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Hello,

 

I have questions regarding super for non Australian citizen. I am currently here on a sponsorship visa (TSS 482) but I came to Australian on a Working Holiday Visa. I started working under this working holiday visa for approximately 6 months, during which I started cumulating money on my bank super. Then, I got my sponsorship but still got my superannulation umulated on the same bank account. However, I've recently been informed that any money placed under my original super will still be taxed as a super under a working holiday visa (65% taxation).

 

Knowing that, I have now opened a new super account and have asked my employer to switch my superannuation to the new account. Ideally I'd like now to combine both super and move the totality of this previous super to the new account. However, before doing so I'd like to have confirmation that this is doable and won't just transfer the issue of the 65% tax.

 

So, can you then confirm that, if I combine and move all the money from old super to new, this won't be considerate as a super under a working holiday visa anymore?

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ATO Certified

TaxTime Support

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Hi @elisa2010

 

Welcome to our Community.

 

You are right to question this. The departing Australia super payment (DASP) working holiday maker (WHM) tax rate of 65% applies to payments that include amounts attributable to superannuation contributions made under a WHM visa.

 

You can read more about DASP for working holiday makers on our website.

 

For applicants who hold accounts with multiple super funds, the DASP tax rate will be determined by each super fund individually, as each super fund is making a separate payment.

 

They will check whether the DASP that they are paying includes amounts attributable to super contributions made while you held a WHM visa. If it does, the super fund will apply the DASP WHM tax rate. If it doesn’t, the super fund will apply the DASP ordinary tax rates.

 

In other words, assuming that you don't rollover your super from your original super account to your new super account, your future DASPs will be taxed as follows:

  • Fund A (includes amounts attributable to super contributions made while you held a WHM visa) - 65% DASP WHM tax rate applies.
  • Fund B (doesn't include amounts attributable to super contributions made while you held a WHM visa) - DASP ordinary tax rate applies.

 

If you do decide to go ahead with that rollover, the 65% DASP WHM tax rate will apply to all of the future DASP paid by your new fund. This is because that account will hold amounts attributable to super contributions made while you held a WHM visa.

 

For more information about how DASP is taxed, check out our website.

 

Hope this helps.

 

Thanks,

 

ChrisR

1 REPLY 1

Best answer

ATO Certified

TaxTime Support

Replies 0

Hi @elisa2010

 

Welcome to our Community.

 

You are right to question this. The departing Australia super payment (DASP) working holiday maker (WHM) tax rate of 65% applies to payments that include amounts attributable to superannuation contributions made under a WHM visa.

 

You can read more about DASP for working holiday makers on our website.

 

For applicants who hold accounts with multiple super funds, the DASP tax rate will be determined by each super fund individually, as each super fund is making a separate payment.

 

They will check whether the DASP that they are paying includes amounts attributable to super contributions made while you held a WHM visa. If it does, the super fund will apply the DASP WHM tax rate. If it doesn’t, the super fund will apply the DASP ordinary tax rates.

 

In other words, assuming that you don't rollover your super from your original super account to your new super account, your future DASPs will be taxed as follows:

  • Fund A (includes amounts attributable to super contributions made while you held a WHM visa) - 65% DASP WHM tax rate applies.
  • Fund B (doesn't include amounts attributable to super contributions made while you held a WHM visa) - DASP ordinary tax rate applies.

 

If you do decide to go ahead with that rollover, the 65% DASP WHM tax rate will apply to all of the future DASP paid by your new fund. This is because that account will hold amounts attributable to super contributions made while you held a WHM visa.

 

For more information about how DASP is taxed, check out our website.

 

Hope this helps.

 

Thanks,

 

ChrisR

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