H2 – Credit for tax withheld – foreign resident withholding (excluding capital gains)
Only complete label H2 if the amount was withheld in Australia and remitted to us.
Write at label H2 the total tax withheld from payments made to the company that were subject to foreign resident withholding (excluding capital gains).
This includes any share of credits received by the company from a partnership or trust.
If an amount of tax withheld is shown at label H2, ensure that you include the corresponding gross payment at item 6 Income – label B Gross payments subject to foreign resident withholding, or the corresponding gross distribution from a partnership or trust at item 6 Income – label D or E.
Only complete label H2 if the company is a foreign resident. An Australian resident should not claim at label H2 a foreign income tax offset (FITO) for foreign tax paid on foreign source income.
Don't include credits for foreign resident capital gains withholding at label H2. Include these at label H8 Credit for foreign resident capital gains withholding amounts.
H3 – Credit for tax withheld where ABN is not quoted
Write at label H3 the total tax withheld from payments made to the company that were subject to withholding where an ABN was not quoted.
This amount equals the total of the amounts shown in the relevant ‘tax withheld’ boxes on the Non-individual PAYG payment summary schedule 2024. For more information see PAYG payment summary – withholding where ABN not quoted .
Don't include any share of tax withheld from a partnership or trust distribution where an ABN was not quoted. This is shown at label H7 Other credits.
If an amount of tax withheld is reported at label H3, declare the corresponding gross payment at Income, item 6 – label A Gross payments where ABN not quoted.
H4 – Tax withheld from interest or investments
Write at label H4 any amounts withheld from investment income by an investment body because the company didn't provide a TFN or ABN and that have not been refunded already to the company.
Keep the following record details of credits for amounts withheld from investments:
- all documents issued by the investment body detailing payments of income and any amounts withheld from those payments
- details of any amounts withheld from an income payment made to the company and subsequently refunded by the investment body.
Keep the following details of refund receipts:
- amount of refund
- date of refund
- investment reference number – for example, the bank account number of the investment relating to the refund.
H5 – Credit for TFN amounts withheld from payments from closely held trusts
Write at label H5 the total amounts withheld from payments where a TFN has not been provided to a trustee of a closely held trust.
If amounts have been withheld from distributions to the company under these rules, the company is required to receive a payment summary in the approved form from the trustee.
For more information, see TFN withholding for closely held trusts.
H7 – Other credits
Write at label H7:
- the company’s share of credit from a partnership or trust for tax withheld where an ABN was not quoted
- the company’s share of credit for tax paid by a trustee on net income
- for RSA providers, interest on no-TFN tax offset. Write on a schedule of additional information the amount of interest on no-TFN tax offset that you included at H7. Attach the schedule to your tax return.
For more information, see Interest on no-TFN quoted tax offset.
Don't include at label H7 those credits included at item 20 – label J Foreign income tax offset. Also, don't include at H7 any amounts that relate to PAYG instalments. Include these at label K PAYG instalments raised.
Don't include credits for foreign resident capital gains withholding at label H7. Include these at label H8 Credit for foreign resident capital gains withholding amounts.
H8 – Credit for foreign resident capital gains withholding amounts
Write at label H8 the total amount of tax withheld from payments to the company that were subject to foreign resident capital gains withholding in Australia.
You should only claim at label H8 a credit equal to the amount of foreign resident capital gains withholding paid by a purchaser to the ATO on your behalf. The ATO would have issued you with confirmation of this amount.
Don't include credits for other foreign resident withholding at label H8. Include these at label H2 Credit for tax withheld – foreign resident withholding.
Continue to: Calculation statement labels I, K and S
Return to: Instructions to complete the Company tax return 2024