Work and Holiday Makers in Australia: when you can be taxed as a resident
Did you know some Work and Holiday visa holders (WHM) may pay less tax? This depends on specific factors and conditions. Here we’ll help you check whether you meet the requirements for this special advantage.
Am I from an NDA country?
Read this guide to find out whether you can pay less tax than other Work and Holiday visa holders. To access this treatment, you must have applied for your visa as a citizen of a country covered by a Non-Discrimination Article (NDA).
Work and Holiday visa holders (WHM) may be taxed under the same conditions as an Australian resident if they meet both of these requirements:
- Be a citizen of a country that has a Non-Discrimination Article (NDA) with Australia.
- Be considered an Australian resident for tax purposes.
This position stems from a key court decision on 3 November 2021, which confirmed that certain WHM, in specific circumstances, can be taxed as Australian residents.
Which countries are included under the NDA?
If you’re a citizen of one of the following countries and you meet the tax-residency requirements, you may be eligible:
- Chile
- Finland
- Germany
- Israel
- Japan
- Norway
- Turkey
- United Kingdom
How this differs from standard WHM taxation
Your tax outcome depends on several factors:
1) WHM from a country not covered by the NDA
If your country isn’t on the list, you’ll be taxed under the standard Work and Holiday Maker rules. Click here to see the tax rates that apply based on your income.
2) WHM from an NDA country and an Australian tax resident
If you meet both requirements, you may be taxed as an Australian resident, which generally means paying less tax. You may also be eligible for tax offsets such as the Low Income Tax Offset.
If you want more detail on how your taxes should be handled, see the guides for tax residents and Work and Holiday.
To be treated as a resident (even as a WHM), it’s not enough to be from an NDA country—you must also meet the criteria for Australian tax residency.
Rate table
Here’s the reference table from the page (so it’s visual and easy to check).
Not sure about your case?
If you’re from an NDA country and think you may be taxed as a resident, we’ll help you confirm it and get it right from day one.