AS A BACKPACKER EMPLOYER WHAT YOU NEED TO DO…ACKPAKERS? THEN LET US TELL YOU…
Are you a backpacker employer? And you want to lodge tax return online? Then this is what you need to do:
As an employer, you need to register with the Australian Taxation Office (ATO) to withhold at the new backpacker tax rates;
If your employee earns up to $37,000, you must withhold 15% tax from his/her income;
As an employer if you do not register with ATO, you will be faced with penalties, also you must withhold tax at 32.5% from every dollar earned up to $87,000 and foreign resident withholding rates apply to income over $87,000;
You must also report your Superannuation Guarantee Contributions (SGC) obligations for your employees in online tax return;
You as an employer of your working holiday makers will have to issue two (PAYG) Payment Summaries for the year ending on June 30, 2017, one for income earned from July 1 to December 31, 2016 and another one for income earned from January 1 to June 30, 2017.