| Low Income Tax Offset |
- Payment of the Low Income Tax Offset (LITO) will be brought forward to deliver more timely assistance to households during the year, improving the immediate rewards for workers and helping with cost of living pressures.
- Workers with income of $30,000 will get an extra $300 during the year in their regular pay. Workers with income of $50,000 will get an extra $140 during the year.
- Available to maximum Income of $67,500. Maximum $1,500 rebate reduced by 4c/$1 over $30,000. Does this effect me?
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| Dependant Spouse Tax Offset |
- Phasing out of the Dependent Spouse Tax Offset for taxpayers with a dependent spouse who turns 40 on or after 1 July 2011 will reduce disincentives to work. Does this effect me?
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| Medical Expenses Offset |
- As previously advised the Medical expenses offset threshold has increased from $1,500 to $2,000 effective from 1 July 2010. Does this effect me?
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| Education Tax Refund (ETR) |
- The ETR assists parents and carers with expenses such as computers, stationery and textbooks which can place pressure on the family budget. From 1 July 2011 the Government is extending the ETR to cover school uniforms, including optional uniforms and sports uniforms. Does this effect me?
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| Entrepreneurs Tax Offset |
- The Entrepreneurs' Tax Offset has not achieved all its objectives but has generated high compliance costs and will be abolished from 1 July 2012. Does this effect me?
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| Small Business Write-Off |
- From 2012-13, the company tax rate will be cut to 29 per cent to allow small business companies to reinvest and grow.
- Instant write-off of all assets costing less than $5,000 from 1 July 2012
- New measure allowing an immediate deduction for the first $5,000 of a motor vehicle. The remaining cost is depreciated at 30 per cent (15 per cent in the purchase year), which was the previous treatment for the entire cost of the motor vehicle.
Does this effect me?
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| PAYG Instalments |
- For those paying PAYG income tax instalments the GDP adjustment factor will reduce from 8% to 4% in 2011-12. Does this effect me?
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| Family Tax Benefit (FTB) Part A |
- The Government will increase the annual rate of Family Tax Benefit (FTB) Part A for families with dependants aged 16 to 19 years who are enrolled in full time secondary school study by up to $4,208 to equal the rate for 13 to 15 year olds. This will help families meet the extra costs of raising teenagers and support families to keep their children at school.
- From 1 July 2011, eligible families can request an advance on their annual entitlement of up to 7.5 per cent (to a maximum of $1,000) at any time throughout the year.
Does this effect me?
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| Fringe Benefits Tax (FBT) |
- The fringe benefits tax (FBT) valuation of car benefits will be reformed by removing the incentive for people to drive their car further in order to obtain a larger tax concession, and in the process burn more fuel.
- This reform will apply to new contracts entered into after 19:30 AEST on May 10, 2011 and will be phased in over four years.
Does this effect me?
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Existing Contracts
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From 10 May 2011
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From 1 April 2012
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From 1 April 2014
|
|
0 – 14,999km
|
0.26
|
0.20
|
0.20
|
0.20
|
|
15,000 – 24,999km
|
0.20
|
0.20
|
0.20
|
0.20
|
|
25,000 – 40,000km
|
0.11
|
0.14
|
0.17
|
0.20
|
|
> 40,000km
|
0.07
|
0.10
|
0.13
|
0.20
|
|
| Superannuation |
- For those aged over 50 with more than $500,000 in superannuation funds, their annual contributions will be capped at $25,000 in 2012-13. However, if you have less than $500,000 in your fund, you can make an additional $25,000 contribution. Does this effect me?
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| Excess Concessional Contributions |
- From 1 July 2011 individuals who breach the concessional contributions cap by up to $10,000 (not indexed) have the option of requesting that these excess contributions be refunded to them and taxed at their marginal rate instead of incurring excess contributions tax.
- This option is only available for the first breach commencing from 1 July 2011. Does this effect me?
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| Super Co-Contributions |
- As announced in the 2010 Budget (and legislated in June 2010) the co-contribution income thresholds will not be indexed for the 2010/11 and 2011/12 financial years.
- The lower income threshold (at which the cocontribution begins to reduce) remains at $31,920 and the higher income threshold (at which the cocontribution cuts off) remains at $61,920, until 30June 2013.
Does this effect me?
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| Employer Superannuation Contributions |
- From 1 July 2012 the Government proposes to ensure employees receive information on their payslip on the amount of employer contributions paid to their superannuation fund. This will assist employees keep track of whether their employer has met their Superannuation Guarantee obligations. In addition, it is proposed that superannuation funds will notify employees and employers on a quarterly basis if regular payments cease. Does this effect me?
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| Government Assistance Payments |
- In response to the 2010 High Court decision in Commissioner of Taxation v Anstis the Government will amend the tax law to prevent deductions being claimed against all government assistance payments from 1 July 2011.
- Students who receive Youth Allowance and who have maintained records of their expenditure will be able to claim a deduction for expenses incurred in gaining their payment for the 2010-11 income year.
Does this effect me?
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