If you’re in Australia on a working holiday visa or different subclass of visa you will generally need to lodge a tax return if you work while you’re here. There are a number of different working holiday visas as well as other temporary visas. If you’re unsure what you need, or how to lodge a tax return in Australia, read on!
Who Needs to Lodge a Tax Return?
Most people who earn money in Australia need to file a tax return. This includes:
Working Holiday Visa Holders
- If you earn above the threshold, don’t forget to lodge your return. You’re a working holiday maker (WHM) if you have a visa subclass of either:
- 417 Working Holiday
- 462 Work and Holiday (backpackers).
Temporary Visa Holders
- A temporary work visa lets you come to Australia to work on a temporary basis. These include subclasses 482, 485, 476, 489 & 188. If you hold one of these visas and make more than $18,200 (the tax-free amount), you need to lodge a return.
Permanent Residents
- If you’ve become a permanent resident, you also need to file a tax return.
You can check your visa status using the Visa Entitlement Verification Online system
CREAT A FREE ACCOUNTImportant Dates to Remember
Financial Year
- In Australia, the financial year runs from July 1 to June 30 the next year. Tax returns are usually due by October 31.
- If you use a professional tax accountant, you only have to register with the tax accountant between the 1st of July, and 31st of October, and they can submit the return later in the year if you have a prior history of lodging tax returns on time.
How to Lodge Your Tax Return
Doing your Tax Return online with One Click Life is very easy with our simple process. Not to mention very convenient — you could even do it from mobile phone on your couch!
Simply create an account then follow our step-by-step instructions here to lodge a Tax Return online. We’ve also created a video to show you how the process works: https://youtu.be/s2L-JvoIsk0
CREAT A FREE ACCOUNTTax Rates for Working Holiday Visa Holders
Visa holders are taxed similarly to Australian residents, but be aware of specific tax rates that might apply, particularly for working holiday visa holders. It’s crucial to understand how your residency status affects your tax rates.
417 visa (a working holiday visa) and a 462 visa (a work and holiday visa) pay 15% of their earnings up to $45,000. Anything above this threshold is taxed at ordinary rates as well.
The working holiday maker tax rates are set out below for the 2023-24 financial year.
| Taxable income | Backpacker Tax on this income |
| 0 – $45,000 | 15% |
| $45,001 – $120,000 | $6,750 plus 32.5 cents for each $1 over $45,000 |
| $120,001 – $180,000 | $31,125 plus 37 cents for each $1 over $120,000 |
| $180,001 and over | $53,325 plus 45 cents for each $1 over $180,000 |
The working holiday maker tax rates are set out below for the 2024-25 financial year.
| Taxable income | Backpacker Tax on this income |
| 0 – $45,000 | 15% |
| $45,001 – $135,000 | $6,750 plus 30 cents for each $1 over $45,000 |
| $135,001 – $190,000 | $33,750 plus 37 cents for each $1 over $135,000 |
| $190,001 and over | $54,100 plus 45 cents for each $1 over $190,000 |
What If You Don’t Lodge?
If you don’t file your tax return, you could face penalties or fines. Plus, if you owe money and don’t lodge, the ATO might add interest on what you owe. If you’re unsure, it’s always a good idea to ask!
One Click is here to help you!
One Click Life makes it simple to track and organise all your life’s admin in a single place. Operated by tax professionals, One Click Life allows you to complete your online tax return at the click of a button.
Contact the team at One Click Life for more information by emailing [email protected] or calling 1300 707 117. You can also send us a message through your One Click Life dashboard inbox.