How does tax work for freelancers in Ireland?

Claiming income tax back in australia?

• I am currently working as a registered nurse in australia. I commenced work in the end of jan 09. Prior to this I was in Ireland all my life. My question is, if I did not work in australia for the first half of the tax year in australia, should I be entitled to tax back at the end of the tax year? I was told that the tax year in Australia runs from July to the following june. is this true? My gross annual income is au$49,000 so between commencing and the end of the tax year I should have only earned approx half that amount (approx 24,500). How much am I entitled to earn in Australia without paying tax? Surly if your income for the tax year is only 24,500 you should get any tax you pay on that returned to you? Any enlightenment offered on this subject would be much appreciated! Oh and also, I don't know if this makes a difference but I am a single living in rented accomodation...

• Answer:

  You have worked in Australia so you have to pay tax on the income you made. The tax year is from 1 July to 30 June. After 30 June 2009 your employer will provide you with a PAYG summary (used to be called a Group Certificate) this is show total earnings and total tax deducted from your pay. You should get some of your tax back, but I doubt you would get it all back. Normal tax rates based on $24500 is $2775 tax to pay. However this would change because of deductions and because of the Tax Free Threshold (TFT). Normal TFT, work full 12 months in Aust, the first $6000 you earn is tax free, but you are only entitled to part of the TFT because you have only been in Aust for part of the year. Check out the residency overview section on the link below.