Foreign Resident and tax free threshold
Hi there, Hope everyone is well! I have an employee who on their TFN declaration form has indicated they are Foreign Resident for tax purposes, and they have also ticked YES to claiming the t...
Forum Discussion
Hi Najjie,
Thank you for your post and hope you are well too!
As this is deemed 'financial advice', we are unable to advise which tax table needs to be selected for your employees. I would highly suggest speaking with the ATO to confirm your query, however, there may be a member of this community forum that has had the same situation that may be able to shed some light for you.
If you have any further queries in regards to your software, please reach out.
Hi Najjie
Did someone else come back to you with your question regarding an employee ticking the "A foreign resident for tax purposes" and the Tax Free Threshold?
As the same has happened with our new employee and I don't know if he should be in a tax free threshold category.
Could someone please reply?
Kind regards
Cathy
Hi CathG
If the employee is a foreign resident, use that tax table. There are a few exceptions but unless the employee provides this extra information, you should use Foreign Resident.
From an Payer point of view better to withhold too much than not enough. Employee will get any excess back when they lodge their tax return.
Regards
Gavin
Thanks Gavin
Yes, it is probably better to withhold too much.
The person is on a Partner Visa, Unrestricted, Full Work Rights.
So I still don't know so am going to contact our Accountant to see if they can shed some light on it.
Thanks for your reply.
CathG
