Aside from this, foreign property investors in Australia are set for greater scrutiny and charges. Foreign investors wanting to buy real estate in Australia will be charged an application fee of between $5,000 and $10,000, depending on the value of the property, raising $650 million for the budget over four years. Mr Hockey said stricter penalties will also apply to foreign investors who break the rules.
Working holiday visa holders are in for a shock as they will be required to pay about a third of their earnings in taxes. From July 2016, those on a working holiday in Australia will no longer enjoy a tax free threshold of up to $18,200, and will instead be forced to pay 32.5 per cent tax from their first dollar earned. That measure will save the budget $540 million over four years.
There will also be efficiencies made in visa, refugee, humanitarian processing and by simplifying skilled migration and temporary visa programs to the tune of $168.1 million over four years.
The humanitarian refugee intake will remain at 13,750 places next financial year before rising to 18,750 in 2018-19.
The permanent migration program stays at 190,000 places including 128,550 for skilled workers and 57,400 for family reunion.
Raising the offshore partner and fiance visa rates by 50% is outrageous and simply a money grab. Has there been an increase in efficiency or processing time? No. Only a government can raise prices by 50% and deliver a lower level of service (ie, partner processing times keep increasing).
I always love the momentary outrage that results form DIBP application fee increases.
Regarding "Partner Visa" - it's interesting to see how other countries such as UK and Denmark have experimented in reigning in the growth of Partner Visa which act as a kind of faux Humanitarian visa for populations of persons of emerging communities.
Denmark has tried all sorts including not permitting overseas partner visas if the declared domicile is below a certain metre squared area!
One only has to looked at published RRT statistics to see the enormous numbers of Chinese and Indians lodging onshore protection applications. It is a rort and used to extend stays onshore with full access to Medicare. They also given ASAS band 6 payments (essentially centrelink special benefit) while working cash in hand, another rort.
I came recently came across a 501 cancelled NZ citizen who had lodged a protection visa. It is an absurd adherence to international conventions that no near neighbor follows. It ties up scarce resources in bureaucratic merry go rounds.
Can we perhaps come to an agreement that , ETA eligible passport holders cannot lodge a valid protection visa as a start?
Frankly, it is about time the Government moved on the rort that is working holiday visa holders receiving the tax free threshold.
Many do not meet the requirements to be tax resident, yet there is a significant industry of tax firms processing WH tax repayment claims and claiming the tax free threshold with a default setting that the individual is a tax resident.
How this will manifest itself at tax return time remains to be seen though. At the moment there is no mechanism on the tax return for submission of the taxpayer's citizenship/visa status - though it ought not be beyond the wit of the IT people to link this with the immi records.
These measures still have to pass the Senate too, of course ...
Best regards.