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AccountRight Plus and Premier, Australia only

Using AccountRight v19? Your help is here.

From 1 January 2017, a new tax was introduced for working holiday makers who are in Australia on a 417 or 462 visa. This is sometimes referred to as the 'backpacker tax'.

If you’ve registered with the ATO to employ working holiday makers, AccountRight 2017.1 and later has tax tables you can assign to these workers. Learn how to get the latest version.

To assign the new tax tables to working holiday makers:

  1. Load the new tax tables: In AccountRight, go to the Setup menu and choose Load Tax Tables.
  2. Assign the new tax tables: Open the card of the employee who is a working holiday maker. Go to the Card File menu > Cards List > Employee tab, select the employee and go to the Payroll Details tab. Select the Working Holiday Maker tax table, or if no tax file number has been provided by the employee, select No Tax File Number Working Holiday Maker.

Assigning one of these new tax tables ensures:

  • the correct tax is withheld from the employee’s pay, and
  • the Gross Wages field on their payment summary will show the H income code.

Here's Oi Yee, one of our AccountRight experts, explaining the ins and outs of this new tax.

  Working holiday maker FAQs


What if I don't register to employ working holiday makers?

What if I don't register to employ working holiday makers?

If you don't register as an employer of working holiday makers, you'll need to use the applicable Foreign Resident tax table for working holiday makers. If you're not sure which tax table to use, check with the ATO.

If you withhold 15% for working holiday makers without registering, you may be penalised by the ATO.

Learn about registering with the ATO

What if a working holiday maker hasn't provided their tax file number (TFN)?

What if a working holiday maker hasn't provided their tax file number (TFN)?

You must withhold 47% from payments to working holiday makers if:

  • They have not provided you with their tax file number (TFN),
  • have not claimed an exemption from quoting their TFN, or
  • have not advised that they have applied for a TFN.
Why is there an "S" or "H" or "P" in the Gross Payments Type box on the payment summary?

Why is there an "S", or "H", or "P" in the Gross Payments Type box on the payment summary?

The Type box on payment summaries will include one of the following letters:

S - standard gross payments

H - working holiday makers

P - non super pensions or anuity

The Type shown for each employee is based on the tax table selected in their card.