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T2 Subtotal

Last updated 12 February 2019

Show at T2 the amount of tax payable after C Non-refundable non-carry forward tax offsets has been offset against B Gross tax.

T2 cannot be less than zero.

Work out the amount at T2 as follows:

  • if the amount at C is less than the amount at B (see example 7a)    
    • take C away from B
    • write the result at T2
     
  • if the amount at C is more than or equal to the amount at B (see example 7b)    
    • write zero at T2 and T5
     

copy the amount at E to I Tax offset refunds (remainder of refundable tax offsets). I is mandatory. You must include an amount at I even if it is zero (if zero write 0).

Example 7: Calculating T2 Subtotal

Example 7a: Applying C Non-refundable non-carry forward tax offsets when B Gross tax is greater than offsets – a payable position

Dark Blue Superannuation Fund has the following amounts entered into its fund income tax return:

Taxable income

A

$10,000

Gross tax

B

$1,500

Non-refundable non-carry forward tax offsets

C

$500

Subtotal

T2

$1,000

Refundable tax offsets

E

$0

Tax payable

T5

$1,000

Tax offset refunds (remainder of refundable tax offsets)

I

$0

Amount due or refundable

S

$1,000

Dark Blue Superannuation Fund has an entitlement of $500 of non-refundable non-carry forward tax offsets to offset against $1,500 gross tax, resulting in $1,000 tax payable and the amount due.

Example 7b: Applying C Non-refundable non-carry forward tax offsets when B Gross tax is less than offsets – a nil position

Light Blue Superannuation Fund has the following amounts entered into its Fund income tax return:

Taxable income

A

$20,000

Gross tax

B

$3,000

Non-refundable non-carry forward tax offsets

C

$4,000

Subtotal

T2

$0

Refundable tax offsets

E

$0

Tax payable

T5

$0

Tax offset refunds (remainder of refundable tax offsets)

I

$0

Amount due or refundable

S

$0

Light Blue Superannuation Fund has an entitlement of $4,000 of non-refundable non-carry forward tax offsets to offset against $3,000 gross tax resulting in $0 tax payable and no amount due. Light Blue Superannuation Fund loses $1,000 of the non-refundable non-carry forward tax offset.

QC40267