Tax form to receive tax return periodically through the year

[TEG]

Hi Guys,

I am trying to find the name of the tax form that I have to fill in to allow me to receive my tax return periodically throughout the year, rather than one big lumpsum tax refund at tax time.

I think if your properties are I/O, you can estimate the tax return you will receive and elect to receive the tax return spread throughout the year as an increase in every paycheck. The idea is that it increases cashflow throughout the year, rather than having to wait the entire year for the big tax refund.

I know you or your accountant needs to fill it in and advise your PAYG employer of this.. i just can remeber the name of the form.. i checked the ATO website and tried searching this forum, but can't find it.

thanks!!

 

[pinkboy]

Income Tax Variation Witholding. Not sure of the actual number/Name of the form.

pinkboy

 

[Rob Williams]

http://www.ato.gov.au/docs/formflow/forms/nat2036.htm

 

[Jake D]

This?

http://www.ato.gov.au/individuals/content.aspx?doc=/content/00188348.htm

 

[Burramys]

I’m advised that if a taxpayer is not in the PAYG system then there is no provision for tax return refunds throughout the year. One must wait until the tax return is submitted for such refunds. So, if you are self-employed or have all income from investing of any persuasion, tough. I'd love to be wrong on this.

 

[pinkboy]

I’m advised that if a taxpayer is not in the PAYG system then there is no provision for tax return refunds throughout the year. One must wait until the tax return is submitted for such refunds. So, if you are self-employed or have all income from investing of any persuasion, tough. I'd love to be wrong on this.

I think you are pretty right, I am self employed and derive income from investing, so Im told that counts me out!

pinkboy

 

[HotRod]

I’m advised that if a taxpayer is not in the PAYG system then there is no provision for tax return refunds throughout the year. One must wait until the tax return is submitted for such refunds. So, if you are self-employed or have all income from investing of any persuasion, tough. I'd love to be wrong on this.

That makes sense.

As a wage earner your employer must deduct tax, so you get paid after tax is taken out. With most PIs making a paper or real loss you can reduce your tax each pay with the ITVW.

If you are one of the lucky PIs that earn your income from IP you will probably have to submit quarterly PAYG forms to the ATO. So you pay tax after you receive the rent, thus you have up to 3 months use of the tax, or 12 months if you can pay annually.

So as a PI earning all income from IP, you don't get a reduction in the tax taken out, you end up paying a quarter of your expected annual tax each 3 months.

 

[TEG]

Thanks for the replies.

 

[Crabnet]

That makes sense.

As a wage earner your employer must deduct tax, so you get paid after tax is taken out. With most PIs making a paper or real loss you can reduce your tax each pay with the ITVW.

If you are one of the lucky PIs that earn your income from IP you will probably have to submit quarterly PAYG forms to the ATO. So you pay tax after you receive the rent, thus you have up to 3 months use of the tax, or 12 months if you can pay annually.

So as a PI earning all income from IP, you don't get a reduction in the tax taken out, you end up paying a quarter of your expected annual tax each 3 months.

That's right but there is provision on the back of the quarterly form to vary the rate.
http://www.ato.gov.au/content/downloads/IND00155863.pdf
So you can either pay the ATO calculated instalment or calculate your own amount with the risk of paying the general interest charge if your calculations are out by too much on the down side.