• Change in tax rate for super payments to working holiday makers

    From 1 July 2017, a new tax rate of 65% applies to departing Australia superannuation payments (DASPs) made to former temporary residents who were working holiday makers (WHMs).

    You are classified as a WHM if you hold or have held:

    • a subclass 417 (working holiday) visa
    • a subclass 462 (work and holiday) visa
    • an associated bridging visa.

    This change is related to a new income tax rate for working holiday makers which was introduced by the Australian Government in December 2016, and is effective from 1 July 2017.

    New DASP tax rate

    Your DASP will be subject to the 65% tax rate if the following apply:

    • you ever held a subclass 417 or a subclass 462 visa, or associated bridging visa
    • your DASP includes amounts attributable to super contributions made while you held the above visas
    • the DASP is paid to you on or after 1 July 2017.

    The 65% tax rate applies to the taxed element, and untaxed element, of the taxable component of your DASP, including where those elements include any super you may have earned while working under a non-WHM visa. The tax-free component will continue to be subject to a Nil tax rate.

    Payments made before 1 July 2017 will be taxed at the ordinary DASP tax rates.

    DASP applications are generally processed within 28 days. You can only submit an application once you have left Australia and your visa is cancelled or expired.

    Contact us:

    • phone 13 10 20 from 8.00am–6.00pm (local time), Monday to Friday (except public holidays)
    • from outside Australia phone +61 2 6216 1111 from 8.00am–5.00pm Australian Eastern Standard Time, Monday to Friday (except public holidays).

    See also:

    Last modified: 26 Jun 2017QC 50758