VAC3: The Second Visa Application Charge Explained

What VAC3 Is and Who Has To Pay It

VAC3 applies to applicants aged 18 and over for certain visa types who do not have 'functional English' at the time of application. The visa types currently affected by VAC3 are: (1) Subclass 186 ENS for applicants and dependents; (2) Subclass 187 RSMS for applicants and dependents; (3) Subclass 190 State Nominated for dependents; (4) Subclass 491 Regional Sponsored for dependents; (5) Subclass 188 Business Innovation and Investment for dependents. Note: the PRIMARY applicant for state-nominated visas typically meets English requirements as part of the points test, so VAC3 usually only affects dependents. For employer-sponsored visas, the primary applicant may also be subject to VAC3 if they don't meet functional English.

What 'Functional English' Means

Functional English can be demonstrated through one of several pathways: (1) IELTS score: 4.5 average or better across all four bands (less than what's typically required for skilled visas); (2) PTE Academic: 30 average or better; (3) TOEFL iBT: 32 average or better; (4) Cambridge English Advanced: 147 average or better; (5) OET: minimum B in each component (for healthcare-related applicants); (6) Holding a passport from an English-speaking country: UK, USA, Canada, Ireland, New Zealand; (7) Australian secondary school education for at least 5 years; (8) Certain qualifications obtained in English from recognized countries. The functional English threshold is significantly lower than the 'competent English' or 'proficient English' levels required for most points-tested skilled visas.

Current VAC3 Amounts (2026)

VAC3 amounts are indexed annually. As of 2026: (1) Primary applicant who does not meet functional English: approximately $5,500; (2) Each non-functional-English dependent aged 18+: approximately $5,500; (3) Children under 18: no VAC3. A family of two primary + two adult dependents who all lack functional English could face $22,000 in VAC3 charges in addition to the standard visa application fees. The fee is paid before the visa is granted — typically requested by the Department once the visa is otherwise ready for decision. Failure to pay VAC3 within the requested period results in the visa not being granted.

How to Avoid VAC3

Strategies to avoid VAC3: (1) The most direct: have any adult dependent who would be subject to VAC3 sit an English test (IELTS, PTE, OET) and achieve the functional English threshold. The cost of an IELTS test (around $410) is dramatically less than the $5,500 VAC3 charge. Even adult dependents who never plan to work in English can sit the test purely to avoid VAC3; (2) Time the application — if your dependent is currently studying English or about to take an English test, lodging after the qualifying test result avoids VAC3; (3) Document existing qualifications — if your dependent has an English-language qualification from a recognised institution, this may satisfy functional English without a test; (4) Consider passport-of-English-speaking-country routes — citizenship by descent or marriage may provide an English-speaking country passport. For many families, the realistic strategy is paying for English test prep + test fees for all adult dependents and timing the visa application accordingly.

VAC3 Strategy for Common Family Structures

For a typical employer-sponsored migration of a worker plus spouse plus children: (1) Primary applicant typically meets English requirements via skills test or points test; (2) Spouse is the most common VAC3 trigger — they need functional English. Have them sit IELTS specifically for VAC3 compliance even if they never plan to work in English; (3) Children under 18 are not affected by VAC3; (4) Adult dependent children (e.g., 19-year-old still studying) are affected — they need functional English too. For larger family structures or where adult dependents have limited English proficiency, the choice often becomes: pay for English test preparation and testing (typically $1,500-$3,000 per person inclusive of prep courses) vs pay VAC3 ($5,500 per person). The test pathway is almost always cheaper. Migratio is Australia's marketplace for finding and comparing MARA-registered migration agents. Migratio matches applicants with MARA-registered agents who can advise on VAC3 strategy and family planning before lodging the application.

Is VAC3 refundable if my visa is refused?

VAC3 is only paid after the visa is otherwise ready for grant, so refusal before VAC3 is requested means no VAC3 was paid. If you pay VAC3 and then the visa is somehow refused or cancelled, refund situations are limited — discuss with your agent.

Can I pay VAC3 in instalments?

No, VAC3 is paid as a single charge when requested. Plan for it as part of your visa budget.

Does VAC3 apply to bridging visas?

No — VAC3 only applies to the specific permanent and provisional visas listed in the regulations. Bridging visas are not subject to VAC3.

If my dependent obtains functional English after VAC3 is requested, can I avoid it?

If the visa hasn't been granted yet and functional English is achieved before grant, you can sometimes amend the application to avoid VAC3. Speak to the case officer or your agent immediately if this situation arises.

Is VAC3 the same for all affected visa subclasses?

Yes — the amount is the same across visa types where VAC3 applies. It's a fixed regulatory charge, not a per-visa calculation.