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Hello there,
I am on a working holiday visa, and have worked as a sole trader with an ABN throughout my stay here in Australia so far, except for when I completed my farmwork to extend my visa.
I was wondering if it is possible for those on a working holiday to still setup a payment plan to pay their tax as a sole trader? I have earnt less than the $37000 first threshold for the 2018-2019 tax year, so as I understand it I should be taxed 15%? Is this also correct?
I have had to use money I saved for my tax for an emergency flight back to the UK for a family event so I am concerned about not being able to pay my tax in a lump sum, especially if I end up being taxed more than 15%. I've read that Aussie citizen sole traders can setup a payment plan, but I wanted to check if those on a working holiday visa who have been working as a sole trader are also able to do this.
Many thanks in advance to anyone who can advise me here!
Sophie
Most helpful response
ATO Certified Response
on 24 September 2019 12:05 PM
Replies 1
Hi @animatingsophie,
Yes, if you have earned under $37,000 you should only be taxed at 15% if you are on a working holiday visa.
Payment plans are available to use to pay off any debts if you meet the criteria listed on the page I linked. You don't just have to be an Australian citizen to use them, they are available to all.
Hope this helps! Thanks, NateH
Most helpful response
ATO Certified Response
on 24 September 2019 12:05 PM
Replies 1
Hi @animatingsophie,
Yes, if you have earned under $37,000 you should only be taxed at 15% if you are on a working holiday visa.
Payment plans are available to use to pay off any debts if you meet the criteria listed on the page I linked. You don't just have to be an Australian citizen to use them, they are available to all.
Hope this helps! Thanks, NateH
Thank you very much! This was really helpful
Sophie