International Students

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International Students Tax Information
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Welcome to Australia!
While studying in Australia you may need a tax
file number (TFN)
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What 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.

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Residency

• 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.

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Tax 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
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Non-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.

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Tax 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
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Exampletaxable 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

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Work 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

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Students 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

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Online 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

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Provides links to a number of useful information
sites regarding TFNs
Privacy Statement
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Provides 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.
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Asks 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
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Asks you to provide personal details
Asks you to indicate whether you are known by any
other names
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This screen only appears if you indicate that you
are known by other names
Your other name/s are entered here
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Asks 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.
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Asks you to provide details of any possible
previous dealings with the Tax Office
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This 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.

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By selecting the Submit button, you are stating
the information is complete and correct.
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You will be provided with a receipt number that
can be used if there are delays in processing the
application
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Summary 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.

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Students 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

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Students 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.

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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

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You 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.

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Privacy

• 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.

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How 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.

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For further assistance
Telephone Enquires ph 13 2861 Tax Office
website www.ato.gov.au
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Good luck with your studies!