• Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    The flood levy - Helping you understand the levy and how it affects you

    Copies of this publication

    This publication can be downloaded in Portable Document Format (PDF) - The flood levy - Helping you understand the flood levy and how it affects you [91KB].

    Further Information

    To order a printed copy, note the NAT number for this product (NAT 73865-06.2011):

    • order online
    • phone us on 1300 720 092 between 8.00am and 6.00pm, Monday to Friday.
    End of further information

    What is the flood levy

    To assist affected communities recover from recent natural disasters the Australian Government has introduced a Temporary Flood and Cyclone Reconstruction Levy (the flood levy).

    The flood levy will only apply to income earned between 1 July 2011 and 30 June 2012.

    Are you exempt from the flood levy?

    You will not pay the flood levy if you have:

    • a taxable income of $50,000 or less
    • been affected by a declared natural disaster.

    How much flood levy will I pay?

    The flood levy is an increase in tax on that part of your income above $50,000.

    Your taxable income payable

    Flood levy

    $0 to $50,000

    Nil

    $50,001 to $100,000

    Half a cent for each $1 over $50,000

    Over $100,000

    $250 plus 1 cent for each $1 over $100,000

    Example

    Lloyd earns taxable income of $80,000 and has not been affected by a natural disaster. He does not pay the levy on the first $50,000 of income, he pays the levy on $30,000 ($80,000-$50,000). Lloyd will pay a levy of $150.00 for the year. Lloyd is paid weekly so his net pay will decrease by $2.88 a week.

    How will I pay the flood levy?

    Employees

    If you earn over $50,000, your employer will withhold an extra amount from your regular pay from 1 July 2011.

    Pay as you go instalment payers

    For pay as you go instalment taxpayers, we will increase your instalment obligation to include the flood levy in 2011-12.

    What do I do if I am exempt?

    If you are eligible for exemption, you may need to take some steps to let us know that you are exempt from paying the flood levy, depending on your circumstance.

    Employees

    If you earn more than $50,000 in salary and wages, you can use a Flood levy exemption declaration (NAT 73797) to tell your employer you are exempt from the levy.

    It is not compulsory that you tell your employer that you are exempt as any flood levy amounts overpaid by you will be credited in your 2012 income tax assessment.

    Pay as you go instalment taxpayers

    If we can identify you as exempt, we will not include the flood levy in your instalment rate or amount.

    If we do not identify you as being exempt, you may wish to vary your instalment during 2011-12 on your activity statement.

    Where do I get the forms?

    Further Information

    Declaration forms and further exemption information is available at www.ato.gov.au/floodlevy

    End of further information

    Completing your 2012 tax return

    You will need to confirm your exemption when you lodge your 2012 tax return so that the flood levy is not included in your income tax assessment. Any flood levy amounts overpaid by you during the year will be credited in your 2012 income tax assessment.

    More information

    For more information about the flood levy:

    • phone us on 13 28 61 between 8.00am and 6.00pm, Monday to Friday.

    Other services

    If you do not speak English well and need help from us, phone the Translating and Interpreting Service on 13 14 50.

    If you are deaf, or have a hearing or speech impairment, phone us through the National Relay Service (NRS) on the numbers listed below:

    • TTY users, phone 13 36 77 and ask for the ATO number you need
    • Speak and Listen (speech-to-speech relay) users, phone 1300 555 727 and ask for the ATO number you need
    • internet relay users, connect to the NRS on www.relayservice.com.au and ask for the ATO number you need.
      Last modified: 21 Sep 2016QC 24415