21 October 2020Share
On 6 October 2020, the Australian Government introduced personal income tax cuts as part of the 2020–21 Budget. These tax cuts bring forward legislated personal income tax cuts from 1 July 2022 to 1 July 2020.
The Australian Government has recently legislated tax cuts that were announced in the 2020 Federal Budget. Updates to the payroll system have occurred and, if you're eligible for a tax cut, the amount of income tax withheld from your fortnightly pay will be slightly less for the remainder of the financial year, so you'll take home a little more pay as a result.
As the tax cut are retrospective, any income tax withheld at the old rate, prior to 13 October 2020, will be adjusted by the Australian Taxation Office (ATO) at the time of your 2020-2021 tax return.
You may have noticed the change in your pay this week as we have adjusted the tax tables in Aurion, our payroll system, and this update is in effect from this pay fortnight.
For further information you can visit the ATO website to view the new thresholds and tax rates.
There is no need to complete any forms to receive the tax cut as it applies automatically, but you might decide to submit a tax variation based on your personal circumstances. You can submit a tax variation using the Tax Declaration and Variation form available in Staff Connect. For help completing this process, see the Tax Declaration and Variation Self User Guide.
*The information provided above is general in nature and does not take into account your overall financial situation. You may need to seek advice from a tax professional.
Visit Service Central to access Corporate Services.