You can lodge an Australian Tax Return as an International Student if you are Studying longer than 6 months. Therefore, if you are an international student, then you are eligible to pay tax on your Income at the same rate as an Australian Resident / Citizen.
If you still confuse whether to pay Tax or not, here are some tips for International Student
- Tax free threshold is a limit ($18,200) till that you are not liable to pay Tax, but if you annual income is more than that, you have to Lodge a Return at the end of Financial Year – 30 July.
- If You have paid the Tax & your annual earning is less than tax free threshold, you should lodge a Tax Return.
- You have to notify Australian Taxation Office (ATO) via providing non lodgement if your annual income was less than tax free threshold. Further, if no action is taken you may recieve a penalty for an outstanding tax return.
Lodge an Tax Return application through Tax Agent
First of all, to apply for Tax Return in Australia, you must have a Tax File Number (TFN) in your hand. If you don’t have one ask your Tax Agent to apply for it. You can ask a Registered Tax Agent to lodge your file. In order to choose a Registered Tax Agent, you must make sure the Tax Agent is registered with Tax Practitioners Board (TPB). You can find a registered Tax Agent on TPB website, or we can help you with it.
Lodge an application Online
You are also able to apply online if you have been working part-time according to your visa condition. Your employer should ask you to fill TFN Declaration form before you start working. Hence, your Tax is deducted from your wages weekly or fortnightly (as per your pay cycle) according to your earnings. In addition, the fastest and safest way to lodge Tax is MyTax. We recommend to go through an Accountant for Tax Return because they can provide an accuracy with maximum tax return tactics.
When to Lodge Tax Return
The deadline to lodge a Tax Return file vary from condition to condition. If you are going to apply Tax Return by self, you need to do it before 31st October. While, A Tax Agent is the intermediate to help you for Tax Return, the date may extend accordingly.
If you are living in Australia for not more than 6 months, You are considered non-resident by ATO which mean you still need to pay tax, however will not be entitled to the tax-free threshold resulting in higher tax rates.