Working Holiday Makers

A working holiday maker is a temporary employee that holds a Working Holiday visa or a Work and Holiday visa allowing them to work while visiting Australia. You must be registered as an employer of working holiday makers to withhold tax at the working holiday maker tax rate. You must do this before making any payment to the employee.

From 1 January 2017, the working holiday maker tax applies from the first dollar earned.

To set up working holiday makers:

1. Import the TaxScaleAustralia_2017 tax file. This will import a new Tax Transaction Type of WHM.
2. In HR Employee Maintenance > TaxConfig set:
   • Income Type to H - Working holiday maker
   • Payroll Tax Trans Type to WHM.

When generating the Payment Summary report, payments made to working holiday makers display the letter H next to income earned.

If an employee commenced as a working holiday maker before 1 January 2017, two Payment Summary reports will be generated for the employee. One from 1 July 2016 - 31 December 2016 and the other from 1 January 2017 - 30 June 2017.

• Employers of working holiday makers (ATO website)