Looking to get a clarification of withholding tax that is already being paid to the US.
Since last year Adsense Revenue from YouTube has had withholding tax attached to it.
Each amount eg. $100 earned gets a tax of eg. $10, meaning I receive eg. $90. (US Ch. 3 tax withholding)
How do I reconcile that on my Tax return, am I going to get double taxed across for the eg. $90?
Hi @patarnoster,
Are you an Australian resident for tax purposes?
If you are, you'll report your world-wide income.
The US and Australia have a tax treaty which has information about which country has taxing rights and addresses double taxation.
Take a look at another forum thread we've had about Adsense. Based on what other clients have said, it looks like there's an IRS form you can complete called the W-8 BEN that enables you to get a US tax concession.
Hi @patarnoster,
Are you an Australian resident for tax purposes?
If you are, you'll report your world-wide income.
The US and Australia have a tax treaty which has information about which country has taxing rights and addresses double taxation.
Take a look at another forum thread we've had about Adsense. Based on what other clients have said, it looks like there's an IRS form you can complete called the W-8 BEN that enables you to get a US tax concession.
Hi ATO,
We received the same income from AdSense with the US Tax Withheld. We are however an Not For Profit organisation. How do we treat the tax withheld? Would it be lost?
Thanks
So do Australian residents for tax purposes pay the tax to Australia or the US? Are Australian residents for tax purposes allowed to claim tax concession under the tax treaty?
22 Apr 2024 · 6 min read time
15 Apr 2026 · 5 min read time
15 Apr 2026 · 4 min read time
6,717 views
5 replies