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Tax question


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#1 Wolf87

Posted 30 August 2019 - 12:07 PM

Hi gang

So I thought we got a special tax refund back if we earned under a certain amount? I earned a bit more than last year, still under $50k, and my tax refund was only a bit more than last year? I’m still waiting on Centrelink, is that why? This stuff confuses me so much.

#2 Cimbom

Posted 30 August 2019 - 12:15 PM

It is on a sliding scale up to 85k I think. The more you earn, the more you get back as it’s linked to tax paid

#3 lozoodle

Posted 30 August 2019 - 12:19 PM

Its just an increased tax offset. Its only a few hundred dollars more really.

#4 born.a.girl

Posted 30 August 2019 - 12:21 PM

The tax rebate will have been taken into account in your return.


It depends how much below $50k your income was, as to how much the rebate was.

There is already a low income tax rebate. The new one was a low & middle income one.  You can be entitled to both.

At $48k, the rebate was $1080.  (the maximum)
At $40k, the rebate was $480.

Here is a calculator which shows you how much of the new rebate you got:

https://www.theguard...oney-will-i-get

The only way you could compare your income otherwise for both years, is if you worked for exactly the same money, for exactly the same number of weeks, and exactly the same hours in those weeks.

If your work was erratic, it may be that without the new rebate, you might not have had a refund at all, or it would have been lower than last year.

The tax that's taken out of your pay each period is no more than a 'best guess' as to what your income might look like over a whole year.   It CAN actually end up being too much or too little, depending on a number of things.


ETA: that $1080 is the maximum, so those earning more than $48k actually get a smaller percentage of their tax back, until it cuts out.

ETA (2) Don't get tax refunds mixed up with tax rebates.  There will be plenty of people who might otherwise have had to pay a bit of tax, and for whom the rebate covered that, and more.

Edited by born.a.girl, 30 August 2019 - 12:23 PM.


#5 Wolf87

Posted 30 August 2019 - 12:39 PM

View Postborn.a.girl, on 30 August 2019 - 12:21 PM, said:

The tax rebate will have been taken into account in your return.


It depends how much below $50k your income was, as to how much the rebate was.

There is already a low income tax rebate. The new one was a low & middle income one.  You can be entitled to both.

At $48k, the rebate was $1080.  (the maximum)
At $40k, the rebate was $480.

Here is a calculator which shows you how much of the new rebate you got:

https://www.theguard...oney-will-i-get

The only way you could compare your income otherwise for both years, is if you worked for exactly the same money, for exactly the same number of weeks, and exactly the same hours in those weeks.

If your work was erratic, it may be that without the new rebate, you might not have had a refund at all, or it would have been lower than last year.

The tax that's taken out of your pay each period is no more than a 'best guess' as to what your income might look like over a whole year.   It CAN actually end up being too much or too little, depending on a number of things.


ETA: that $1080 is the maximum, so those earning more than $48k actually get a smaller percentage of their tax back, until it cuts out.

ETA (2) Don't get tax refunds mixed up with tax rebates.  There will be plenty of people who might otherwise have had to pay a bit of tax, and for whom the rebate covered that, and more.

Thanks for all that! I got paid between 48-49k, I thought I’d get the rebate and my normal refund, but it’s like I only got my refund. Maybe without the rebate I would owe money. We went with a proper tax agent so they know what they’re doing i guess! I thought it was because I didn’t have private health and I’m now over 31. All the tax stuff is like a foreign language to me! Thanks again.

#6 JRA

Posted 30 August 2019 - 12:44 PM

You were paid between 48-49, tax is based on your pay less tax deductions - donations, taxable expenses.  What was that?

How much had you paid during the year. They will all effect the tax you get back.

Edited by JRA, 30 August 2019 - 12:46 PM.


#7 born.a.girl

Posted 30 August 2019 - 12:45 PM

View PostWolf87, on 30 August 2019 - 12:39 PM, said:

Thanks for all that! I got paid between 48-49k, I thought I’d get the rebate and my normal refund, but it’s like I only got my refund. Maybe without the rebate I would owe money. We went with a proper tax agent so they know what they’re doing i guess! I thought it was because I didn’t have private health and I’m now over 31. All the tax stuff is like a foreign language to me! Thanks again.

Happy to help.  Yep, as you've guessed, you may not even have got a refund this year - it doesn't work that way unless the years are identical.  It's not separately specified, just included in the calculations.

No, it wouldn't be PHI.   That's for high income earners who pay a higher Medicare levy.  You might be thinking about the extra levy you pay to the PHI companies if you don't take it out until after you're 30. Nothing to do with tax.

We all have our skills - I can barely turn the TV on, so good thing I live with two tech heads (daughter also did a few years of uni IT) who I can call on.   Their turn when they come to me with anything financial.  I've even had to become my daughter's nominee at Centrelink because it confounded her. I'm just as confounded at the tech stuff.  I'm sure you've got your area of expertise!

#8 Murderino

Posted 30 August 2019 - 01:34 PM

Log into my.gov.au and look at your Tax Notice.

Mine has a line that says “Low and middle income tax offset“ and then the amount I was entitled to.

#9 jayskette

Posted 30 August 2019 - 03:14 PM

dont believe what A Current Affair tell you!

#10 Wolf87

Posted 30 August 2019 - 06:39 PM

View Postborn.a.girl, on 30 August 2019 - 12:45 PM, said:



Happy to help.  Yep, as you've guessed, you may not even have got a refund this year - it doesn't work that way unless the years are identical.  It's not separately specified, just included in the calculations.

No, it wouldn't be PHI.   That's for high income earners who pay a higher Medicare levy.  You might be thinking about the extra levy you pay to the PHI companies if you don't take it out until after you're 30. Nothing to do with tax.

We all have our skills - I can barely turn the TV on, so good thing I live with two tech heads (daughter also did a few years of uni IT) who I can call on.   Their turn when they come to me with anything financial.  I've even had to become my daughter's nominee at Centrelink because it confounded her. I'm just as confounded at the tech stuff.  I'm sure you've got your area of expertise!

Thank you :)

#11 Greatmum

Posted 15 September 2019 - 10:53 PM

Just read the tax return the agent did for u and you signed?? It will show what they claimed and what refund and why.




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