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_yulinayo(Newbie)Newbie
31 Mar 2021

Hi there,

I have an employee who has been working for me for years while she was in Australia. She is currently residing in her country. I would like to continue her employment with me. She will work for me remotely from her country. My questions are:

1. What should I do with taxation and any changes to bas statement?

2. Do I need to report anything in regard to her employment from overseas?

3. Do I have any obligations in hiring employee to work from their country?

Thank you for providing any information.

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CaroATO(Community Support)Community Support
1 Apr 2021

Hi @yulinyeoh,

During these challenging times, many employees have negotiated with their employers to work from their home country.

Your employee will need to establish if they are an Australian resident or not for tax purposes and let you know when their status changes.

When the employee is an Australian resident for tax purposes, nothing changes. If their residency status changes, they won't be eligible to claim the tax-free threshold and you'll need amount of tax withheld.

The employee will report on her tax return what her residency status is, and this will help us determine how much tax she will need to pay for the financial year.

Check with the Fair Work Ombudsman about hiring employees from their country.

Residency

Fair Work Ombudsman

Take care and staff safe.

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Most helpful reply

CaroATO(Community Support)Community Support
1 Apr 2021

Hi @yulinyeoh,

During these challenging times, many employees have negotiated with their employers to work from their home country.

Your employee will need to establish if they are an Australian resident or not for tax purposes and let you know when their status changes.

When the employee is an Australian resident for tax purposes, nothing changes. If their residency status changes, they won't be eligible to claim the tax-free threshold and you'll need amount of tax withheld.

The employee will report on her tax return what her residency status is, and this will help us determine how much tax she will need to pay for the financial year.

Check with the Fair Work Ombudsman about hiring employees from their country.

Residency

Fair Work Ombudsman

Take care and staff safe.

_yulinayo(Newbie)Newbie
1 Apr 2021

Hi Caro,

She is non-resident of Australia, can I employ an overseas worker to do work from their home country? Any obligation regarding this issue?

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