The new Low and Middle Income Tax Offset is now law. This means that eligible taxpayers may be entitled to a tax offset of up to $1,080 per person.
To get the new tax offset you must lodge your 2020 tax return. The sooner you lodge your return, the sooner you will get the tax offset.
The ATO is now processing the tax offset through its computer systems so there is no need to wait to lodge your tax return. All eligible returns lodged will get the tax offset.
If your taxable income is:
- less than $37,000, your offset entitlement will be $255
- more than $37,000 but less than $48,000, your offset entitlement will be $255 plus 7.5% of the excess above $37,000
- more than $48,000 but less than $90,000 your offset entitlement will be $1,080
- more than $90,000 but less than $126,000, your offset entitlement will be $1,080, less 3% of the excess above $90,000.
For eligible taxpayers, the offset will either increase the size of your refund or reduce the size of your tax liability.
Book an appointment with H&R Block now to get your maximum refund guaranteed.
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