Finance

Australian Taxation Office Tax return instructions for 1080 payment

Low income earners and small business will be the main beneficiaries of tax changes that come into operation from July 1 and the start of the new financial year.

The low and middle income tax offset was extended for another year in the May budget that will provide a tax break from up to $1080 when 2021/22 tax returns are lodged next year.

“This is more money to spend in local businesses, giving them the confidence to take on an extra worker, offer an extra shift or buy a new piece of equipment,” Treasurer Josh Frydenberg and Finance Minister Simon Birmingham said in a joint statement.

Who qualifies for the ‘tax break’?

More than 10 million Australians will receive a $1080 government handout after filing their tax return in 2021.

Parliament on Thursday passed the the Low and Middle Income Tax Offset (LMITO), meaning that the cash splash could hit Aussie hip pockets in July.

Australian residents who earn under $126,000 annually are eligible to receive the handout.

The decision is expected to benefit more than 10 million people and is worth up to $1080 for individuals and $2160 for dual income couples.

All they need to do is file their their 2020-21 tax return, and the Australian Tax Office will take care of the rest.

The tax cut is expected to take around ten days to hit bank accounts once processed.

Josh Frydenberg says the report shows the proportion of working-age Australians falling over time. Credit: AAP

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

More in:Finance

Leave a reply

Your email address will not be published. Required fields are marked *