Is the amount at T2 Subtotal more than the amount at E Refundable tax offsets?
No |
|
---|---|
Yes |
|
T5 is mandatory. If you leave T5 blank, you will have specified a zero amount.
Example: Calculating T5 Subtotal (refundable tax offsets less than T2)
SMSF T5 has no excess refundable tax offsets. It writes the following amounts in its SMSF annual return:
Section D: Income tax calculation statement |
Amount not used in calculation |
Amount used in calculation |
---|---|---|
T2 Subtotal |
|
$1,500 |
E1 Complying fund's franking credits tax offset |
$500 |
|
E Refundable tax offsets |
|
$500 |
T5 Tax payable |
$1,000 |
|
I Tax offset refunds |
$0 |
SMSF T5 takes the $500 refundable tax offsets away from its T2 Subtotal of $1,500. The amount at T5 Tax payable is $1,000 (that is, $1,500 – $500).
End of exampleExample: Calculating T5 Subtotal (refundable tax offsets greater than T2)
SMSF T5 writes the following amounts in its SMSF annual return:
Section D: Income tax calculation statement |
Amount not used in calculation |
Amount used in calculation |
---|---|---|
T2 Subtotal |
|
$1,500 |
E1 Complying fund's franking credits tax offset |
$2,000 |
|
E Refundable tax offsets |
|
$2,000 |
T5 Tax payable |
$0 |
|
I Tax offset refunds |
$500 |
SMSF T5 has more refundable tax offsets ($2,000) than tax (T2 Subtotal $1,500).
SMSF T5 uses the refundable tax offsets of $2,000 to reduce the tax to $0, which it writes at T5 Tax payable.
SMSF T5 writes the remaining refundable tax offset ($500) at I Tax offset refunds and this is available as a credit amount in the overall calculation.
End of example