Question of the Week
Your working holiday visa and why the 6-months restriction period does not apply for self-employed contractors
Category: Visa for Australia
Question asked
I am currently on a Visa 417 and have been working with the same employer for 5 months, with my contract ending next month. I am, however, starting my own consulting business, meaning that I will have my own ABN number and become self-employed.
I was wondering if it would be possible for me to still provide services to the employer I have been working with through my new business once my 6 month contract is done?
Thank you,
M.
Answer provided by Migration Agent
Dear M.
Thank you for contacting us.
Self-employed visa holders may not solely provide services to the same employer for longer than 6 months as they would be considered to be in an employment relationship. If the business is not your sole employer, then you may provide services to that particular business and other businesses for longer than 6 months without breaching condition 8547.
To reiterate, you will not be in breach of condition 8547 if you are self employed and provide services to the same business for more than six months as long as that business is not the only business you provide services to during that time.
Please note that the department considers the following to be in breach of condition 8547 – if the visa holder (you) created their own business specifically to provide services solely to that one employer.
-------- Clarification Request ---------------
Hi, thank you for your quick response. Just to clarify, I currently have an employer relationship with this organization but will not be with them for more than 6 months, once those 6 months are over I am switching to my consulting business and providing work for both my current employer (as my own business) and another organization. Would that still be ok or would that mean I am breaching my visa conditions?
------- Migration Agent Response ---------
Hello M.
Thank you for getting back to me. According to the migration regulations, self employed visa holders will not be in breach of condition 8547 if they provide services to more than one business. If you solely provide services to one business beyond the period of 6 months, you will then be in breach of this condition.
The 6-month restriction period functions differently for self employed contractors when compared to regular employees. For a self-employed contractor, each client is considered to be a different ‘’end user’’. Accordingly, you may continue to provide services to different end users for longer than 6 months without breaching the condition 8547 that is on your working holiday visa.
If you will be a self-employed contractor to both those businesses, then you will not be in breach of condition 8547.
Thank you for using Ask an Agent. If you need further services from myself or a registered migration agent, please contact Amy at amy.jacobson@ask-an-agent.com.au - and don’t forget to mention your Question ID so that I can keep providing immigration services to you.
Migration Agent
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