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Part 3 – Resident of another country

Last updated 26 May 2016

Use this part if you were a resident of a country other than Australia or Timor-Leste for tax purposes during 2015–16.

What you need

You will need details of your JPDA income from your PAYG payment summary – foreign employment for 2015–16, or a letter from your employer.

You need to know

Your net income earned in the JPDA is taxed in Australia. You can claim a tax offset of 90% of Australian tax payable on that income. Your payer should have withheld 10% of the applicable Australian tax on your JPDA income.

What you need to do

Show all your Australian income (including all JPDA income) and deductions as instructed by myTax. Use worksheet 4 or worksheet 5 to work out your other non-refundable tax offset.

Use worksheet 4 if the only Australian income you had was JPDA income; otherwise, use worksheet 5. If you are using worksheet 5, example 3 will assist you.

Worksheet 4: JPDA tax offset for foreign residents whose only Australian income is JPDA income

Your taxable income as shown on your tax return

$          

(a)

Calculate your tax using the rates and calculators

$

(b)

Multiply (b) by 90.

$

(c)

Divide (c) by 100.

$

(d)

The amount at (d) is your JPDA tax offset. Enter this amount at 'Other non-refundable tax offset' in Foreign employment income (on a payment summary) in myTax.

Example 3

Gavin, a chef, was a resident of Malaysia for the whole year. His Australian assessable income was $80,000, of which $70,000 was JPDA income. He paid $100 for work-related expenses related to earning his JPDA income but had no other allowable deductions. He had no other amount to show at Other non-refundable tax offsets. Gavin uses worksheet 5 below to work out his JPDA tax offset.

Gavin’s JPDA tax offset is $20,445. He enters this amount at 'Other non-refundable tax offset' in Foreign employment income (on a payment summary) in myTax.

End of example

Worksheet 5: JPDA tax offset for foreign residents who have JPDA income and other Australian income

 

Gavin

You

Your taxable income as shown on your tax return

$79,900

           

(a)

Calculate your tax using the rates and calculators

$25,968

 

(b)

Divide (b) by (a) (round to at least 3 decimal places).

0.325

 

(c)

Net JPDA income (after any allowable deductions relating to JPDA income)

$69,900

 

(d)

Multiply (c) by (d).

$22,717.50

 

(e)

Multiply (e) by 90.

$2,044,575.00

 

(f)

Divide (f) by 100.

$20,445.75

 

(g)

The amount at (g) is your JPDA offset. Enter this amount at 'Other non-refundable tax offset' in Foreign employment income (on a payment summary) in myTax.

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