If you’re planning to travel or live overseas for an extended period, it’s essential to understand your obligations to the Australian Taxation Office (ATO).

Whether you’re going for work, study, or a lifestyle change, the ATO requires certain individuals to submit an overseas travel notification—and failing to do so could lead to penalties or complications with your tax and loan obligations.

Who Needs to Submit an Overseas Travel Notification?

Individuals who have a Higher Education Loan (HELP), VET Student Loan (VSL) or Australian Apprenticeship Support Loan (AASL) will need to lodge an overseas travel notification if any of the following apply:

• You intend to remain outside Australia for 183 days or more in any 12-month period
• You have already been outside Australia for 183 days or more, even if that wasn’t your original intention

Even if you become a foreign resident for tax purposes, you still have obligations to repay these loans.

What You Need to Do Before and After Departure

Before leaving Australia:

• Ensure your contact information is correct with the ATO
• Lodge an overseas travel notification with the ATO via myGov or with a tax agent

While overseas:

• If you remain an Australian resident for tax purposes, you will need to continue to lodge your Australian tax return which will include your worldwide income
• If you become a non-resident of Australia for tax purposes, you will need to lodge a worldwide income report each year via myGov or with a tax agent

Final Tips

• Tax residency can potentially impact the amount of taxable income to be reported and the required repayments on your loan. If you are unsure of your tax residency status, consider discussing with your tax agent.
• Ensure that you stay on top of your reporting obligations while away either through myGov or with your Australian tax agent

Need help determining your tax residency or managing your obligations while abroad? Contact your Harris Black team member for personalised advice before you go.