Section E Annual income and tax offsets
You must complete this section, or the application will be returned to you. You must fill in at least one item at E1 to E5. Your varied rate will only apply to the type of income or payment you complete at E1 to E5.
E1(a) Payments for work and services
Do not include any reportable fringe benefits amounts at this item – for example, salary sacrifice amounts. Do not include payments for employment termination (ETP). Include ETP payments at E5(a) Employment termination payments. If your current approved variation does not include ETP details, and you will be receiving an ETP, your payer must withhold at normal withholding rates for the ETP. For reduced withholding to apply to the ETP, you need to lodge an amended application and include the ETP details at E5(a).
E1(a)(iv) Bonus payments
Include any bonus payments you have received and tax withheld from that payment at B12 and B13, payer 1.
If you want your variation to apply to your bonus payments, you must mark the Varied rate to apply to bonuses box at E1(a)(iv).
If you want normal tax taken out of your bonus payments (that is, your new varied rate will not apply to your bonuses), you must mark the Normal tax to be taken out of bonuses box at E1(a)(iv).
For any bonus payments not yet received, you must include the bonus payment amount and the expected tax to be withheld from this payment at Annual gross income and Annual tax B1(a), payer 2.
E4(a) and 4(b) Australian superannuation income streams
If you were born after 30 June 1957, show the total amount of the taxable components for any super income stream benefits you expect to receive from any payer(s). Show the amount of any tax offset that applies to this income at E13 Tax offsets.
If you were born before 1 July 1956, only include the taxable components you expect to receive if they comprise an element that is untaxed in the fund (paid from an untaxed source). Show the amount of any tax offset that applies to this income at E13 Tax offsets.
If you were born between 1 July 1956 and 30 June 1957 and your income is from a taxed source, only show the taxed element of the taxable component for any benefits you expect to receive before you turn 60. If your super income stream has an element that is untaxed in the fund, show the total amount for the year.
Your super income stream will be paid from an untaxed source primarily because it is paid, at least in part, from a super scheme that is not subject to tax, such as a public sector super scheme. If you are not sure, check with your fund.
E5 Employment related payments
There are different types of employment termination payments (ETP). For more information, refer to the individual tax returns instructions.
E6 Partnership loss or E7 Net loss from business
If you have a partnership or business loss, complete Section H on the PAYG withholding variation supplement 2017 or your application may be returned to you.
E7 Net income or loss from business
If you have net income or loss from business, complete Section G on the PAYG withholding variation supplement 2017
Do not include at this item income or losses derived from an investment in a managed investment scheme that also has a product ruling or a private binding ruling. Income from this source is to be shown at E8, E10 or E11 and the deductions at F2.
E9 Gross rent
Only include your portion of the rental income at this item. If the title deed shows that you are only a part owner of the property, include only your share of the rent – for example, if you own 50% of the property, you should show 50% of the rent.
E14 Income tests
There are income tests for working out your eligibility to receive certain tax offsets and claim certain deductions. To apply these income tests, we need your:
- reportable fringe benefits
- reportable employer super contributions
- exempt foreign employment income.
You must complete E14 if applicable.
E15 Spouse's adjusted taxable income
Your spouse's adjusted taxable income affects your entitlement to any dependant tax offset.
Use our Income tests calculator to work out your spouse's adjusted taxable income.
Last modified: 10 May 2016QC 21682