We are currently introducing a new income tax processing system.
We may have taken longer than expected to process your income tax return and issue a refund if you are entitled to one. These delays were temporary, and we apologise for any inconvenience.
Latest update
We have processed around more than 1.2 million income tax returns using our new system, including all stockpiled returns and returns received up until the end of February.
Refunds and assessments have progressively been issuing since mid-February, and some people have already received refunds.
So far we have issued:
- around 440,000 refunds to clients
- around 540,000 notices of assessment, and
- around 380,000 statements of account.
The majority of refunds for returns lodged in December or January have been issued, and the majority of refunds for returns lodged in February have also been issued.
Last week we experienced some minor problems which have delayed us issuing some of those remaining stockpiled refunds and assessments while we ensured the integrity of our data.
We have fixed these minor problems and are progressively releasing these refunds and assessments (with the exception of assessments involving non-resident withholding tax).
If we take longer than 30 days to process returns, we will pay interest.
As usual, some refunds will take longer to issue – for example, if they involve complex tax affairs or we need to check the legitimacy of a claim for a refund.
Please note, it can still take a few days from the time we issue a refund for it to reach its destination as it goes through the mailing and distribution process.
From now on, the majority of people who lodge should receive their refund or notice of assessment within our normal turnaround time of 14 days. If they lodge by paper, individuals should have it within 42 days and non-individuals within 56 days.
If people are expecting a refund and want to check its progress they can call us on 13 28 61.
The latest update from Second Commissioner David Butler can be found here.
Current issues that may affect you
Find out more about any current processing problems and how they may affect you as we introduce our new income tax processing system.
Check your PAYG instalment rate or amount
If you are affected by an income tax return processing delay, the PAYG instalment rate or amount on your Quarter 2 or Quarter 3 activity statement may still be based on your income tax assessment for the previous income year and will remain so until your current return is processed.
In the interim, if you think the amount or rate we have calculated will mean you would pay more (or less) than your expected tax for the current income year, you may choose to vary your PAYG instalment rate or amount.
You will then use the updated amount or rate for the remaining quarterly instalments in the income year, unless you vary again.
A guide on how to vary your PAYG instalments is available on our website.
What will change?
Our new income tax processing system will result in some significant changes, including a new notice of assessment and a new statement of account. Find out more about the changes the new income tax processing system will bring here.
Last Modified: Tuesday, 16 March 2010