What You Need to Know About Banking and Taxes Australia
Non-residents won’t have a difficult time opening a bank account in Australia. All four of the major banks offer non-resident bank and migrant bank accounts for expats. They are: National Australia Bank, Australia and New Zealand Banking Group, Westpac, and Commonwealth Bank. Understanding and navigating a country’s tax system is an integral part of any expat’s relocation itinerary. The government has introduced many new tax laws to better help workers, the self-employed, and small to medium-sized businesses. Among them, a tax relief for singles (up to 1,080 AUD (745 USD) and dual-income families (up to 2,160 AUD (1,489 USD)).
Bank & Taxes
If you are opening a bank account in Australia within the first six months of your stay, then all the identification you’ll ever need is a passport. The taxes that you will have to remit while living Down Under requires a bit more study. For example, Australia does have double tax agreements with more than 40 jurisdictions, so make sure that you understand it well to avoid getting taxed twice in Australia and in your home country.
So, if you want to do away with the headache, do get an expert relocation firm that can provide you with the right information.
If you are planning to relocate to Australia, you can find more information in our relocation section.
Bank in Australia
Here’s a list of the most common bank accounts in Australia:
▸ Everyday Transaction Accounts – For daily transaction such as withdrawals and deposits.
▸ Savings Accounts – Same functions as Everyday Transaction Accounts but with higher interest rates
▸ Credit Card Accounts – Access funds that are not immediately available
▸ Foreign Currency Accounts – Especially helpful if you are still getting paid for work in another country
▸ Joint Accounts – Good to open if you want to share access with your spouse or business partner
▸ Term Deposits: Your funds are locked in for a specific period with higher interest rates
Below is a list of bank accounts that will issue credit cards to non-residents of Australia:
▸ HSBC
▸ Commonwealth Bank (CommBank)
▸ National Australia Bank (NAB)
▸ Australia and New Zealand Banking Group (ANZ Bank)
The four biggest banks in Australia are:
▸ NAB
▸ CommBank
▸ ANZ Bank
Best Online Banks:
▸ ING
▸ ME Bank
▸ UBank
▸ RaboDirect
▸ Easy Street
▸ e-Finding, Moving, Settling-In, and Other Essential Services.
The tax system comprises of both direct and indirect taxes
Some examples of these are: ▸ Excise ▸ Sales ▸ Estate ▸ Property ▸ Income Your employer will automatically subtract your income tax from your pay and remit it to the government. Here’s a table of what your taxes could look like: For Resident:
|
Tax Bracket (AUD) |
Tax Bracket (USD) |
Income Tax Percentage |
|
0–18,200 |
0–12,513 |
0 |
|
18,201–37,000 |
12,514–25,438 |
19 |
|
37,001–90,000 |
25,439–61,877 |
32.5 |
|
90,001–180,000 |
61,877–123,755 |
37 |
|
180,001 and over |
123,735 and over |
45 |
For Non-Residents
|
Tax Bracket (AUD) |
Tax Bracket (USD) |
Income Tax Percentage |
|
0–90,000 |
0–61,877 |
32.5 |
|
90,001–180,000 |
61,877–123,755 |
37 |
|
180,001 |
123,735 and over |
45 |
Get A Quote
Fill up the form and Our team will get back to you soon.