OK, let’s face it – getting to grips with tax laws is probably the LAST thing on your mind when moving to a new country on a working holiday.
After all, you’re only starting to experience your new country and create memories.
Whether it’s the scenic snow-peaked mountains of New Zealand and Canada, or the golden beaches of Australia, we don’t blame you if you pushed your taxes to the side.
And with challenges like finding accommodation and employment, it’s safe to say tax can often be forgotten about.
However, you may be required to file a working holiday tax return for the country you are in.
Many workers are completely unaware that they could be due a tax refund if they do overpay tax!
Well, that depends – after all, tax laws are different in each country, and refunds may be issued for a variety of reasons.
For example, pension plans that are mandatory like Superannuation funds in Australia or errors from your employer might lead to overtaxing.
And if you are sceptical about how much you might be overpaying, rest assured that it is definitely worth your while investigating your potential tax refund.
With the average refund in each country in the high hundreds, you can imagine why so many people look to get their tax refund as soon as they can.
Again, that depends!
Each country has a variety of different factors that can influence how much tax a worker is due back.
Each individual person’s tax circumstances are different, too, so there is no set-in-stone amount for each country.
If you visited Canada on a Canadian working holiday visa, there are many reasons why you could be due a tax refund – such as if you overpaid tax or have expenses that you can claim.
To claim the tax back on expenses, you’ll need to file a Canadian working holiday tax return.
The best way to check if you’re due tax back from your time in Canada? Simple, you should apply with Taxback.com!
They will comprehensively review your situation to see what expenses you can claim and they will ensure you get your maximum legal tax rebate. Not only this, they will also make sure you are 100% tax compliant in Canada.
Missing any of the official documents you need to file your tax return, such as your TD1? No worries! Taxback.com can track them down for you.
The average Canadian tax refund a Taxback.com customer receives is $998 so it’s easy to see why checking how much you’re owed makes so much sense.
You can check out Taxback.com’s free-to-use tax refund calculator.
Backpackers account for nearly 13% of tourism spend in Australia – the equivalent of around $3 billion per year.
When you begin your job in Australia you will pay tax at a rate of 15% on the first $45,000 of income earned.
You’ll be legally obliged to file an Australian working holiday tax return at the end of the year.
The good news? You may be able to claim some of this back by requesting a tax refund at the end of the year!
What’s more, if you visited the country on an Australian working holidaymaker visa there’s a chance you could be due a significant tax refund.
That’s because of the decision to scrap the controversial Backpacker Tax in 2021.
Backpackers that visited from the UK, Chile, Finland, Germany, Japan, Norway and Turkey during these years are especially encouraged to check out how much they are due.
You may also be entitled to claim a refund of your Superannuation payments once you leave the country.
You’ll be able to easily file your tax return and claim your maximum amount of tax and Superannuation back online with Taxback.com.
In New Zealand, backpackers will typically pay between 12.5% and 38% tax on their income.
To claim your tax back, you’ll need to file a New Zealand working holiday tax return and include any expenses that you may be able to claim back.
An ID and a summary of your earnings or your final payslip will be required to claim your refund.
In order to be able to claim back on any of your expenses, you will need to keep proof of any of these costs. That’s why it’s always important to hold on to receipts.
How much tax you are owed is generally decided by:
You can even go as far back as 2008 to claim your New Zealand working holiday tax refund if you wish!
Taxback.com can help you to claim a tax refund and the average New Zealand refund a customer with them receives is $550!
You can always claim your working holiday tax refund by yourself.
However, many non-residents find this process very tedious, especially if they are not used to the country and their tax laws.
That’s where Taxback.com can help you out.
Visa First and Taxback.com work together to ensure working holiday customers receive their tax refunds.
Whether you are in Australia, New Zealand, or Canada (or others) – their tax team are experts in international tax law.
Basically, if you’re due tax back, they’ll retrieve it for you!
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