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  • Withholding from a foreign resident

    A foreign resident is someone who is not an Australian resident for tax purposes.

    The withholding requirements for foreign resident employees are similar to those that apply to Australian workers. However, a foreign resident:

    • can't claim the tax-free threshold
    • is subject to special rates of withholding.

    It is your responsibility to check if your foreign resident worker can legally work in Australia. The Department of Home Affairs (Home Affairs) has an online verification toolExternal Link you can use to check visa conditions.

    In this section

    When to withhold tax
    Find out when you're required to withhold amounts from payment to foreign resident employees.

    Reporting and paying
    Work out withholding amounts and how to report for foreign resident employees.

    Related pages

    Tax file number declaration
    Complete the TFN declaration form so your payer can work out how much tax to withhold from payments they make to you.

      Last modified: 13 Dec 2022QC 18617