Re-entering Australia with tax owed

[millerie]

Hi,

My friend was living in Australia on a working holiday about 5 years ago. She failed to pay tax for a year. She plans on coming to visit from Europe but is terrified she will be refused/detained/arrested/forced to pay what she owes upon arrival. Can anyone shed light on what the likelihood is of any of the above?

Thanks in advance!

 

[Clancy]

Hi,

My friend was living in Australia on a working holiday about 5 years ago. She failed to pay tax for a year. She plans on coming to visit from Europe but is terrified she will be refused/detained/arrested/forced to pay what she owes upon arrival. Can anyone shed light on what the likelihood is of any of the above?

Thanks in advance!

I don't now how she failed to pay tax for a year? In Australia employees don't pay tax themselves, it is paid by the employer.
She might have meant that she did not lodge a tax return?

 

[millerie]

I don't now how she failed to pay tax for a year? In Australia employees don't pay tax themselves, it is paid by the employer.
She might have meant that she did not lodge a tax return?

She had an ABN so was invoicing her employer but never lodged a tax return.

 

[Clancy]

She had an ABN so was invoicing her employer but never lodged a tax return.

Oh, well that makes things more complicated then.

Some employers in Australia were using the ABN system as a means of ripping off employees by saying they are sub contractor, not employee. There was a test case recently with Australia Post but Australia post lost that argument in court (i forget the details).

So my next question will be to find out if your friend was underpaid under Australian law? She may have to pay some back tax, but at the same time, she may get more money in return from back pay?

 

[millerie]

Hmmm ok. I am not sure, i will ask her. In any case is this something they are likely to address with her at immigration?

 

[Clancy]

Hmmm ok. I am not sure, i will ask her. In any case is this something they are likely to address with her at immigration?

Too be honest, i do not know? Someone else here may answer? Meanwhile, all she can do is have all of her information about the situation sorted out and ready in case they do ask?