$1,080 Tax Offset Passes
By Chris Burnett
The Government’s changes to the Personal Income Tax Plan as announced in the 2019-20 Federal Budget, are now finally law!
The low and middle income tax offset increased from a maximum amount of $530 to $1,080 per annum and the base amount increases from $200 to $255 per annum.
So how much will you receive? Review our summary table below:
|Taxable Income||Tax Offset|
|<$37,000||Up to $255|
|$37,001-$48,000||$255 plus 7.5% of your taxable income that exceeds $37,000.|
|$90,001-$126,000||$1,080 less 3% of your taxable income that exceeds $90,000.|
If you’ve already lodged your tax return the ATO are quickly implementing the necessary system changes so that taxpayers will receive any increase to their offset automatically. You will not need to request an amendment. These should issue within the next couple of days.