It’s official, the SAF Levy will start on 12 August 2018!
What is the SAF Levy?
The SAF Levy is a levy payable by employers nominating overseas workers for any of the following visas:
- Subclass 482 Temporary Skill Shortage (TSS) Visa
- Subclass 186 Employer Nomination Scheme (ENS) Visa
- Subclass 187 Regional Sponsored Migration Scheme (RSMS) Visa
The SAF Levy replaces the previous training requirement which entailed a training benchmark determined by the employer’s total annual payroll.
How much will this SAF Levy cost?
The SAF levy figure will depend on the size of the sponsoring business.
Business Size | TSS Visa | ENS/RSMS Visa |
Small (less than $10mil annual turnover) | $1200 per year | $3000 one off |
Other business (more than $10mil annual turnover) | $1800 per year | $5000 one off |
All SAF Levy payments are tax deductible.
When does the SAF Levy need to be paid?
The SAF levy is a yearly levy though payable in full when lodging a nomination application. The amount will therefore depend on the proposed period of stay of the overseas worker in Australia. For example, if a worker is nominated to work for four years with an employer turning over less than $10mil per annum, then the total amount of SAF Levy payable is $1200 x 4 = $4800 payable at the time of lodging the nomination application.
Can the SAF Levy be refunded?
Yes, but only under the following scenarios:
- The sponsorship and visa applications are approved, but the overseas skilled worker (visa holder) does not arrive/commence employment with the employer.
- The employer’s sponsorship and nomination application for the overseas skilled worker is approved, but the associated visa application is refused on health or character grounds.
- A TSS visa holder leaves the sponsoring employer within the first 12 months of employment where the visa period was for more than 12 months. Refunds will only be available in this scenario for unused full years of the SAF levy.
Note: This does not apply to ENS or RSMS holders who leave their employer within the first 12 months of employment. - The nomination fee is refunded (for example where a concurrent sponsor application is refused).
Connect with our migration agent Melbourne for more information.