Australian tax thread 2013

mandrake04

Apollo_Creed wrote: »

Hi guys,

I'm currently doing a return for a friend. She is a hairdresser, who is de facto on her boyfriends 457 visa, and hence is claiming medicare exemption.
She has earned approx $47k and paid $7k tax.

I have claimed for a variety of expenses such as work uniform, laundry,shoes, salon expenses, PY tax return etc, and I'm coming out with a refund of approx $2,600.

Does this sound about right? I would have thought she would have got a bit extra give her expenses are about $3/4k...

Any input greatly appreciated.

You only get back the rate of tax on the difference of Gross - deductions

If she earned $47K and had $4K expenses, then she only pays tax on $43K.

If for sake of argument her tax rate is 30% $4k of expenses would give a refund of $1200 not $4K.

countingdown

Can anyone recommended a suitable accountant in Melbourne who has dealt with tax refunds for 457 visa holders?

My tax refund estimate is incredibly low and I want to see if i might be making a mistake somewhere

aido79

countingdown wrote: »

Can anyone recommended a suitable accountant in Melbourne who has dealt with tax refunds for 457 visa holders?

My tax refund estimate is incredibly low and I want to see if i might be making a mistake somewhere

What makes you think you should get more back? If for example you work all year doing the same hours every week and earning the same wage every week for the year you will get nothing back apart from your medicare levy and the taxable part of any work related expenses. This will be the case for alot of people on 457 visas.

tonydude

Looking for some advice guys, my girlfriend is working as a beauty therapist on a whv and shes earning around 640 a week and 208 of it is being taken in tax, theres also a super of 60 on top of this, does this sound normal and can she claim the tax and super back when we leave Oz, thanks

jackbhoy

tonydude wrote: »

Looking for some advice guys, my girlfriend is working as a beauty therapist on a whv and shes earning around 640 a week and 208 of it is being taken in tax, theres also a super of 60 on top of this, does this sound normal and can she claim the tax and super back when we leave Oz, thanks

Sounds like she is being taxed as a non-resident (for tax purposes), on that salary I wouldn't expect to be pay more than $50-60 p/w in tax.

She should do a tax return for any tax years she has worked (don't have to wait until leaving) and if she is resident for tax purposes on that she would get most of that tax back. If she earns under 18k in a tax year then she should get all of tax paid back, plus medicare levy.

Super is different in that it is paid by employer, it is not a tax on gross income. There are ways to access that once you leave the country but tax office will take a chunk of it so it won't be much of a windfall...

Belt

I checked the status of my return and it says my assessment was issued a week ago; when can I expect the refund?

I chose bank transfer so thought it would have been put in immediately

monariek

Belt wrote: »

I checked the status of my return and it says my assessment was issued a week ago; when can I expect the refund?

I chose bank transfer so thought it would have been put in immediately

can you only check the status of your return if you lodge using etax?

Belt

Nope, I posted mine and can check; all you need is your tax file number! Don't have the link to hand, just google it

Vinnie B

Anyone no how long the wait Is for the Medicare exemption cert? Sent my Medicare forms away 6 weeks ago and still no sign of a cert?
Thanks.

Noo

Vinnie B wrote: »

Anyone no how long the wait Is for the Medicare exemption cert? Sent my Medicare forms away 6 weeks ago and still no sign of a cert?
Thanks.

I got mine in about 2/3 weeks

danotroy

Do you need a medicare exemption cert? My accountant, provided by the agency i work for, said there is no need to supply the exemption form. I didn't supply it last year and I Didn't get pulled up on it.

Can someone clear up the following hypotheticals.

If I earn 17900 in this new tax year and pay 3000 in tax will i get all 3000 back? (or a substantial amount)
If I earn 20,000 in the tax year and pay 3,500 in tax what would i get back?

massdebater

danotroy wrote: »

Do you need a medicare exemption cert? My accountant, provided by the agency i work for, said there is no need to supply the exemption form. I didn't supply it last year and I Didn't get pulled up on it.

No, you don't need it. I've done my last two tax returns without applying for my medicare exemption cert and received my tax back both times, no problem. On the off-chance you get audited, they may ask you to supply it and you can simply apply for it then.

danotroy wrote: »

Can someone clear up the following hypotheticals.

If I earn 17900 in this new tax year and pay 3000 in tax will i get all 3000 back? (or a substantial amount)

You get it all back because you are below the 18,200 threshold.

danotroy wrote: »

If I earn 20,000 in the tax year and pay 3,500 in tax what would i get back?

You only pay 19% tax on the 1,800 (the amount above 18,200). Although, with medicare exemption/expenses etc, it's likely you get the full 3,500 back.
The income tax threshold table is here http://www.superguide.com.au/how-super-works/income-tax-rates

Batgurl

danotroy wrote: »

Do you need a medicare exemption cert? My accountant, provided by the agency i work for, said there is no need to supply the exemption form. I didn't supply it last year and I Didn't get pulled up on it.

I think ATO are being stricter on it this year though. I didn't provide it last year and there was no hassle. This year however my accountant (same guy) won't submit my return without it.

I've heard a few people say the same about their guys as well.

jackbhoy

Batgurl wrote: »

I think ATO are being stricter on it this year though. I didn't provide it last year and there was no hassle. This year however my accountant (same guy) won't submit my return without it.

