• Worksheet 2: Working out your sole and joint deductions

    Attention

    Warning:

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

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    Worksheet 2 will help you to complete F, G and H item A3 by separating out deductions from joint income and identifying business deductions.

    Step 1 Complete column (b) in worksheet 2 by transferring the appropriate amount from your 2015 tax return for the items listed in column (a).

    Step 2 For each amount in column (b), write the amounts in columns (c), (d), (e) or (f).

    Apportion each amount in column (b) into columns (c), (d), (e) and (f) depending on the source of the income to which the deduction applies. If the deduction relates to income that came from:

    • a trust, show the amount in column (c)
    • you individually, show the amount in column (c) or (d) as appropriate
    • a partnership, show the amount in Worksheet 4
    • a joint income group, show the amount in column (e) or (f) as appropriate.

    If you have more than three joint income groups, duplicate columns (e) and (f) on a separate sheet of paper.

    Worksheet 2: Working out your sole and joint deductions

     

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    From (b) work out how much of that deduction relates to solely earned and jointly earned income across these columns.

    Income group 1

    Income group 2

    Income group 3

    (a)

    (b)

    (c)

    (d)

    (e)

    (f)

    (e)

    (f)

    (e)

    (f)

    Deductions shown at the following labels:

    Deductions shown on your tax return

    Deductions from solely earned

    Deductions from jointly earned

    Deductions from jointly earned

    Deductions from jointly earned

    Non-business income

    Business income

    Non-business income

    Business income

    Non-business income

    Business income

    Non-business income

    Business income

    1.

    Low value pool deduction (from K item D6)

     

     

     

     

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    2.

    Interest deductions eg bank fees (from I item D7)

     

     

     

     

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    3.

    Dividend deductions (from H item D8)

     

     

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    4.

    Cost of managing tax affairs (from M item D10)

     

     

     

     

     

     

     

     

     

    5.

    Other deductions relating to distribution (amount from X and Y item 13that relates to share of net income from trusts only)

     

     

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    6.

    Farm management deductible deposits (from D item 17)

     

     

     

     

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    7.

    Foreign source income deductions (you included when calculating the amount shown at T, L, D, R, and M item 20)

     

     

     

     

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    8.

    Rent (from Q, F and U item 21)

     

     

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    9.

    Forestry managed investment scheme deductions (from F item D14)

     

     

     

     

     

     

     

     

     

    10.

    Other deductions (from J item D15)

     

     

     

     

     

     

     

     

     

    11.

    Personal services income deductions (from K and L item P1)

     

     

     

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    Total deductions: add up each column except (c)

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    (g)

    (h)

    (i)

    (h)

    (i)

    (h)

    (i)

    Total gross income for each joint income group (transfer amounts from Worksheet 1)

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    (j)

    (k)

    (j)

    (k)

    (j)

    (k)

    Joint income; for each joint income group, take (h) away from (j) and (i) from (k)

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    Transfer amount at (g) to (d) on worksheet 6

    (l)

    (m)

    (l)

    (m)

    (l)

    (m)

    (n) is the total net income for each income group: add (l) and (m)

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    (n)

    (n)

    (n) 

    Step 3 For each separate joint income group, you will have an (n) on worksheet 2 that is either positive or negative. For each income group you need to separately translate the worksheet 2 results to worksheet 6 using the instructions in table 1 or table 2 as appropriate.

    If the amount at (n) for a joint income group is positive use table 1, if the amount at (n) is negative use table 2.

    Table 1: Amount at (n) on worksheet 2 is positive

    Result

    Action 1

    Action 2

    Amount at (m) is negative or 0

    Transfer amount at (n) to (e) on worksheet 6 and write 0 at (g) on worksheet 6 next to the correct joint income group.

    Write 0 at (f) on worksheet 6, next to the correct joint income group.

    Amounts at (l) and (m) are positive

    Transfer amount at (n) to (e) on worksheet 6 and write 0 at (g) on worksheet 6 next to the correct joint income group.

    Transfer amount at (m) to (f) on worksheet 6, next to the correct joint income group.

    Amount at (l) is negative and (m) is positive

    Transfer amount at (n) to both (e) and (f) on worksheet 6 next to the correct joint income group.

    Write 0 at (g) on worksheet 6 next to the correct joint income group.

    Table 2: Amount at (n) on worksheet 2 is negative

    Result

    Action 1

    Action 2

    Amount at (m) is negative and (l) is 0

    Write 0 at the joint income group for both (e) and (f) on worksheet 6, next to the correct joint income group.

    Transfer as a positive figure the amount at (n) to (g) on worksheet 6, next to the correct joint income group.

    Amount at (l) is positive and (m) is negative

    Write 0 at both (e) and (f) on worksheet 6, next to the correct joint income group.

    Transfer as a positive figure the amount at (n) to (g) on worksheet 6, next to the correct joint income group.

    Amount at (l) is negative and (m) is positive or 0

    Write 0 at both (e) and (f) on worksheet 6, next to the correct joint income group.

    Write 0 at (g) on worksheet 6, next to the correct joint income group.

    Amount at (l) is negative and (m) is negative

    Write 0 at both (e) and (f) on worksheet 6, next to the correct joint income group.

    Transfer as a positive figure the amount at (m) to (g) on worksheet 6, next to the correct joint income group.

      Last modified: 29 May 2015QC 44194