Income Tests
The major change in this year’s tax returns is the inclusion of a number of income tests to determine your eligibility or liability for items such as certain tax offsets, some Government benefits, the medicare levy surcharge and HELP repayments. These tests will involve the calculation of a new concept known as your adjusted taxable income (ATI). The ATI will include your taxable income plus fringe benefits, reportable superannuation contributions, any tax-free pensions, net investment losses and target foreign income less any child support paid. The ATI will be calculated for yourself AND your spouse or partner where applicable.
Confused?? Many people are, but not the tax consultants at ITP. Don’t take the risk of missing out on your entitlements, or worse, paying too much tax. Get the professionals at ITP to look after your 2010 return.