I've heard a few people say the same about their guys as well.

I submitted my own return sans cert, got refund and wasn't asked for cert.

Probably no harm to get it anyway but I'd say it's just a random selection/audit process they use to check.

cooker3

This was my first tax return and I randomly got audited but thankfully got the 4.5k back Thursday. Just the 9 weeks after submitting it...
They didn't ask me to submit the medicare exemption cert though so I may have missed a bullet there (seeing as I haven't bothered applying yet)

Hasmunch

I applied for my medicare exemption certificate last week and noticed on the website

If you live in Australia, but are not eligible for Medicare during all, or part of, any financial year, you can claim an exemption from paying the levy. To claim the exemption on your tax return, you must apply for a Medicare Levy Exemption Certificate.

You may not be eligible for the exemption if you:

• hold a permanent resident visa or have applied for a permanent resident visa
• were a resident of the United Kingdom, the Republic of Ireland, Italy, Malta, Sweden, the Netherlands, Finland, Belgium, New Zealand, Norway or Slovenia before entering Australia

Anyone know if this is true, i thought we were eligible for exemption status?

john.co

@Hasmunch
Think this has been covered on this thread (or previous years) - AFAIK this is an error on the website - check out the actual Medicare Levy Exemption Certificate Form and you'll see it mentions Northern Ireland specifically, and not Republic of Ireland.
Someone else might be able to verify this is a mistake, but I know personally - I applied and was granted the Medicare Exemption Cert for the period when I wasn't on PR visa.

Jbpc

Hi guys,

Stupid Q alert! ...I worked for 3 months while in Oz, one month of it fell in 2013 tax year and the rest in 2014. I'm back home now and don't plan to return to Australia. What do I have to do regarding my return. I was in the low pay bracket (18 p/hr 30-40hrs a week) so I am more than likely owed only an irrelevant amount, so do I need to bother with the return at all??
Sorry about the silly Q but I'm clueless regarding this stuff.

Thanks

L'prof

Jbpc wrote: »

Hi guys,

Stupid Q alert! ...I worked for 3 months while in Oz, one month of it fell in 2013 tax year and the rest in 2014. I'm back home now and don't plan to return to Australia. What do I have to do regarding my return. I was in the low pay bracket (18 p/hr 30-40hrs a week) so I am more than likely owed only an irrelevant amount, so do I need to bother with the return at all??
Sorry about the silly Q but I'm clueless regarding this stuff.

Thanks

It's up to yourself, but you're probably entitled to the total amount of tax you paid while in Australia. I'd definitely be claiming it.

Batgurl

Jbpc wrote: »

I worked for 3 months while in Oz

How long were you physically here for?

Less than six months and you may find that you owe them money.

Jbpc

Batgurl wrote: »

How long were you physically here for?

Less than six months and you may find that you owe them money.

I was there 7 and a half months

Batgurl

Jbpc wrote: »

I was there 7 and a half months

Then you fulfil the residency requirements so you probably should do a tax return and will more than likely get a refund.

May only be $1k or two but worth a go.

Mellor

Batgurl wrote: »

Then you fulfil the residency requirements so you probably should do a tax return and will more than likely get a refund.

May only be $1k or two but worth a go.

I'd really doubt he paid anything close to that in tax in one month earning $18/hr

Jbpc

Mellor wrote: »

I'd really doubt he paid anything close to that in tax in one month earning $18/hr

Yeah I paid very little in tax, nowhere near 1k, 200 dollars maximum i'd say

Batgurl

Jbpc wrote: »

I worked for 3 months

$18 x 35hours (average) = $630 pw x 13 weeks = $8190 / 20% tax = $1638 tax paid.

In my experience and because it's over two seperate tax years, your likely to get most of that back.

If your not arsed going through ATO, taxback.com (much as I loathe them...seriously, avoid if possible) are good for doing tax returns when your back in Ireland.

Mellor

Batgurl wrote: »

$18 x 35hours (average) = $630 pw x 13 weeks = $8190 / 20% tax = $1638 tax paid

But he can only claim with the 2013 return now. Which makes it a lot less.
Regardless of 1 or 3 months. I still doubt the total was anything near what you suggest.

Batgurl

He can claim his 2014 tax back now if he has an exit stamp on his passport and his WHV visa has expired so he can prove he won't be back.

And perhaps he didn't pay that much tax but I calculated based off the figures he provided.

Mellor

Batgurl wrote: »

He can claim his 2014 tax back now if he has an exit stamp on his passport and his WHV visa has expired so he can prove he won't be back.

And perhaps he didn't pay that much tax but I calculated based off the figures he provided.

But if he was here 7 months only, then his visa isn't expired. Thete are ways around it, but it's easier to wait.

AnywY, it's been pointed out he'll prob get it all back, he can check the amount and decide what to do.

lavelle72

I claimed the Medicare Levy Exemption a few months back when I did my return and got a ltter yesterday saying they couldn't prove I was eligible for the exemption and need me to provide the cert. Have to go through the process of getting it now - it's such an annoyance, could they not just get immigration records or something

Kiith

Do you have to wait for you visa to expire before you can claim your 2014 tax back? I will probably be leaving before Christmas (not 100% sure yet though), and had planned on claiming mine as soon as i left. Visa doesn't expire till Feb though.

Also, can i use the e-tax program again when i leave, or do i have to do it by post?