self assessment as to your residency which you make when you lodge your annual Aus tax return will also be key in determining which rate of tax you pay on your Aus source income. Note: "Temporary residents" - which includes 457 visaholders generally - are a subset of resident taxpayers. For the real nitty gritty detail, see: http://law.ato.gov.au/atolaw/view.htm?docid=nem/em200601/nat/ato/00003 Best regards. Link to comment Share on other sites More sharing options...
zara283 Posted January 23, 2012 Author Share Posted January 23, 2012 Thank you Alan Collett I will have a look into that Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.