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Creditable taxes for all resident taxpayers

Last updated 16 March 2007

A credit can be allowed for:

  • foreign tax which is similar to Australian income tax or capital gains tax
  • foreign withholding taxes similar to the Australian withholding taxes on interest, dividends or royalties
  • foreign taxes listed in Australia's double taxation agreements.

Note: You are not allowed a credit for penalties, fines or interest.

If you are not sure whether you can apply for a foreign tax credit, write Schedule of additional information-Question 19 on the top of a separate piece of paper and explain your situation. Include:

  • your name, address and tax file number
  • the precise name of the tax and the country in which it was levied
  • the name of the law under which the tax was imposed
  • whether the tax was levied by a national, state or local authority and the name of the authority
  • a description of the tax and why you had to pay it.

Print X in the Yes box at Taxpayer's declaration question 2a on page 8 of your tax return.

Sign and attach your schedule to page 3 of your tax return.