The U.S. - Australian Agreement requires each country to issue certificate of coverage forms for workers who, without the Agreement, would have to pay social security taxes to both countries on the same earnings. The certificate serves as proof that the worker named on the certificate is:

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  Subject to the social security taxation and coverage laws of the country issuing the certificate; and

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  Exempt from social security coverage and contributions on the same earnings in the other country.

Australia will not issue a certificate of coverage in situations involving the general rule for employment (RS 02002.010), the crews of ships and aircraft rule (RS 02002.020) or the self-employment rule (RS 02002.030). In those situations, the employer, employee or self-employed U.S. citizen residing in Australia must request a letter of exemption from the U.S. A letter of exemption issued by the Social Security Administration (SSA) certifies that the worker (and employer, if employed) named on the letter is:

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  Subject only to Australian taxation and coverage laws under the agreement, regardless of whether or not contributions must be made under Australian law; and

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  Exempt from U.S. Social Security and Medicare coverage and contributions on the same earnings in Australia.

Advise inquirers that when writing to obtain a certificate of coverage or letter of exemption, they should provide the following information:

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  Full name; and

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  Social Security number (U.S. number for U.S. certificate or letter and Australian number for Australian certificate); and

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  Country of citizenship; and

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  Date and place of birth; and

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  Country of permanent residence; and

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  Name and address of employer in both countries (if self-employed, address of trade or business in both countries); and

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  Date and place of hire by sending company, if employed; and

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  Beginning date and ending date (if known) of employment or self-employment in the other country.
  

  NOTE: If the worker will be an employee of an Australian affiliate of an American employer, the request must indicate whether the American employer has entered into an agreement with the Internal Revenue Service under Section 3121(l) of the Internal Revenue Code and, if so, the effective date of such an agreement.

The responsible party will take the following actions when processing requests for certificates of coverages.

1. 1. 

   The employee, employer or self-employed person writes to the appropriate authority requesting a certificate.
   

   NOTE: If an employee requests the certificate of coverage from the United States, OEIO will need to contact the employer to confirm the accuracy of the information provided.

2. 2. 

   The agency issues the certificate, if appropriate.

3. 3. 

   The issuing agency sends the original and one copy to the requester.
   

   NOTE: The employee, employer, or self-employed person must present the certificate to the tax authorities in the other country upon request.

1. 1. 

   The employee, employer or self-employed person writes to the SSA requesting a letter.
   

   NOTE: If an employee requests the letter of exemption from the United States, OEIO will need to contact the employer to confirm the accuracy of the information provided.

2. 2. 

   The Social Security Administration issues the letter, if appropriate.

3. 3. 

   The employee, employer, or self-employed person presents the letter to the tax authorities in the other country upon request.