How does Withholding Tax affect the joint account of an Australian resident and a non-Australian resident?
Last updated 26 May 2017
If an Australian resident has a joint account with a non-resident, there are withholding tax impacts. If the Australian resident provides their Tax File Number (TFN) or claims a tax exemption, we’re required to withhold tax at 10% from the total interest income earned per year.
Otherwise, if no TFN or TFN exemption is provided by the Australian resident, we’re required to deduct TFN Withholding Tax at the highest marginal tax rate plus the Medicare Levy.
Go to Interest & tax summary in NetBank to check you’ve told us your TFN or TFN exemption and see if we’ve withheld tax.
The statements above are of a general nature. If you require further information on your specific circumstances, please talk to your financial adviser or the ATO.