What happens if your employer does not have your TFN?

How does this affect your take-home pay?

The standard working holiday maker tax rate is 15%. When your employer withholds at 45% instead, the difference comes straight out of your pocket in the short term.

Example impact at different weekly wages:

• Weekly wage of $1,000: extra $320 withheld each week
• Weekly wage of $1,500: extra $480 withheld each week
• Weekly wage of $2,000: extra $640 withheld each week

Over a few weeks, that gap becomes significant. You do not permanently lose the money, but you will not see it again until you lodge your tax return and the ATO refunds the excess.

What should you do right now?

The fix is straightforward and time-sensitive:

1. Apply for your TFN if you have not already done so
2. Once you receive it, complete a Tax File Number Declaration form
3. Give the form to your employer immediately
4. The correct 15% rate then applies to all future pay

If your application is still in progress, show your employer the ATO confirmation email. Some employers will adjust the withholding rate once they see the application is underway, though they are not legally required to.

Will you get the overpaid tax back?

Yes. The excess tax withheld during the period before your TFN was on file is credited against your tax liability when you lodge your annual tax return. The ATO calculates the difference between what you actually owed and what was withheld, then refunds the amount to your Australian bank account.

The deadline is 31 October following the end of each financial year (1 July to 30 June). If you lodge through a registered tax agent, the deadline can be extended.

Giving your TFN to multiple employers

If you work for more than one employer during your time in Australia, each one needs your TFN separately. Providing it to one employer does not automatically share it with others. Submit a Tax File Number Declaration form to every employer you work for, including casual and short-term roles.