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T1 Tax on taxable income

Last updated 12 February 2019

Show at T1 the amount of tax payable before the allowance of any rebates, tax offsets, and credits. T1 reflects the amount at A (or components of it) multiplied by the applicable tax rate or tax rates. The tax rates potentially applicable are listed in Appendix 3: Tax rates.

T1 is mandatory. You must include an amount at T1 even if it is zero (if zero write 0).

The compliance status of the fund affects the tax rates that apply. If the fund is a regulated superannuation fund, ADF or PST and has not received a Notice of non-compliance from APRA, the fund is a complying fund and the standard tax rate is 15%. If the fund is a non-complying fund the standard tax rate is 47%.

Different tax rates apply to the following types of income and you must ensure that you apply the correct tax rate to amounts shown at:

  • U Net non-arm’s length income item 10 (the tax rate is 47% even for a complying fund)
  • T Assessable income due to changed tax status of fund item 10 (tax rate may be either 15% or 47% depending on the circumstances)

If you have shown an amount (other than zero) at R3 No-TFN-quoted contributions then this amount has been included in the amount at A Taxable income and is therefore included in the calculation of the amount at T1 calculated at the standard rate of tax applicable to the fund (that is, 15% for a complying fund or 47% for a non-complying fund) to the amount at A. Show at J the additional tax calculated (that is, at the rate of 34% for a complying fund or 2% for a non-complying fund) on the R3 amount.

Use examples 5 and 6 to help you calculate the tax on taxable income amount.