ato logo
Search Suggestion:

2 Allowances, earnings, tips, directors fees etc 2014

Complete question 2 to declare payments of income from working, including allowances, payments for service and fees.

Last updated 9 July 2014

This question is about payments of income from working. These may include:

  • allowances
  • payments from which tax was not withheld, including salary, wages, commissions, bonuses, income earned from part-time and casual jobs, and income from income protection, sickness and accident insurance policies
  • tips, gratuities and payments for your services
  • consultation fees and honoraria (payments for voluntary services).

Allowances include:

  • car, travel and transport allowances, including reimbursements of car expenses calculated by reference to the distance travelled by the car, such as 'cents-per-kilometre' allowances
  • award transport payments (paid under an industrial law or award that was in force on 29 October 1986)
  • tool, clothing and laundry allowances
  • dirt, height, site, first aid and risk allowances
  • meal and entertainment allowances.

If you received a travel allowance or an overtime meal allowance paid under an industrial law, award or agreement you do not have to include it on your tax return if:

  • it was not shown on your payment summary
  • it does not exceed the Commissioner's reasonable allowance amount, and
  • you spent the whole amount on deductible expenses.

If you choose not to include it you cannot claim a deduction for expenses incurred in relation to that allowance. For more information, see Taxation Determination TD 2013/16 Income tax: what are the reasonable travel and overtime meal allowance expense amounts for the 2013-14 income year?

Did you receive any of the above payments?




Read below.


Answering this question

You will need your payment summaries or comparable statements (and details of the payments that you received if they are not shown on a payment summary or comparable statement).

If you do not have all your payment summaries or comparable statements, contact your employer or payer. If you are unsuccessful in obtaining any of these, there is information about making a statutory declaration in PAYG payment summaries - individual non-business.

Completing your tax return

Step 1

Add up any tax withheld from these payments.

Do not include any amounts of tax withheld you have shown at other items, such as item 1.

Write the amount under Tax withheld at the left of K item 2.

Step 2

Add up all of these payments.

Do not include any amounts of income you have shown at other items, such as item 1.

Write the amount under Income at K item 2.

Where to go next