Tax exemption for ex-gratia payments for natural disasters

The Assistant Treasurer has announced that some ex gratia payments made in relation to the disasters that occurred across Australia during the 2011-12 and 2012-13 financial years will be made exempt from income tax.

These changes will apply to an individual in receipt of an ex gratia payment from the Commonwealth known as:

  • assistance for New Zealand non-protected special category visa holders for a disaster that occurred in Australia during the 2011-12 and 2012-13 financial years, and
  • Disaster Income Recovery Subsidy for the floods that occurred in Queensland during the period starting on 21 January 2013.

Media release

For more information, refer to media release no. 035-2013 issued on 20 March 2013 by the Assistant Treasurer.

Legislation and supporting material

Tax and Superannuation Laws Amendment (2013 Measures No. 2) Bill 2013 and the explanatory memorandum was introduced to parliament on 20 March 2013.

    Last modified: 18 May 2013QC 32609