Maximize tax refund for backpacker tax return

Are you looking for a professional tax agent or accountant to help you with tax refunds for backpackers? Read on, as we will show you the fundamental ways in which you need to know to maximize your tax refund.

EndureGo Tax is one of the most professional and trustworthy accountants and tax agents in Sydney and Adelaide, and has helped many people in improving and maximizing their tax refunds throughout the years.

In 2015, backpackers in Australia reached the number of six hundred thousand people, with the purpose of either traveling or working or even both.  To be able to get a working permit, the evidence suggested that most of them would be required to hold a working holiday visa (subclass 417) or a working and holiday visa (subclass 462).

Before 1 January 2017, the tax rate had been proposed to be 32.5% from the first dollar they made. After that, the Australian Taxation Office (ATO) has conducted some adjustments regarding the legislation for both working holidaymakers visas.

tax refunds for backpackers

Maximize tax refund for backpacker

Firstly, the tax rate for the first $37,000 they make will be reduced to 15% (twice lower than the previous proposed rate). A wage above $37,000 will be charged at the non-resident tax rate. However, the significant change is that in Fy2016-2017, the Australian Government defined all backpackers on backpacker visas as non-tax residents, however, on their website as of May 2018, they had illustrated examples where some backpackers if they meet the conditions would be able to justify themselves as tax resident. For example, if a backpacker earns $37,000, and he can be defined as a tax resident, then his tax without Medicare levy is $3,127, however, it is important to seek confirmation via a private ruling through the ATO to confirm your tax resident position, and EndureGo Tax is highly experienced in helping clients in seeking clear outcome via a tax private ruling through the ATO. If the backpacker can not be defined as a tax resident, then the tax would be $5,500, the difference would be $2,423.

Also, the backpacker needs to review their PAYG or group certificate to see that their employer has properly marked down you are a backpacker, else their income from the first dollar will be subject to a 32.5% tax rate. The secret is seeing whether there is an H marked down next to the income in the group certificate.

Hence if you are a backpacker, please feel free to give us a call at 0410-829-900 or email us at, and we will endeavor to assist you with the issue of maximizing your hard-earned money via more refund at tax time.