Can you believe we’re already halfway through 2025? We can’t either! As the second half of the year gets going, it’s time to get on top of your finances and prepare to lodge your 2024-25 individual tax return.
As an international student living in Australia, you might have a few questions about how tax time works here. Don’t worry, we’re here to help clear things up and walk you through what you need to know.
Do I need to lodge tax as an international student?
Yes! If you have been living and studying in Australia for more than 6 months, you’re considered an Australian resident for tax purposes and need to lodge a tax return. If you’re an Australian resident you’ll need to declare all income earned in Australia and overseas, however if you are also a temporary resident this isn’t the case. To learn more about the different types of residents, visit the Australian Tax Office (ATO) website.
When do I need to lodge my tax return?
Starting on July 1 every year, the 2025-26 financial year is now underway. While you can technically lodge your 2024-2025 tax return from now, the ATO recommends waiting until the end of July if you can.
It can take a little while for employers to update your final pay for the past year, and the ATO also fills in a lot of that data for you as they receive it which saves you a bit of time when lodging an online return (just make sure to check that it matches your records).
If you’re planning on lodging your tax return yourself, then you’ll need to have it completed by 31 October of this year. If you’re going through an accountant, then you may get some extra time, but just make sure you check in with them as you don’t want to be caught short of time to get it done.
What is the tax-free threshold, and if I earn under it do I need to lodge a return?
The tax-free threshold is the amount of money you can make before you’re required to pay tax. For Australian residents in the 2024-25 financial year, that amount is $18,200. You don’t need to lodge a return if you earn under this amount, but you should still submit a non-lodgement advice form to the ATO so they’re aware you won’t be putting in a return for that financial year.
I need some help, but I don’t have access to an accountant
If you earn less than $70,000 per annum, then you might be eligible for a free service called ‘Tax Help’ which matches you with an accredited volunteer who can help you lodge your taxes.
What happens if I make a mistake when lodging my return?
Mistakes happen, don’t panic. You can go in and fix it up, even up to two years after you lodge the return.
Will I get money back after I lodge my tax?
That depends! If you’ve paid the correct amount of tax over the financial year, then you shouldn’t receive a refund. However, many people who work casually or have multiple income streams find that they end up paying more tax over the course of the year than they are required to and end up getting something back from the ATO.
There is also the possibility that you’ll owe some extra tax after you lodge. This can happen if you’ve accidentally claimed the tax-free threshold on multiple jobs, or if you have a small business that may require you to pay more tax. If you can, it’s a good idea to keep an eye on your income and make sure you’re setting aside an appropriate amount of tax so you don’t get left with an unexpected bill.
