• Examples

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    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

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    Example 1 - Australian resident

    A payee receives $10,000 for a particular month, including $8,000 of JPDA income. They also have $1,000 paid into a superannuation fund of which 80% relates to the period in Timor-Leste. The payee is claiming the tax-free threshold on their Tax file number declaration (NAT 3092), has not lodged a Withholding declaration (NAT 3093) and is not entitled to leave loading. The amount to be withheld under the PAYG withholding - monthly tax table incorporating Medicare levy with and without leave loading (NAT 1007) effective from 1 July 2006 would be $3,142. The tax payable to Timor-Leste would be based on the total entitlement of the payee - that is, $8,800 (JPDA income of $8,000 plus the superannuation payment of $800), which at the tax rate of 20% is $1,760. The amount to be withheld and paid to the Australian Taxation Office is $1,382 ($3,142 - $1,760).

    Example 2 - Timor-Leste resident and payment is all JPDA income

    A payee receives $10,000 for a particular month. The amount to be withheld and paid to the Australian Taxation Office is $290 ($10,000   2.9%).

    Example 3 - Not a resident of Australia or Timor-Leste and payment is all JPDA income

    A payee receives $10,000 for a particular month. The amount which would be withheld (if the rates for non-residents included in the PAYG withholding - monthly tax table incorporating Medicare levy with and without leave loading (NAT 1007) effective from 1 July 2006 was used) is $3,354. After rounding cents, the amount to be withheld and paid to the Australian Taxation Office is $335 ($3,354   10%).

    Example 4 - Not a resident of Australia or Timor-Leste and payment is JPDA and non-JPDA income

    A payee receives $10,000 for a particular month, including $8,000 of JPDA income. The amount which would be withheld (if the rates for non-residents included in the PAYG withholding - monthly tax table incorporating Medicare levy with and without leave loading (NAT 1007) effective from 1 July 2006 was used) is $3,354. After rounding cents, the amount to be withheld and paid to the Australian Taxation Office is $939 ([$3,354   $10,000]   [$800 + $2,000]).

    Last modified: 26 Nov 2008QC 21038