Non-resident withholding tax
If you were a foreign resident find out more about reporting non-resident withholding tax in your tax return.
Gross interest
If you were a foreign resident for part of the income year, include at question 10 Gross interest any interest that you received in 2023–24 while you were an Australian resident.
Don't include at question 10 any interest paid or credited to you when you were a foreign resident if withholding tax was deducted.
If withholding tax was not deducted, on a separate piece of paper:
- write Schedule of additional information – question 10
- write your name, address and tax file number
- provide details of amounts of interest you received while you were a foreign resident if withholding tax was not deducted.
Attach your schedule to your tax return. Print X in the Yes box at Taxpayers' declaration – question 2 in your tax return.
We will advise you of the amount of withholding tax you have to pay on this interest.
Dividends
Don't include at question 11 Dividends any dividend income paid or credited to you during the period you were a foreign resident, if:
- the dividend was fully franked, or
- the dividend was not fully franked, but either
- the dividend statement shows the unfranked amount to be conduit foreign income, or
- withholding tax was (or should have been) withheld from the unfranked amount.
You need to provide details of any dividend:
- that was paid or credited to you during any period you were a foreign resident
- that was not fully franked and was not declared to be conduit foreign income, and
- on which you have not paid withholding tax.
On a separate piece of paper:
- write Schedule of additional information – question 11
- write your name, address and tax file number
- provide details of the dividend.
Attach your schedule to your tax return. Print X in the Yes box at Taxpayers' declaration – question 2 in your tax return.
We will work out the amount of withholding tax you have to pay on the dividends, and advise you of the amount.
Foreign employment termination payments
The following is relevant for the purpose of question 4 Employment termination payments.
A foreign ETP is different from a foreign termination payment (FTP).
Instructions for foreign ETPs
You need to convert your foreign ETPs into Australian dollars before you can complete question 4.
For information about exchange rates and how to convert foreign payments, go to Foreign exchange rates or contact us.
- Then on a separate piece of paper
- write Schedule of additional information – question 4
- write your name, address and tax file number
- for each foreign ETP, print the name of the payer and the foreign country in which you were employed, and write the amount of the payment
- for each foreign ETP, print the appropriate code letter (from those listed at step 4 in question 4. You must provide a valid code for each payment.
- Attach your schedule to your tax return.
- Print X in the Yes box at Taxpayers' declaration – question 2 in your tax return.
You will need to include the total amount of these foreign ETPs in the amount you show at question 4 – label I in your tax return.
Go to step 1 in question 4.
Dividends and franking credits
Additional information for completing your tax return where special circumstances apply in:
- question 11 Dividends 2024
- question D8 Dividend deductions 2024.
The unfrankable dividend integrity rule prevents you from claiming franking credits from distributions made on or after 15 September 2022, that are funded from capital raising or the issue of equity interest by an entity that made the distribution.
For more information, see Franked distributions funded by capital raisings.
Dividend washing integrity rule
The dividend washing integrity rule prevents you from claiming franking credits where you have received a dividend as a result of dividend washing.
Dividend washing occurs where you, or an entity connected to you, claim 2 sets of franking credits by:
- selling shares that are held on the Australian Securities Exchange (ASX) and have become ‘ex-dividend’, and then
- purchasing some substantially identical shares using a special ASX trading market.
When the dividend washing integrity rule applies, you are not entitled to claim the franking credits for the second dividend. However, if your interest in the second parcel of shares exceeds the interest in the first parcel, you may be entitled to claim a portion of the franking credits for the additional shares. For more information, see Dividend washing rule.
The dividend washing integrity rule does not apply if:
- you are an individual, and
- you received no more than $5,000 in franking credits during 2023–24.
However, the dividend washing integrity rule applies where dividends flow indirectly to you through your interest in a trust or partnership.
If you are claiming franking credits at question 11, certain rules apply. Read the following to check that you are entitled to claim the credits.
You must be a 'qualified person' to be entitled to a franking credit in respect of a dividend. To be a qualified person you must satisfy the holding period rule and the related payments rule.
Holding period rule
To be able to claim the franking credits the holding period rule requires you to hold shares 'at risk' for at least 45 days (90 days for certain preference shares).
When working out the number of days you held the shares at risk, don't count the day on which you acquired the shares and the day on which you disposed of the shares (or you entered into an arrangement to reduce the risk of making a loss on them).
This rule applies generally to shares bought on or after 1 July 1997.
