The government agency said that they could still use the new withholding tax rate of 15% from 1 January 2017.

The tax rates have changed for working holidaymakers with visa sub-class 417 and 462 and apply from 1 January 2017.

Those who employ (or plan to employ) working holidaymakers must register with the department.

Once registered, a withholding rate of 15% applies to the first $37,000 of a working holidaymaker’s income. From $37,001, normal foreign resident withholding rates apply.

Those who do not register must withhold tax at 32.5% for the first $37,000 of a working holidaymaker’s income. From $37,001, normal foreign resident withholding rates apply.

Penalties may apply for failing to register.

Source: Australian Taxation Office