SMSF – ATO finalises its position in relation to event-based reporting
After detailed consultation with the self-managed super fund (SMSF) sector, the ATO announced today that its i
The tax rates for working holiday makers on a 417 or 462 visa changed on 1 January 2017. They now pay 15% tax on all income up to $37,000 after which foreign resident tax rates apply.
If you employ these working holiday makers:
• You must register to use the new tax rate by 31 January
• You must withhold tax at the new rate from 1 January
• You will need to issue two payment summaries for this financial year (one for income earned up to 31 December 2016 and one for income earned from 1 January 2017)
If you don’t register, you must withhold tax at 32.5% and penalties may apply for failing to register.
If you plan to employ working holiday makers, you must register to withhold at the new tax rate before your first payment to a working holiday maker.