Even if you did not hold the shares at risk for the required period, you may still be entitled to claim the franking credits if:
- your total direct and indirect franking credit entitlement for 2023–24, including any entitlement you may have had through a trust or partnership, was not above $5,000 (the small shareholder exemption), and
- the related payments rule did not apply to you.
In determining whether the holding period rule is satisfied for the prescribed minimum period, no account is taken of any days on which you entered into an arrangement to materially reduce the risk of making a loss on your shares, such as through derivatives, hedges, options and futures.
If you don't satisfy the holding period rule, add up all the franked dividend amounts from your statements and any other franked dividends paid or credited to you. Write the total amount at question 11 – label T. Don't include any franking credit amount at question 11 – label U for that dividend.
Related payments rule
The related payments rule applies to arrangements entered into after 7:30 pm (Australian Eastern Standard Time) on 13 May 1997. Broadly, it applies to you if you effectively had no interest in a dividend because you were under an obligation to make, or were likely to make, a related payment to another party for the dividend and you did not hold your shares 'at risk' for at least 45 days (90 days for certain preference shares).
When working out the number of days you held the shares 'at risk', don't count the day on which you acquired the shares and the day on which you disposed of the shares (or you entered into an arrangement to reduce the risk of making a loss on them).
A related payment includes you, or your associate, doing something under an arrangement that has the effect of passing the benefit of the dividend to someone else.
If either the holding period rule or related payments rule is likely to affect you, see You and your shares 2024.
Australian superannuation lump sum payments
Additional information for completing your tax return where special circumstances apply in question 8 Australian superannuation lump sum payments 2024.
Tables 1A to 2C set out the maximum tax rates that apply to superannuation lump sum payments made by complying superannuation funds. The Medicare levy is additional where applicable.
You may find this useful in completing questions 8, M1 and M2.
Any lump sum in arrears amounts must be included in your assessable income regardless of the period the income stream payment relates to.
Tables 1A and 1B: Death benefit
|
Element |
Amount |
Tax rate |
|---|---|---|
|
Tax-free component |
Whole |
Tax free |
|
Taxed element |
Whole |
Tax free |
|
Untaxed element |
Whole |
Tax free |
|
Element |
Amount |
Tax rate |
|---|---|---|
|
Tax-free component |
Whole |
Tax free |
|
Taxed element |
Whole |
15% |
|
Untaxed element |
Whole |
30% |
Tables 2A to 2C: Superannuation lump sum (other than death benefit)
|
Element |
Amount |
Tax rate |
|---|---|---|
|
Tax-free component |
Whole |
Tax free |
|
Taxed element |
Whole |
20% |
|
Untaxed element |
Up to the untaxed-plan cap amount, $1,705,000 (see Note 1) |
30% |
|
Untaxed element |
Over the untaxed-plan cap amount, $1,705,000 (see Note 1) |
45% |
|
Element |
Amount |
Tax rate |
|---|---|---|
|
Tax-free component |
Whole |
Tax free |
|
Taxed element |
Up to the low-rate cap amount, $235,000 (see Note 2) |
Tax free |
|
Taxed element |
Over the low-rate cap amount, $235,000 (see Note 2) |
15% |
|
Untaxed element |
Up to the low-rate cap amount, $235,000 (see Note 2) |
15% |
|
Untaxed element |
Over the low-rate cap amount, $235,000 (see Note 2) and up to the untaxed-plan cap amount, $1,705,000 (see Note 1) |
30% |
|
Untaxed element |
Over the untaxed-plan cap amount, $1,705,000 (see Note 1) |
45% |
|
Element |
Amount |
Tax rate |
|---|---|---|
|
Tax-free component |
Whole |
Tax free |
|
Taxed element |
Whole |
Tax free |
|
Untaxed element |
Up to the untaxed-plan cap amount, $1,705,000 (see Note 1) |
15% |
|
Untaxed element |
Over the untaxed-plan cap amount, $1,705,000 (see Note 1) |
45% |
Note 1: For 2023–24, the untaxed-plan cap amount is a maximum of $1.705 million, but it could be less for you if you have previously received another superannuation lump sum with an untaxed element from the same superannuation fund. For more information on how we work out your untaxed-plan cap amount, see How tax applies to your super withdrawals.
