What is the Skilling Australians Fund (SAF) Levy for Sponsored Work Visa?
The training obligations previously associated with the Temporary Skill Shortage (TSS) (Subclass 482) visa, as well as the Employer Nomination Scheme (Subclass 186) visa and Regional Sponsored Migration Scheme (RSMS) (Subclass 187) visa processes, were replaced by the Skilling Australians Fund (SAF) Levy on 12 August 2018. This levy is managed by the Department of Education and Training and is intended to contribute to the skills development of Australians.
What Does Paying the SAF Levy Involve?
The SAF levy is paid at the time of submitting a nomination application, and the amount varies based on the size of the business and the visa type:
| Business Size | TSS (SC482) Visa | ENS (SC186)/RSMS (SC187) Visa |
|---|---|---|
| Small (annual turnover < $10 million) | AUD 1,200 per year | AUD 3,000 one-off |
| Other (annual turnover ≥ $10 million) | AUD 1,800 per year | AUD 5,000 one-off |
Example of SAF Levy Payments
For a TSS Visa (Subclass 482):
Small Business: AUD1,200 for 1 year, AUD2,400 for 2 years, etc.
Other Business: AUD1,800 for 1 year, AUD3,600 for 2 years, etc.
The SAF levy must be paid even if the applicant changes employers or occupations.
For an ENS (Subclass 186) or RSMS (Subclass 187) Visa:
Small businesses pay AUD3,000, while other businesses pay AUD5,000 when submitting a nomination application for a permanent position.
Training Obligations Before SAF Levy
Although the training obligations have been replaced, existing standard business sponsors must still demonstrate compliance with previous training obligations before 12 August 2018. This means they must meet the SAF levy and any applicable training obligations for that period.
Can I Ask My Employee to Pay the SAF Levy?
No, sponsors are required to cover the costs of the SAF levy and cannot recover these costs from their overseas skilled workers.
Can I request a refund for the SAF Levy?
Refunds of the SAF levy are available under specific circumstances:
Visa Holder Does Not Commence Employment: If the sponsorship and visa applications are approved, the overseas skilled worker does not arrive in Australia or commence employment.
Visa Application Refusal: If the employer's sponsorship and nomination application is approved, but the associated visa application is refused on health or character grounds.
TSS Visa Holder Leaves Early: If 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 are available for unused full years of the SAF levy. Note: This does not apply to ENS or RSMS holders who leave within the first 12 months.
Nomination Fee Refund: If the nomination fee is refunded, for example, because a concurrent sponsor application was refused.
How Can Agape Henry Crux Help
If you are in a situation where your visa application did not succeed and seek an alternative visa pathway to continue to stay in Australia, reach out to Agape Henry Crux for professional legal advice. Our Accredited Specialist(s) in Immigration Law and our team of immigration lawyers are specialised in handling highly complex matters. You may schedule an appointment with one of our lawyers or agents to seek professional advice by calling 02-8310 5230 or email us at info@ahclawyers.com.
We speak fluent English, Mandarin, Cantonese and Malay. If this isn’t your language, we can also help you arrange an interpreter.
This article/presentation (“publication”) does not deal extensively with important topics or changes in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you find this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances, please contact our office.