Question by Joe Jamal: Foreigners and Tax in Australia? I am confused! Please support?
Hi,
I reside in Australia temporarily for over two years. My business is on the internet. I have a internet site affiliated with some American organizations and I receive about $ USD 10000 /month through Paypal from American businesses. I obtain my earning without paying any tax.
I am not an American or Australian citizen, and my revenue comes from US to Au. I’m from Middle East. How my tax will be calculated?
Thanks
Ideal answer:
Answer by Ele
If you are residing in Australia and operating a business from Australia you should declare the revenue in your tax return as business income and pay tax on it in Australia. Over $ 30,000p.a. revenue tax could be payable on that level of annual earnings. This is not the kind of foreign revenue which is exempt or excluded from Australian tax and your citizenship status makes no difference if you are a “resident for tax purposes”.
You must get professional guidance from a qualified tax accountant, lodge tax returns and spend your tax soon, or you could be in a lot of trouble with the Tax Office and jeopardise your future. The Tax Office audit on the web businesses – they request data from Paypal and might trace these transactions to you.
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