Note 2: For 2023–24, the low-rate cap amount is a maximum of $235,000, but it could be less if you received any superannuation lump sums in a prior income year that counted towards your entitlement to a superannuation lump sum tax offset or, if before July 2007, you received an eligible termination payment after your 55th birthday. For more information on how we work out your low-rate cap amount, see How tax applies to your super withdrawals.
See Tax time definitions for more about the low-rate cap amount and untaxed-plan cap amount.
Leased luxury cars
If you leased a luxury car and want to claim a deduction at question D1 Work-related car expenses or question D2 Work-related travel expenses, the following information about luxury cars will help you.
A leased luxury car is a leased car that at the time the lease began had a market value of more than the 'car limit' that applied in the relevant income year.
You can claim a deduction for the decline in value of a leased luxury car (but not for other leased cars). The car can be new or second-hand. You must use the logbook method. For more information on the logbook method, read question D1.
When claiming a deduction for decline in value, the initial value that you use for the car is the limit that applied in the income year in which the lease began. The car limit for 2023–24 is $68,108.
|
Year |
Limit |
|---|---|
|
2023–24 |
$68,108 |
|
2022–23 |
$64,741 |
|
2021–22 |
$60,733 |
|
2020–21 |
$59,136 |
|
2019–20 |
$57,581 |
|
2018–19 |
$57,581 |
|
2017–18 |
$57,581 |
|
2016–17 |
$57,581 |
|
2015–16 |
$57,466 |
|
2014–15 |
$57,466 |
|
2013–14 |
$57,466 |
Work-related travel expenses
Tables 4 and 5 outline the evidence you need to keep to claim overnight travel expenses (accommodation, food and drink and incidental expenses) in question D2.
Travel diary
Whether for domestic or overseas travel, a travel diary is a document in which you record the nature, places, dates, times and duration of your activities and travel.
|
Condition |
Written evidence |
Travel diary required |
|---|---|---|
|
You did not receive a travel allowance and the travel was less than 6 nights in a row. |
Yes |
No |
|
You did not receive a travel allowance and the travel was 6 or more nights in a row. |
Yes |
Yes |
|
You received a travel allowance, your claim does not exceed the reasonable allowance amount and the travel was less than 6 nights in a row. |
No |
No |
|
You received a travel allowance, your claim does not exceed the reasonable allowance amount and the travel was 6 or more nights in a row. |
No |
No |
|
You received a travel allowance, your claim exceeds the reasonable allowance amount and the travel was less than 6 nights in a row. |
Yes |
No |
|
You received a travel allowance, your claim exceeds the reasonable allowance amount and the travel was 6 or more nights in a row. |
Yes |
Yes |
Overseas travel
You need written evidence for all overseas accommodation expenses, regardless of the amount claimed and the length of the trip. You don't need written evidence for food, drink and incidentals in certain circumstances (see Table 5).
Members of international aircrews don't have to keep a travel diary if they limit their claim to the amount of the allowance received.
|
Condition |
Written evidence for food, drink and incidentals |
Travel diary required |
|---|---|---|
|
You did not receive a travel allowance and the travel was less than 6 nights in a row. |
Yes |
No |
|
You did not receive a travel allowance and the travel was 6 or more nights in a row. |
Yes |
Yes |
|
You received a travel allowance, your claim does not exceed the reasonable allowance amount and the travel was less than 6 nights in a row. |
No |
No |
|
You received a travel allowance, your claim does not exceed the reasonable allowance amount and the travel was 6 or more nights in a row. |
No |
Yes |
|
You received a travel allowance, your claim exceeds the reasonable allowance amount and the travel was less than 6 nights in a row. |
Yes |
No |
|
You received a travel allowance, your claim exceeds the reasonable allowance amount and the travel was 6 or more nights in a row. |
Yes |
Yes |
Rules for certain types of gifts or donations
The following information is about different types of gifts or donations for which you may be able to claim a deduction at question D9 Gifts or donations. If you obtained a valuation of a deductible donation of property, you may be able to claim a deduction for the cost of that valuation under question D10 Cost of managing tax affairs.
Gifts of property
You can claim a deduction for a gift of property (such as land, artwork or memorabilia) to an eligible organisation if:
- you purchased the property within 12 months of making the gift, or
- you purchased the property more than 12 months before you made the gift and the Commissioner valued it at more than $5,000.
If you purchased the property within 12 months of making the gift, the amount deductible is the market value of the property at the time of the gift or the amount you paid for the property, whichever is less. If you purchased the property more than 12 months before you made the gift and the Commissioner valued it at more than $5,000, the amount deductible is the value of the property as determined by the Commissioner.
