Itwv

[spooky]

Hi All


Havejust received conformation of this years Income Tax Witholding Variation. Despite haveing atleast another $15,000 to go into depreciation in the coming year than last year I still have only had my rate reduced to 13% tha same as last year and the year before. By my reckoning it should be nearer 5%.

Q Does everyone with a reasonable amount to to claim back only get a reduction down to 13%?

 

[Alex Investor]

Hi spooky,

I am at 8%.

Alex

 

[Pete]

Spooky,

It will depend on the time of year that your application was made.

For example, if your application was done in May, you might be at 13% because it will apply for the full 12 months as it will be in effect come 1 July.

If you make application in July, the ATO might calculate that on the basis of, say, your first two fortnightly pays already contributing $2,000 tax by the time the variation takes effect, that the rate would be 8% for the part of the year left, say 11 months.

I'm smiling, I'm at 0% for the whole year