• Seasonal Worker Program

    If you have workers in the seasonal worker program you will need to withhold tax at a flat rate of 15% on all payments made to them.

    However, some workers may be exempt from having tax withheld from their payments if they are both:

    • from Papua New Guinea (PNG) or Kiribati
    • are in Australia for 90 days or less within the financial year (that is, from 1 July to 30 June the following year).

    Workers with a Special Program (subclass 416) visaExternal Link under the Seasonal Worker Program are non-residents of Australia for tax purposes. They may become a resident for tax purposes if they stay in Australia after they finish working on the program.

    Tax file number

    Once seasonal workers have entered Australia, they can apply for a tax file number (TFN) using their passport and visa details. They will need to provide you with their TFN so that it can be given to their super fund. However, it is not compulsory for seasonal workers to complete a Tax file number declaration (NAT 3092).

    Reporting

    You must provide payment summaries to seasonal workers where you have withheld tax from payments, although they are not required to lodge tax returns unless they have other Australian income outside of the program.

    They should not include their income from the Seasonal Worker Program in their tax returns.

    At the end of each financial year you will need to include these payment summaries, along with any others that you have issued, when you lodge your PAYG withholding payment summary annual report.

    Withholding tax from an exempt seasonal worker

    If you realise you mistakenly withheld tax from an exempt worker within the same financial year, you can refund the tax to them.

    If you have already paid the tax withheld amount to us and lodged an activity statement, you should revise your activity statement in order to receive a refund for the amounts incorrectly withheld and paid.

    If you find out about the mistake after the end of the financial year, the worker must request a refund of the withholding tax.

    See also:

      Last modified: 05 Apr 2017QC 25161