You can't claim a deduction for a gift of property if you did not purchase it (for example, you inherited or won the property) unless the Commissioner has valued it at more than $5,000.
If you have made a gift of property under the cultural gifts program the rules described above don't apply to you.
For more information on working out whether you can claim a deduction for a gift under this program, see Donating under the Cultural Gifts Program.
For more information about property valuations, contact us.
Receiving a benefit
Generally, you can't claim a deduction for a donation if you received something in return (for example, a raffle ticket, dinner or a reduction in your child's school fees) other than tokens like lapel badges and stickers that promote the organisation. This rule does not apply to certain fund-raising events (see Deductions for contributions relating to fund-raising events).
Deductions for contributions relating to fund-raising events
You can claim a deduction for contributions to approved organisations that relate to fund-raising events where you received a minor benefit for your contribution, provided that:
- the contribution meets certain conditions, and
- the benefit you received does not exceed a specified limit.
A fund-raising event includes a fete, ball, gala show, dinner, performance or similar event.
You can claim a deduction if you made:
- a contribution of money or property to attend or participate in (or for the right to attend or participate in) a fund-raising event, or
- a contribution of money to purchase goods or services at a charitable auction.
Your contribution must meet the following conditions:
- It was made to an approved organisation.
- If it was money, it was more than $150.
- If it was property, you had either
- purchased it within 12 months of making the contribution, and both the market value on the day of the contribution and the purchase price were more than $150
- owned it for more than 12 months and the Commissioner valued it at more than $5,000.
- If it was publicly listed shares, the value was more than $150 and less than or equal to $5,000.
- The fund-raising event was held in Australia.
- The GST-inclusive market value of the minor benefit you received for your contribution must have been worth no more than $150 or 20% of the value of the contribution, whichever is less. The receipt from the approved organisation will show the market value of the minor benefit you received.
Your deduction is the value of your contribution that satisfies the conditions set out above less the GST-inclusive market value of the minor benefit you received. Both of these amounts appear on your receipt.
There is no limit to the number of deductions you can claim for successful bids to purchase goods or services at a charitable auction, provided the above conditions are met.
Gifts of shares valued at $5,000 or less
You can claim a deduction for a gift of shares to an approved organisation if:
- the shares were held in a company that was listed on an approved Australian stock exchange on the day the gift was made
- you acquired the shares at least 12 months before making the gift ('acquired' includes purchased, inherited, won or received as a gift or a bonus)
- the parcel of shares had a market value of $5,000 or less on the day you made the gift
- the parcel of shares was valued at $2 or more.
You can't claim a deduction for shares that are suspended from trading (other than a mere trading halt).
Gifts of shares held in different companies are separate gifts even if given at the same time.
A deduction is also available to you where you contribute the shares in return for a right permitting you or another individual to attend or participate in a particular fund-raising event in Australia. The gift must satisfy the rules for contributions to fund-raising events:
- the market value of the shares on the day they are contributed must be more than $150 but less than or equal to $5,000
- the market value of the right to attend or participate in the fund-raising event must not exceed 20% of the value of the shares or $150, whichever is less.
Be aware that capital gains tax applies when you make a gift of shares.
Contributions and gifts to registered political parties and independent candidates and members
You can claim a deduction for contributions or gifts to registered political parties, independent members of parliament (state or Commonwealth) or independent candidates in an election for parliament. Contributions must be $2 or more. The contribution or gift must be of money or property that you purchased during the 12 months before making the contribution or gift. If it is property, the amount deductible is the market value of the property at the time of the donation or the amount you paid for the property, whichever is less.
If the total of all your contributions and gifts to political parties during the year is greater than $1,500 then the maximum amount you can deduct is $1,500. A separate deduction limit of $1,500 applies if the total of all your contributions and gifts to independent candidates or independent members of parliament for the year exceeds $1,500.
You can't claim a deduction for a political gift or contribution of $2 or more (including membership fees) to registered political parties, independent candidates and members of an Australian legislature if you make the gift or contribution in the course of carrying on a business.
The contribution must be to a political party that is registered under Commonwealth, state or territory electoral laws.
The contribution to an independent candidate or independent members must be to a candidate for election to, or member of, the Commonwealth Parliament, a state or territory parliament.
An independent candidate is an individual whose candidature in an election for parliament is not endorsed by a registered political party. An independent member is a member of parliament who is not a member of a registered political party.
