Effective 1st July 2017, there are new reporting and payment obligations for new and existing Higher Education Loan Program (HELP) and Trade Support Loan (TSL) debt.
You must report your non-resident foreign-sourced income with your 2017 tax return, or notify the ATO that a return is not necessary.
To report your income, you need to complete the non-resident foreign income schedule and lodge it with your tax return. This schedule is not available as a paper form.
The ATO have developed a guide, Calculating non-resident foreign income for HELP and TSL debtors to help you complete the schedule, click here.
If your worldwide income is at or above A$54,869 for the 2017 income year, you must make a repayment of your HELP or TSL liability.
Repayments may be in the form of a compulsory repayment and/or overseas levy.
What do you need to do next?
Notify the ATO of your intent to move overseas
Notify the ATO before you travel, or within 7 days of leaving Australia, if you intend to move overseas for 183 days or more in any 12 month period (183 days equates to around six months) by submitting an overseas travel notification.
If you already live overseas, make sure you notify the ATO of your contact details ASAP, if you haven’t done so already.
To notify the ATO, you must have a myGov account which will need to be linked to the ATO’s online services. See how to create an account here.
If you would like our office to assist you in updating your details or in reporting your HELP and TSL obligations please contact our office.
For further information on the changes, refer to ATO website, click here.
Please note, you won’t be required to pay income tax in Australia. Income is reported to calculate a HECS/HELP or TSL debt repayment. If your income (converted to Australian dollars) is more than $54,869 you will be required to make a repayment towards your HELP or TSL debt.