• T7 Dependent (invalid or carer) 2014

    Did you maintain:

    • your spouse who was an invalid or cared for an invalid
    • your or your spouse's parent, who lived in Australia and who was an invalid or cared for an invalid, or
    • your or your spouse’s invalid child, brother or sister, aged 16 years or older?

    No

     

    Yes

    Read on.

    A carer must have cared for your or your spouse's invalid child, brother or sister aged 16 or older, and have been:

    • your dependent spouse, or
    • your, or your spouse's, dependent parent who lived in Australia.

    If you maintained more than one invalid (or more than one carer) you will need to answer Parts A and B for each invalid (or carer) to get your maximum entitlement.

    Part A

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention
    1. Did you maintain an invalid?

    No

    Go to Part B.

    Yes

    Read on.

    1. Did the invalid receive:
    • a disability support pension under the Social Security Act 1991
    • a special needs disability support pension under the Social Security Act 1991, or
    • an invalidity service pension under the Veterans' Entitlements Act 1986?

    No

    Go to Part B.

    Yes

    Go to Answering this question.

    Part B

    1. Did you maintain a carer who cared for an invalid?

    No

     

    Yes

    Read on.

    1. Was the carer that you maintained:
    • caring for your or your spouse’s child, brother or sister, aged 16 years or older?

    No

     

    Yes

    Read on.

    1. Did the carer that you maintained receive a carer allowance or carer payment under the Social Security Act 1991 for that invalid?

    Yes

    Go to Answering this question.

    No

    Read on.

    1. Was the carer that you maintained wholly engaged in providing care to a person receiving:
    • a disability support pension
    • a special needs disability support pension, or
    • an invalidity service pension?

    No

     

    Yes

    Read on.

    You need to know

    Before you complete this item, you need to read Adjusted taxable income (ATI) for you and your dependants.

    Answering this question

    1. Answering this question about your invalid spouse or carer spouse

    For what we mean by spouse see Special circumstances and glossary

    You cannot claim for your invalid or carer spouse, if:

    You can claim for your spouse only as an invalid or a carer, not both.

    Your claim will be reduced for any period that you or your spouse were:

    • eligible for family tax benefit (FTB) Part B, or
    • receiving parental leave pay.

    Dad and Partner Pay does not affect your entitlement to this tax offset.

    1. Answering this question about another invalid or carer

    If your and your spouse's adjusted taxable incomes (ATI) (including your and your spouse's invalidity and carer payments) added to more than $150,000 you cannot claim for your or your spouse's:

    • invalid or carer parent,
    • invalid child, brother or sister, aged 16 years old or older.

    If you had a spouse for only part of the year, multiply their ATI by the number of days they were your spouse and divide by 365.

    Completing your tax return

    You can use the Dependent (carer and invalid) tax offset calculator to work out the tax offset.

    • Complete the calculator for each invalid and carer.
    • Add together the amounts you calculated for each invalid and carer. That total is your invalid and carer tax offset.
    • Go to step 5.

    Alternatively, follow the steps below for each invalid and carer.

    Step 1

    Working out your offset for your spouse who is an invalid or carer

    Work out the number of days in 2013–14 when your spouse was:

    • an invalid, or
    • a carer

    and neither of you:

    • were eligible for FTB Part B, or
    • received parental leave pay.

    Write this number of days at (a).

    If this number is 365, write $2,471 at (d) and continue from there.

              (a)

    Multiply (a) by $6.77.

    $         (b)

    If you or your spouse were eligible for FTB Part B at a shared-care rate for a period during the year when your spouse was an invalid or carer, work through (s) to (v) below.

    If you had more than one such period, work through (s) to (v) for each period.

    Number of days that you or your spouse were eligible for FTB Part B at a shared-care rate

            (s)

    $         (c)

    Multiply (s) by $6.77.

    $       (t)

    Take your FTB shared-care percentage away from 100%.
     

          %(u)

    Multiply (t) by (u).
     

    $       (v)

    If you have only one amount at (v), write it at (c). If you have several amounts at (v), add them up and write the total at (c).

    Add (b) and (c).

    $         (d)

    If your spouse’s ATI (including any invalidity or carer payments) for the claim period was:

    • less than $286
    • your tax offset is the amount at (d)
    • write that amount at (f) and continue from there
    • $286 or more, work through (w) to (e) below.
     

    $         (e)

    Your spouse's ATI

    $       (w)

    Take $282 from (w).

    $       (y)

    Divide (y) by 4 (round the result down to the nearest dollar).

    $       (z)

    Write (z) at (e).

    Take (e) away from (d).

    $          (f)

    If another person contributed to maintaining your spouse, complete (aa) and (bb) below. Otherwise the amount you can claim is at (f).

    Percentage of your contribution to the maintenance of this invalid or carer

              (aa)

    Multiply (f) by (aa).

    $        (bb)

    The amount at (bb) is the amount you must use at step 4 for this invalid or carer, instead of the amount you have at (f) for this invalid or carer.

    Step 2

    Working out your offset for an invalid or a carer, who is not your spouse, for the whole year

    If the invalid or carer's ATI (including invalidity or carer payments)
    was less than $286, write $2,471 at (k) below, and continue from there.

    If the invalid or carer's ATI (including their invalid or carer payments) was $286 or more, write the amount at (g).

    $          (g)

    Take $282 away from (g).

    $          (h)

     

    $       2, 471

    Divide (h) by 4 (round the result down to the nearest dollar).

    $           (j)

    Take (j) from $2,471.

    If (k) is less than $1, you cannot claim a tax offset for (k).

    $          (k)

    If another person contributed to maintaining your invalid or carer, complete (aa) and (bb) below. Otherwise the amount you can claim is at (k).

    Percentage of your contribution to the maintenance of this invalid or carer

             (aa)

    Multiply (k) by (aa).

    $        (bb)

    The amount at (bb) is the amount you must use at step 4 for this invalid or carer, instead of the amount you have at (k) for this invalid or carer.

    Step 3

    Working out your offset for an invalid or a carer, who is not your spouse,
    for part of the year

    Number of days that you maintained the invalid or carer

               (l)

    Multiply (l) by $6.77.

     

    $         (m)

    If the invalid or carer's ATI (including their invalid or carer payments) for the period you maintained them was less than $286, the amount at (m) is your tax offset. Write it at (r), and continue from there.

    If the invalid or carer's ATI (including their invalid or carer payments) was $286 or more, write at (n) their ATI for the period.

    $         (n)

    Take $282 away from (n).

    $        (p)

    Divide (p) by 4 (round the result down to the nearest dollar).

    $        (q)

    Take (q) away from (m).

    If (r) is less than $1, you cannot claim a tax offset for (r).

    $        (r)

    If another person contributed to maintaining your invalid or carer, complete (aa) and (bb) below. Otherwise the amount you can claim is at (r).

    Percentage of your contribution to the maintenance of this invalid or carer

             (aa)

    Multiply (r) by (aa).

    $        (bb)

    The amount at (bb) is the amount you must use at step 4 for this invalid or carer, instead of the amount you have at (r) for this invalid or carer.

    Step 4

    • Add up the amounts that you have for each invalid and carer.
    • The total is your invalid and carer tax offset.

    Step 5

    • Write your invalid and carer tax offset at B item T7 on page 16 of your tax return.
    • You must complete income test items IT1 to IT7 on page 8 of your tax return.
    • If you had a spouse, you must also complete Spouse details – married or de facto on page 8 of your tax return.

    Where to go next

      Last modified: 04 Jun 2014QC 40123