Australian superannuation income stream tax offset
To complete question T2 Australian superannuation income stream 2024 when your payment summary does not show the tax offset amount:
- follow the steps below if
- you were under 60 years old, and
- you did not have a death benefit income stream where the deceased was 60 years old or older.
- read question T2 if
- you are 60 years old or older, or
- you have a death benefit income stream where the deceased was 60 years old or older.
Completing your tax return
For each PAYG payment summary – superannuation income stream that does not show a tax offset amount, you can work out your tax offset amount by multiplying the taxed element and the untaxed element of the taxable component shown on each of those payment summaries by the relevant percentage shown in tables 6A to 6C.
|
Row |
Calculation |
Amount |
|---|---|---|
|
a |
The amount of any taxed element of your superannuation income stream benefit paid to you for which you are entitled to a tax offset |
$ |
|
b |
Relevant percentage from Tables 6A to 6C |
% |
|
c |
Multiply row a by row b. |
$ |
Tables 6A to 6C: Percentages you use to work out your Australian superannuation income stream tax offset
|
Age of the deceased |
Your age at date of each payment |
Taxed element |
Untaxed element |
|---|---|---|---|
|
Under 60 years old |
Under 60 years old |
15% |
0% |
|
Under 60 years old |
60 years old or older |
Not applicable |
Limited – read question T2. |
|
60 years old or older |
Any age |
Not applicable |
Limited – read question T2. |
|
Your age at date of each payment |
Taxed element |
Untaxed element |
|---|---|---|
|
Under 60 years old |
15% |
0% |
|
60 years old or older |
Not applicable |
Limited – read question T2. |
|
Your age at date of each payment |
Taxed element |
Untaxed element |
|---|---|---|
|
Under preservation age |
0% |
0% |
|
From preservation age and under 60 years old |
15% |
0% |
|
60 years or older |
Not applicable |
Limited – read question T2. |
If your circumstances in the above tables changed during 2023–24, for example, because you turned 60 years old during the year, then a different percentage of tax offset may apply to the amounts of the superannuation income stream you received before and after your birthday; read question T2.
If you have any PAYG payment summary – superannuation income stream that shows tax offset amounts, and you were under 60 years old on 30 June 2024, add up these amounts and the amount from question T2 in worksheet 1 – row h . Write the total amount at question T2 – label S in your tax return. Don't show cents.
Tax-free government pensions or benefits and the income tests
If you receive any of the government pensions or benefits listed below, you must include at question IT3 the part of those pensions and benefits that are exempt from tax. In some cases, all of your pension or benefit could be exempt from tax, and in other cases only part of it might be.
Don't include any part of the following pensions and benefits that is a bereavement payment, pharmaceutical allowance, rent assistance or remote area allowance, or language, literacy and numeracy supplement.
Government benefits or payments you may receive are:
- Disability support pension paid by Centrelink to a person who is under age-pension age.
- Youth disability supplement if you receive a disability support pension.
- Carer payment under Part 2.5 of the Social Security Act 1991 (this is not the carer allowance under Part 2.19 of the Social Security Act 1991).
- Pension for defence, peacekeeping or war-caused death or incapacity, or any other pension granted under Part II or Part IV of the Veterans' Entitlement Act 1986.
- Invalidity service pension where the veteran is under age-pension age.
- Partner service pension where either
- the partner and the veteran are under the age-pension age and the veteran is receiving an invalidity service pension
- the partner is under age-pension age, the veteran has died and was receiving an invalidity service pension at the time of death.
- Income support supplement paid under Part IIIA of the Veterans' Entitlements Act 1986.
- A veteran payment under an instrument made under Part IIIAA of the Veterans' Entitlements Act 1986.
- Special rate disability pension under Part 6 of Chapter 4 of the Military Rehabilitation and Compensation Act 2004.
- A payment of compensation under section 68, 71 or 75 of the Military Rehabilitation and Compensation Act 2004.
- A payment of the weekly amount mentioned in paragraph 234(1)(b) of the Military Rehabilitation and Compensation Act 2004 (including a reduced weekly amount because of a choice under section 236 of that Act) or of a lump sum mentioned in subsection 236(5) of that Act.
If you are not sure, for the purpose of this question, whether a government pension or benefit you have received is tax-free, contact us.
To help you understand terms we use in the tax return instructions, Tax time definitions.