The Coalition’s $158 billion tax package has passed in Parliament today, with a boost of $1,080 that will be delivered as a tax refund when individuals lodge their personal income tax returns.
You do not need to wait to lodge to receive this tax benefit, as the ATO will automatically amend any tax returns that were lodged prior to today.
Am I eligible?
To know if you’re eligible, you’ll need to determine what your taxable income is. Once you know this, you can see if you are eligible for the full tax offset below.
To put it simply, if your taxable income is between $48,000 and $90,000 you will receive the full $1,080 tax offset. If your taxable income is less than $48,000 or more than $90,000, you will receive less based on the below.
- If your taxable income is less than <$37,000 will receive a low and middle income tax offset of up to $255
- If your taxable income is between $37,000 – $48,000 will
receive $255, plus any income above $37,000 multiplies by
If your income is $40,000, your tax offset equals $480 (($255 + (40k-37k)*7.5%).
- If your taxable income is >$48,000 but less than $90,000, you will be eligible for the maximum low and middle income tax offset of $1,080
- If your income exceeds $90,000 but is not more than $126,000, you will be eligible for a low and middle income tax offset of $1,080, less an amount equal to 3 per cent of the excess income above $90,000.
How do I receive this tax offset?
When you lodge your tax return, the tax refund estimate automatically factors in this tax offset to increase your tax refund or reduce your payable by the tax offset.
Lodge with POP to ensure you get the full tax offset in the fastest and simplest way possible.
Happy lodging and most importantly enjoy spending your tax offset this year!
Now go get that tax refund!