|
|
|
|
|
This section contains information on:
Act reference: SSAct section 23(1)-'taxable income'
Taxable income is the amount of assessable income received, or gross income MINUS any allowable deductions.
The ATO assesses taxable income and advises taxpayers of the amount each year on a TNA. This amount is used to assess taxable income for family assistance payment purposes.
If a person, or their partner (1.1.P.70), has not had their income assessed by the ATO, they may provide an estimate of their taxable income. Even when the income is below the tax threshold, currently $6,000, it is classed as taxable income and assessed for family related payment purposes.
Example: A person has a taxable income of $25,000 from employment. The person's partner has an estimated $4,000 income from investments. The partner would not have paid tax on the investment income as it is below the tax threshold. The income, however, is taxable and is added to the person's taxable income, resulting in a combined taxable income of $29,000.
_______________________________________________________
Last reviewed: 1 July 2010
