Some Backpackers are Not Subject to Backpacker Tax

A recent high court decision has confirmed that in limited circumstances

A taxpayer who was on a working visa from the UK who was also an Australian tax resident due to the application of the double tax agreement between Australia and UK, was not subject to the Backpacker tax. 

This would be applicable for travellers who are an Australian resident for tax purposes and come from the UK, Chile, Finland, Japan, Norway, Turkey, Germany or Israel.

It is recommended that people on working holidays in Australia, should check the ATO website prior to preparing their tax returns, it is important to note that most people on working holidays will not be residents for tax purposes as their main purpose is for a holiday and to support their travel through some work to held fund their trip. 

ATO is Cancelling ABN’s

The ATO is currently undergoing the automated process of cancelling ABN’s that have not been used, however they are allowing taxpayers and their advisors the ability to confirm if ABN is still active and in use before the ABN is cancelled. 

Electronic Communication for Companies

Electronic Communication for Companies

The government has announced that a bill has been introduced to permanently allow companies the use of technology to meet their regulatory requirements, which was allowed temporarily as a result of Covid. 

The changes will allow for the following; 

  • Allow meetings to be held physically, as a hybrid, or (if expressly permitted by the entity’s constitution) virtually, provided that members, as a whole, are given reasonable opportunity to participate in the meeting.
  • Allow companies (and registered schemes) to meet their obligations by being able to send documents in hardcopy or soft copy, and give members the flexibility to receive documents in their preferred format and; 
  • Provide flexibility to allow documents, including deeds, to be validly executed in technology neutral and flexible manners, including by company agents.