Cash On Campus Guide to Tax Basics for UK US and Australian Students

When I first took on a role at a student hostel in Lisbon, I noticed a stack of tax forms beside the coffee machine. They were from students hailing from the UK, the US, and Australia, all juggling part‑time jobs, internships, and sometimes even side hustles. Their eyes flicked from one piece of paper to the next, eyes wide. “I have to fill this out,” they’d whisper, and their faces turned a shade of pale that said, “If I do this wrong, I’ll pay a fortune.” That’s the moment that sparked this guide – a calm, practical hand‑shake for students navigating tax in three very different systems.

Understanding Your Position

Who is a taxpayer?

Most students assume that “I’m not earning much, so I can skip taxes.” That’s a dangerous assumption. In each country, the definition of a taxpayer is tied to residency and income thresholds. Let’s zoom out:

• UK – If you’re a UK resident for tax year 2023‑24, you must file a Self‑Assessment if you’re self‑employed, have untaxed income, or owe more than £1,000 in tax or national insurance. Even if you earn under £12,570 (the personal allowance), you still might need to report if you’re self‑employed. For a step‑by‑step guide on how to file, see our post on Navigating Self‑Assessment and 1099 for Student Cash On Campus.
• US – The IRS looks at the type of income and your total. For 2024, a single filer under 65 with less than $12,950 in earned income can file a “zero return” or no return at all. However, if you receive a 1099‑G, 1099‑MISC, or 1099‑NEC, you’re required to report that regardless of the amount. Learn more about how 1099 forms work in our detailed guide on Navigating Self‑Assessment and 1099 for Student Cash On Campus.
• Australia – The Australian Taxation Office (ATO) requires a tax return if your taxable income exceeds the tax‑free threshold of $23,201 for the 2024‑25 financial year, or if you have income that isn’t automatically taxed (like certain scholarships, freelance gigs, or investment income).

The common thread is that residency and source of income matter more than how much you make.

Why should you care?

Fear of late penalties, interest, or audits can be overwhelming. The truth is, staying compliant is easier than scrambling to fix a mistake when the deadline looms. It’s less about timing, more about time – the time to plan, collect receipts, and file accurately.

The Forms that Matter

UK: Self‑Assessment

The Self‑Assessment (SA) returns are the UK’s way of letting you report income that the PAYE system doesn’t cover. The key parts:

• SA100 – The main form for all income.
• SA102 – For rental and property income.
• SA104 – For foreign income.
• SA107 – For self‑employed earnings.

You’ll also need a SA302 certificate if you’re applying for a student loan or certain types of housing assistance. Think of the SA302 as a snapshot of your tax affairs – a document that proves you’ve met your obligations. For a deeper dive into the SA302 and how it fits into student tax planning, read Understanding SA302 and Tax Rules for Students on Campus.

Tip: Register for Self‑Assessment as soon as you start earning. The HMRC website will guide you through the process. The deadline for paper returns is 31 October, but most people file online by 31 January to avoid late fees.

US: 1099 and 1099‑NEC

In the US, the IRS uses the 1099 series to track payments that aren’t subject to withholding tax. The most common forms for students are:

• 1099‑MISC – for miscellaneous income (like a scholarship that isn’t tax‑free, or a small freelance gig).
• 1099‑NEC – for non‑employee compensation (for instance, a research assistant role paid directly to you).

When you receive a 1099, you’re required to report the income on Form 1040. Even if the total is below the filing threshold, you’ll want to file because it helps your credit history and avoids surprises.

Australia: Tax Return

Australian students often overlook the fact that part‑time earnings, scholarships, and internship stipends may trigger a tax return. The primary form is the Individual Tax Return (Tax File Number). If you’re an international student, you may also need to fill out the International Student Tax Return if you have taxable income over the threshold.

Tip: Keep all pay slips, invoices, and proof of scholarship funds. The ATO will use this to calculate your tax liability, and you can claim deductions for study‑related expenses (books, equipment, travel) if you’re eligible.

Deadlines and Penalties

UK

• Paper returns – 31 October.
• Online returns – 31 January.
• Penalty – £100 for missing the deadline, plus daily interest thereafter.

US

• Paper returns – 31 January (for those filing a paper return).
• Online returns – 15 April (unless you file for an extension until 15 October).
• Penalty – $50 for late filing, up to $1,000 plus interest.

Australia

• Paper returns – 30 April.
• Online returns (myTax) – 31 October (after a grace period).
• Penalty – The ATO may apply a penalty if you fail to lodge on time, ranging from a flat fee to a percentage of your tax payable.

Remember: the penalty is not just a fine. It’s a signal that the system believes you didn’t follow its process. Avoid it by setting calendar reminders, or using a dedicated “tax folder” where you can stash receipts as they arrive.

What to Keep, What to Drop

Receipts, Invoices, and Proofs

• UK – Keep your HMRC digital records, invoices for self‑employment, and any expense receipts for allowable costs.
• US – Keep the 1099 forms, pay slips, and receipts for business expenses if you’re self‑employed or claim deductions.
• Australia – Retain all pay slips, scholarship agreements, and receipts for study‑related expenses.

If you’re working a campus job, the employer usually provides a PAYE or W‑2 form. If you’re doing freelance tutoring, you’ll likely get a 1099‑NEC (US) or a similar document (UK/ Australia) that records your earnings. For a practical roadmap on how to manage all this, check out Mastering Tax Basics for Campus Cash UK US AU Student Edition.

SA302

Consult a tax advisor or look into the double‑taxation treaties that apply to your situation. Many Australian universities provide a free consultation for student tax issues, and a quick read on Understanding SA302 and Tax Rules for Students on Campus can help you avoid common pitfalls.

Final Takeaway

The world of student taxes is not a labyrinth you have to navigate blindfolded. It’s a series of clear, manageable steps. Register early, keep your receipts organized, and file before the deadline. The only thing worse than a small penalty is the regret that comes with not being prepared. For a thorough breakdown of campus‑cash tax rules across the UK, US, and AU, you might also find our post on Student Cash On Campus Tax Rules UK US AU Explained helpful.

Let’s zoom out: your academic journey is long, and your tax obligations are just a tiny part of it. Treat them with the same patience you’d give a well‑tended garden – set a routine, water consistently, and watch them thrive.