ATO registration for employers of Working holiday visa holders

Many employers are unaware of their responsibility to register with the Australian Taxation Office (ATO) if they employ working holiday visa (WHV) employees and the ATO may apply penalties if you fail to register. WHV holders are able to lodge tax returns.

Employers must register with the ATO if they are employing or plan to employ workers with either a Working Holiday visa 417 (working holiday) or 462 (work and holiday) before they receive their first pay. Employers must register with the ATO to withhold money at working holding makers tax rates.

Superannuation must also be paid for WHV holders which they can withdraw upon leaving Australia however, it is taxed.

Once registered employers must withhold tax as per the Australian Taxation Office ruling in respect of the fiscal years. For example in 2025-2026 financial period these are the rates:

· 0 to $45,000 – 15c for each $1

· $45,00 to $135,000 $6750 plus 30c for each $1 over $45,000

· $135,000 to $190,000 $33,750 plus 37c for each $1 over $135,000

· $190,001 and over $54,100 plus 45c for each $1 over $190,000.

Visit the ATO website or consult your accountant as there are differing amounts listed for each financial year.

Not registering as an employer of working holiday makers means that employers must withhold tax at a much higher rate, as these differ for each financial year employers must consult the ATO website or an accountant for the correct amounts.

A business with an ABN and registered for PAYG withholding can register as an employer of working holiday visa holders in several ways: online using the ATO employer registration for working holiday maker form, or by calling the ATO, a registered tax agent or BAS agent can also complete the form on an employer’s behalf.

Companies without an ABN but registered for PAYG tax withholding also have ways to register as an employer of working holiday visa holders. The ATO online form is available as is calling the ATO business line if you are an authorised business contact. Additionally, there is an application form to download from the ATO – Application to register a PAYG withholding account form.

Once registered as an employer of working holiday visa holders employer can view the registration on the Australian Business Register

Employers can cancel their registration as an employer of working holiday visa holders by phoning the ATO on 132 866.

Photo by Marcus Reubenstein on Unsplash, Coat of Arms at front of Australian Parliament House,Canberra ACT