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Part 2 – Resident of Timor-Leste

Use this part if you were a resident of Timor-Leste for tax purposes during 2016–17.

Last updated 21 March 2024

What you need

You will need details of your JPDA income from your PAYG payment summary – foreign employment for 2016–17, or a letter from your employer.

You need to know

A proportion of 10% of your income earned for work or services performed in the JPDA is taxed in Australia. Your payer should have deducted Australian tax at the minimum rate of 32.5% on 10% of your JPDA income.

When completing the following deductions for work-related expenses in myTax, show only 10% of your expenses relating to your work in the JPDA:

  • Union or professional association fees – in Foreign employment income (on a payment summary)
  • Work-related car expenses
  • Work-related travel expenses
  • Work-related uniform, occupation specific or protective clothing, laundry and dry-cleaning expenses
  • Work-related self-education expenses
  • Other work-related expenses.

What you need to do

Before you start on Foreign employment income (on a payment summary) in myTax, complete worksheet 3.

Example 2

Peter, a labourer, was a resident of Timor-Leste for the whole year. His PAYG payment summary – foreign employment shows a gross payment of $200,000 and Australian PAYG tax withheld of $6,500. His sole source of income was from the JPDA. Peter had work-related expenses of $200.

Peter will claim $20 (that is, 10% of $200) as his work-related expenses at 'Other work-related expenses' in myTax.

Peter’s taxable income is $19,980. His Australian tax payable is $6,493.50. Therefore, he will receive a tax refund of $6.50, that is, $6,493.50 (tax payable) minus $6,500 (tax withheld).

Peter uses worksheet 3.

Worksheet 3 – Peter

Row

Calculation elements

Amount

a

Amount shown on payment summary

$200,000

b

Divide row a by 10.

$20,000

 

End of example

Worksheet 3: Assessable JPDA income for resident of Timor-Leste

Use this worksheet to work out an assessable JPDA income for resident of Timor-Leste, for each of the following amounts shown on your PAYG payment summary – foreign income:

  • Gross payments
  • Lump sum A
  • Lump sum E.
Worksheet 3

Row

Calculation elements

Amount

a

Amount shown on your payment summary

$          

b

Divide row a by 10.

$

Enter the amount at row b at the relevant field in Foreign employment income (on a payment summary) in myTax:

  • Gross payments
  • Lump sum A
  • Lump sum E.

Enter only 10% of any work-related expenses that relate to your JPDA income at the following items:

  • Union or professional association fees, in Foreign employment income (on a payment summary)
  • Work-related car expenses
  • Work-related travel expenses
  • Work-related uniform, occupation specific or protective clothing, laundry and dry-cleaning expenses
  • Work-related self-education expenses
  • Other work-related expenses.

If the Residency status you selected is 'D - Changed residence during the year', go to Part 3 – Resident of another country.

QC51780