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Do I have to pay tax on Paypal from overseas?

Newbie

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I've recently been hired by an overseas news blog. Within the contract it states that I must "be aware of the  statutory tax and social security obligation...as a self-employed person" and "comply with such obligations." The suggested method of payment is through a monthly payment via Paypal.

 

I'm highly lost and confused. Do I have to declare tax on these payments? If so, how would I effectively do that? Would it be through PayPal, or would it have to be declared seperately etc.

 

 

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ATO Certified Response

ATO Community Support

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Hi @Rishi,

 

You are taxed on worldwide income. You must declare all income you receive including overseas income on your tax return and may pay tax in Australia and the country you received the income. If you have paid tax in another country for the foreign income you have received, you may be entitled to Australian foreign income tax offset.

 

I have found some information for foreign income and foreign income of Australian resident working overseas on our website that may help you.

 

Hope this helps!

 

 

2 REPLIES 2

Most helpful response

ATO Certified Response

ATO Community Support

Replies 1

Hi @Rishi,

 

You are taxed on worldwide income. You must declare all income you receive including overseas income on your tax return and may pay tax in Australia and the country you received the income. If you have paid tax in another country for the foreign income you have received, you may be entitled to Australian foreign income tax offset.

 

I have found some information for foreign income and foreign income of Australian resident working overseas on our website that may help you.

 

Hope this helps!

 

 

Newbie

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Thank you for your help!