Did you show an Australian Government pension or allowance at item 6 on your tax return?
No	go to question T4 Australian superannuation income stream, or   return to main menu Tax return for individuals instructions.
Yes	Read below.

If you have already claimed a tax offset at item T2, go to question T4 Australian superannuation income stream, because you cannot also claim this tax offset.

Completing your tax return

Step 1

Work out which of the following code letters applied to your circumstances. The code letter tells us how to work out the amount of your tax offset.

Pensioner tax offset code letters
If, at any time during 2010-11, while you were receiving an Australian Government pension or allowance listed at question 6 from:
	Centrelink	Veterans' Affairs
you were single, widowed or separated, use	S	L
you and your spouse lived together, use	P	M
you and your spouse 'had to live apart due to illness' or you lived apart because one of you was in a nursing home, use	I	A

If more than one code letter applies.

If both P and I apply to you, use	I
If S, P and I all apply to you, use	J
If both S and I apply to you, use	J
If both S and P apply to you, use	Q
If both M and A apply to you, use	A
If L, M and A all apply to you, use	K
If both L and A apply to you, use	K
If both L and M apply to you, use	R

'Had to live apart due to illness' refers to situations in which you were paid a pension at a higher rate because you and your spouse did not live together in your home due to illness. If you are not sure, check with Centrelink or the Department of Veterans' Affairs.

If only one code letter above applied, go to step 2.

Step 2

Print your pensioner tax offset code letter in the TAX OFFSET CODE box at O item T3.

We will work out the amount of your tax offset.

Step 3

If you or your spouse were a veteran, war widow or war widower, you need to work out your veteran code. Select the code letter that applies to you.

Veteran code letters
If you were a veteran, war widow or war widower, use	V
If your spouse was a veteran, war widow or war widower, use	W
If both V and W apply to you, use	X

If a veteran code letter applies to you, print the code letter in the VETERAN CODE box at T item T3. Otherwise, leave it blank.

Step 4

If your pensioner tax offset code letter was S or L, you must read Income tests and, where applicable, complete Income tests items IT1, IT2, IT5 and IT6. Then go to question T4 Australian superannuation income stream.

Step 5

If your pensioner tax offset code letter was P, Q, I, J, M, R, A or K, you must read Income tests and, where applicable, complete Income tests items IT1, IT2, IT5 and IT6. Then read and complete Spouse details - married or de facto on pages 9-11 of your tax return.

Any unused portion of tax offset

If you are eligible for the pensioner tax offset and your spouse is eligible for either the senior Australians tax offset or pensioner tax offset, and one of you does not fully use your tax offset, the unused portion may be available for transfer to the other person. We will work this out automatically and transfer any entitlement.

Where to go next go to question T4 Australian superannuation income stream   return to main menu Tax return for individuals instructions, or   go back to question T2 Senior Australians (includes age pensioners, service pensioners and self-funded retirees.