Title: International Students
1International Students Tax Information
2Welcome to Australia!
While studying in Australia you may need a tax
file number (TFN)
3What is a TFN?
- A tax file number (TFN) is a unique 9 digit
number given to a person or organisation by the
Australian Taxation Office (ATO) to help keep
proper records.
4Residency
- Generally overseas students studying in Australia
for more than 6 months are considered residents
for tax purposes. - Tax-free threshold of 6000 applies
- This amount includes all income derived while
residing in Australia (for example, interest,
salary and wages). - As a guide it works out to be about 500 per
month.
5Tax rates for residents
Income Tax less than 6001 nil 6001
20 000 0 17c/1 20 001 50 000 2380
30c/1 50 001 60 000 11 380 42c/1 60
001 and above 15 580 47c/1
6Non-resident
- Generally overseas students studying in Australia
for less than 6 months are considered - non-residents for tax purposes.
- No tax-free threshold
- Interest taxed at a flat 10
- Wages taxed at the non-resident tax rates.
7Tax rates for non-residents
Income Tax 0 20 000 0
29c/1 20 001 50 000 5800 30c/1 50 001
60 000 14 800 42c/1 60 001 and above
19 000 47c/1
8Exampletaxable income of 10 000
- Resident Non-resident
- 10 000 10 000
- - 6 000 (tax-free amount) - 0
- 4 000 10 000
- x 0.17 x 0.29
- 680 tax 2 900 tax
9Work Rights
- Your student visa does not automatically allow
you to work while you are studying in Australia. - If you wish to work while in Australia you will
need to - Apply for WORK RIGHTS with the Department of
Immigration and Multicultural and Indigenous
Affairs (DIMIA). - A fee of A55 applies
-
10Students with Work Rights
- If you already possess or are approved for a WORK
RIGHTS visa you may apply for a TFN using the
INTERNET. - Go to www.ato.gov.au/individuals and select
ONLINE INDIVIDUAL TAX FILE NUMBER REGISTRATION
under the UPDATES section on the right hand side
of the page. - To register online you will need to have
- - Your PASSPORT
- - Your VISA NUMBER
11Online TFN Application
- You can apply on-line if you are in Australia,
and you have a visa that allows you to work while
you are studying (work rights) - You are not required to show a Tax Officer proof
of identity (like your passport) - Proof of your identity will be established by
checking your details such as name, sex, date of
birth and travel document details (passport
number country of issue) with DIMIA
12Provides links to a number of useful information
sites regarding TFNs
Privacy Statement
13Provides you with specific information about the
transaction.
To use this on-line transaction, you must have a
visa that allows work rights and must be in
Australia. These details are validated with DIMIA.
14Asks you to provide proof of identity information
such as passport or travel document number the
country of issue of the passport
Asks whether you have been in Australia before
15Asks you to provide personal details
Asks you to indicate whether you are known by any
other names
16This screen only appears if you indicate that you
are known by other names
Your other name/s are entered here
17Asks you for your postal address (must be an
address in Australia)
Residential address (this must be a physical
location but does not need to be in Australia.
18Asks you to provide details of any possible
previous dealings with the Tax Office
19This screen asks you to provide a choice of who
can be contacted (for example, if you cannot
speak English
- You will need to provide
- a contact name (normally your own details)
- contact phone numbers
- an e-mail address.
20By selecting the Submit button, you are stating
the information is complete and correct.
21You will be provided with a receipt number that
can be used if there are delays in processing the
application
22Summary students with work right
- You can apply for your TFN on-line at any time
- Applying for a TFN on-line is quick and easy
- Your privacy, and the security of your data is
protected - You do not need to physically provide proof of
identity documents - You do not need to visit a Tax Office.
23Students Without Work Rights
- Even though you are not allowed to work you may
still need a TFN to supply to your bank or
financial institution. - You will need to apply using a PAPER application
form - You will need your
- - overseas passport, with visa.
- - current student ID card from an
- Australian educational institution.
- These documents will need to be sighted by a Tax
Officer
24Students Without Work Rights
- WHEN FILLING OUT THE PAPER APPLICATION FORM
- use a black or blue pen
- dont use a pencil
- dont use whiteout
- if you make a mistake cross it out
- write neatly in BLOCK CAPITAL LETTERS
- fill in the application correctly
- check the application and sign it.
25 If you dont have a TFN
- you can still be employed (as long as you have
work rights), but you will be taxed at 48.5
- you can open a bank account but will have to pay
a higher rate of tax on any interest that you earn
26You can have only one TFN!
- It stays the same even if you
- change jobs
- move interstate
- get married
- are divorced
- change your name
- leave the country.
27Privacy
- Your TFN is private.
- Only provide your TFN to your employer, the bank,
or the Tax Office - Keep your TFN in a safe place
- It is a serious offence to misuse a TFN
- Penalties are 10 000 fine, 2 years prison, or
both. - If you think someone is misusing your TFN
- tell the ATO
- lodge a complaint with the Privacy Commissioner.
28How long does it take for me to receive my TFN?
- The process takes up to 28 days.
- The ATO will mail your TFN to the postal address
you include in your application - It is best to apply for your TFN well in advance
of needing it. - You cannot receive your TFN on the day you apply.
29For further assistance
Telephone Enquires ph 13 2861 Tax Office
website www.ato.gov.au
30Good luck with your studies!