Employment termination payments

We have pre-filled your tax return with payment summary information provided to us. Check for Australian employment termination payments (ETP) you received that are not pre-filled and ensure you add them.

An ETP is a payment you received because your employment was terminated. These payments appear on a PAYG payment summary – employment termination payment.

This section also covers:

• death benefit ETPs
• late termination payments.

Do not show ETPs you received as the trustee of a deceased estate; these payments must be shown on the trust tax return of the deceased estate.

Answering this question

You will need your PAYG payment summary – employment termination payment.

Completing your tax return

1. Select from the drop-down menu ‘Employment termination payment’.

2. Using your payment summary enter the following information:

• payer's name
• payer's Australian business number (ABN)
• date of payment
• tax withheld
• taxable component
• tax free component

3. Select from the drop-down menu the employment termination code. If your PAYG payment summary – employment termination payment does not have a code, contact the employer or payer. If you are unable to contact the employer or payer, select the code that best describes your payment from the following list:

CODE	DESCRIPTION
R	if you received your ETP because of early retirement scheme genuine redundancy invalidity compensation for personal injury unfair dismissal harassment discrimination
O	if your ETP is not described by R, for example, you received it because of golden handshake gratuity payment in lieu of notice payment for unused sick leave payment for unused rostered days off
S	if you received a code R ETP in 2014–15 and you had received another ETP (code R or code O), or a transitional termination payment, in an earlier income year for the same termination of employment
P	if you received a code O ETP in 2014–15 and you had received another ETP (code R or code O), or a transitional termination payment, in an earlier income year for the same termination of employment
D	if you received a death benefit ETP and you were a death benefits dependant
B	if you received a death benefit ETP in 2014–15 and you were not a death benefits dependant, and you had received another death benefit ETP in an earlier income year for the same termination of employment
N	if you received a death benefit ETP and you were not a death benefits dependant, and code B does not apply.

4. Click on 'Save'.

Instructions on completing your individual tax return using myTax.