If you were under 18 years old on 30 June 2013, you must complete this item or you may be taxed at a higher rate than necessary.
You cannot use the low-income tax offset to reduce tax payable on unearned income such as trust distributions, dividends, interest and rent.
However, if you are in any of the categories below, the low-income tax offset can be used to reduce the tax payable on the income listed at step 2.
Go to question A2 Part-year tax-free threshold.
To complete this item on your tax return you must determine whether one of the following categories applied to you on 30 June 2013.
- You were
- working full time or had worked full time for three months or more in 2012-13 (ignoring full-time work that was followed by full-time study), and
- intending to work full time for most or all of 2013-14 and not study full time in 2013-14.
- You were entitled to a disability support pension or someone was entitled to a carer allowance to care for you.
- You were permanently blind.
- You were disabled and were likely to suffer from that disability permanently or for an extended period.
- You were entitled to a double orphan pension, and you received little or no financial support from your relatives.
- You were unable to work full time because of a permanent mental or physical disability, and you received little or no financial support from your relatives.
- You were the main beneficiary of a special disability trust.
If you were in any of the above categories on 30 June 2013, all your income will be taxed at normal rates. Write 0 at J item A1. Then print the code letter A in the TYPE box at the right of J. You have now finished this question. Go to A2 Part-year tax-free threshold.
Otherwise, read on.
Add up any of the following income amounts which you have shown on your tax return:
- employment income
- taxable pensions or payments from Centrelink or the Department of Veterans' Affairs
- a compensation, superannuation or pension fund benefit
- income from a deceased person's estate
- income from property transferred to you as a result of another's death or family breakdown, or to satisfy a claim for damages for an injury you suffered
- income from your own business
- income from a partnership in which you were an active partner
- net capital gains from the disposal of any of the property or investments referred to above
- income from investment of amounts referred to above.
Add up all your deductions that relate to the income from step 2 (see Claiming deductions). Take away the total of those deductions from the total income you worked out at step 2.
Write the amount from step 3 at J item A1. This amount is taxed at normal rates. If you do not have any of the income listed at step 2 or the amount from step 3 is nil or less, write 0 at J item A1.
Print the code letter M in the TYPE box at the right of J item A1.
Did you receive any primary production income?
Go to question A2 Part-year tax-free threshold
If the amount from step 4 included income from primary production you will need to provide additional information.
- On a separate sheet of paper print
- SCHEDULE OF ADDITIONAL INFORMATION - Item A1
- your name, address, tax file number
- 'Excepted primary production income' and write the amount of primary production income that is included in the total from step 4.
- 'Eligible primary production income' and write the amount of any primary production income that you have not included at item A1.
- Attach your schedule to page 3 of your tax return.
- Print X in the Yes box at Taxpayer's declaration question 2a on page 12 of your tax return.
If you received a distribution from a trust, read question 13 Partnerships and trusts.