This section is about interest paid or credited to you from any source in Australia, including accounts and term deposits held with financial institutions in Australia.
Interest includes: Taxation Determination TD 2017/11 Income tax: who should be assessed to interest on bank accounts?
- interest we paid or credited to you
- interest from children's accounts you opened or operated with funds that belonged to you or funds that you used as if they belonged to you. For more information about children's accounts, see Taxation Determination TD 2017/11 Income tax: who should be assessed to interest on bank accounts?
Tax file number amounts
Tax file number (TFN) amounts are amounts of tax withheld by financial institutions because you did not provide your TFN or Australian business number (ABN) to them. TFN amounts are shown on your statement or document as 'Commonwealth tax' or 'TFN withholding tax'. You must show these amounts as gross interest on your tax return.
Do not show the following types of interest at this section:
- distributions of interest you received, or were entitled to receive, from a partnership or trust (including a cash management trust, property trust, unit trust or other similar trust investment product). Show this at Partnerships or Trusts in the Business/sole trader, partnership and trust income (including loss details) section
- interest from a foreign source. Show this at Other foreign income in the Foreign income, assets and entities section
- interest from infrastructure borrowings. Show this at Any other income in the Other income section if you intend to claim a tax offset at Other non-refundable tax offsets in the Offsets section.
If you can't see these sections, use the Personalise return screen to select those sections that apply to you. For further help with personalising your return, see How to personalise your return.
You will need:
- your statements, passbooks and other documentation from your financial institutions and other sources that show 2018–19 interest income
- any statement of account or notice of assessment (or amended assessment) you received from us during 2018–19 that shows interest we paid or credited to you, for example:
- interest on early payments
- interest on overpayments
- delayed refund interest.
We pre-fill your tax return with interest information provided to us. This may include any interest from children’s savings accounts that have your TFN or name attached to it (we provide this information to allow you to work out if the income needs to be declared in your tax return or not).
Check for any interest paid or credited to you from any source in Australia not pre-filled and ensure you add it.
- For each account where interest has not been pre-filled in your tax return, select Add and enter information into the corresponding fields.
If you had a joint account, show the number of account holders, the total gross interest and total TFN amounts withheld. MyTax will divide the amounts equally between the number of account holders.
You may alter your share of the gross interest and TFN amounts withheld for any account where the account holders do not share equally in the interest. If you do, keep a record of how you worked out your share.
- Were you an Australian resident for tax purposes for the full financial year?
- Yes - Go to step 5.
- No - Go to step 3.
- Were you an Australian resident for tax purposes for any part of the financial year?
- Yes - Go to step 4.
- No - Go to step 6.
- For each interest paid or credited to you where you were an Australian resident for tax purposes for part of the financial year, answer the question Were you an Australian resident for tax purposes when the interest was paid or credited?
- Yes - Go to step 5.
- No - Go to step 6.
- Enter information into the corresponding fields.
Do not include in the TFN amounts withheld field any TFN amounts withheld that the ATO has already refunded to you. Go to step 8.
- For each interest where you were not an Australian resident for tax purposes when the interest was paid or credited, was withholding tax deducted?
- Yes - Do not include that interest. Withholding tax deducted is a final tax. Go to step 8.
- No - Go to step 7.
- For each interest, select the Country of residence when the interest was paid or credited.
This amount will not be included in your taxable income. We will advise you of the amount of withholding tax you have to pay on this interest. Go to step 8.
- Select Save.
- Select Save and continue.