Coming to Australia

Whether you are coming to Australia on a temporary or permanent basis, you will need to pay taxes if earn income in Australia.  You may also have a worldwide tax obligation to report your overseas income. At the same, your U.S. tax obligations continue.

Australia has entered into a Double Tax Agreement (DTA) with a number of countries, including the United States, for the purpose of:

  • Minimising double taxation by exempting certain income types from tax in one country, or allowing a country to credit tax paid in the other country against its own tax liability.
  • Determining which country has the right to tax income types or gains.
  • Restricting withholding tax applicable in one country when certain types of income are paid to residents of the other country.
  • Determining which country an individual is a tax resident of when both countries claim that the individual is a resident of their countries.
  • DTAs generally prevail over domestic law in both countries in respect of income subject to the DTA.

Superannuation

Superannuation  is Australia's retirement savings system. Even If you are a temporary resident, your employer should pay superannuation contributions for you just as they do for eligible Australian resident employees. It doesn't matter whether you work full time, part time or casually. On the flip side, this is subject to tax in the U.S.

USTaxCentral Australia has a team that provides reliable technical expertise on cross-border matters between the U.S. and Australia.

Arthur C. Clarke: "The best measure of a man's honesty isn't his income tax return. It's the zero adjust on his bathroom scale."