Tax Bonus proposal is finally approved, but how do I ensure I get my payment?
The Rudd Government has recently announced that the much anticipated $42 billion Nation Building and Job Plan has been successfully passed through both houses of Parliament. And, whilst the passed legislation contains some amendments from the original proposal, the most notable fact is that all proposed tax bonus payments, whilst slightly reduced, will continue to be rolled out from early April this year.
There are a range of bonuses being supplied to various sections of the community including single income families and farmers. The most significant bonus is being paid to around 8.7 million Australians who are low to middle income earning taxpayers.
How do I know if I am eligible to receive the payment?
Provided that you:
- lodge your 2007-08 income tax return before the due date (30 June 2009 for most people, or the deferred date if you have been granted a deferred date by the ATO before Wednesday 18 February 2009)
- your taxable income for 2007-08 financial year is less than $100,000
- your adjusted tax liability for 2007-08 is greater than nil, and
- you were an Australian resident for tax purposes for the 2007-08 financial year
then you will be eligible for the tax bonus payment.
How much will I be paid?
If your taxable income is $80,000 or less for the 2007-08 financial year then you will receive a tax bonus payment of $900. For taxable income amounts above $80,000 but not exceeding $90,000 a tax bonus of $600 will be paid, and if your taxable income amount is greater than $90,000 but does not exceed $100,000 then you will receive a tax bonus payment of $250.
When and how will I be paid?
If you have already submitted your 2007-08 tax return, the first round of payments will commence from early April 2009. However, if you are yet to lodge your 2007-08 return then your payment may be received at a later date, depending on when your return is finalised.
The ATO will send you your payment based on what was your nominated preference in your 2007-08 tax return. So, if you had your refund deposited directly into your bank account then you will receive your payment in to that account. If you received your refund via a cheque in the mail for 2007-08 financial year then you will receive a cheque in the mail equal to the value of the bonus that you are eligible for.
What do I need to do to ensure I get my payment?
If we have prepared your tax return for the 2007-08 financial year the ATO may not necessarily have your personal bank account or postal address details. To ensure that you receive your bonus payment in the quickest way possible you can contact the ATO and provide them with the necessary details for your preferred payment option for this one-off payment.
You can only update your bank account details over the phone by calling 1300 686 636. Postal addresses can be updated by calling 1300 686 636 or online at the ATO website.
Is there anything else that I need to know?
The ATO has issued a warning to tax payers to be particularly cautious of bogus email scams at this time. It reiterates that the ATO will never send emails asking you to provide personal information such as bank account or credit card details.
Remember, you must submit your 2007-08 tax return before 30 June 2009 to be eligible to receive the tax bonus payment.
If you have not yet lodged your 2007-08 tax return contact us at The Quinn Group immediately on 1300 QUINNS to ensure that your return is lodged on time and that you do not miss out on your bonus.
If you have further questions regarding the Tax Bonus payments or for advice regarding any accounting or tax issues that you may have please contact The Quinn Group on 1300 QUINNS or click here to submit an online enquiry.