Job Discussion Forums

[newyorkbunny]

Hi Everyone,

My question is this. I am an Aussie citizen and only contracted to work here in Japan for three months. I am paying 20% Japanese tax. Do I need to declare this income to the Australian Government? I would hate to think I am going to be taxed at the oppressively high Aussie rates in addition to the higher Japanese rate.

Many thanks in advance.

newyorkbunny

[king kakipi]

According to my accountant, you need to declare it in your Oz tax return but you aren't taxed on it. Any additional income in Oz is added to it and then taxed at a higher rate only if you reach the higher bracket.

eg you earn $30K in Japan and pay the tax to J authorities
then you earn $40K in Oz; you are taxed by Oz autorities on that 40K at the 30-70K rate.

That's what I did. He said they can check easily with the J authorities anyway, and your passport shows you've been overseas etc, so better to declare it

[newyorkbunny]

Thank you so much for the reply! You have been very helpful!!!

Domoo!!

newyorkbunny

[Glenski]

I'm not Australian, but I have a question. Why are you paying 20% Japanese tax? You should be paying about 7%.

I know that Westgate doesn't hire people on working holiday visas, so you can't be on that (which has a tax rate of 20%).