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6 July 2023

Hello there,

 

 

 

When I got hired into a new job I didnt have much understanding of TAX free Threshold and I selected NO as an answer which means; I do not wish to claim TAX free Threshold. But now my co-worker and I compared our payslips to check the earnings and TAX withheld but I paid heaps more than my co-worker although we earned same amount in that year. I am now worried, and unsure how to fix that? My friend told me you can claim that back in your current Income TAX Statement. Can anyone please advise on that ? Is there any chance I could claim that in my tax return? I have today given my employer a new Tax Withholding Declaration form to claim the tax threshold for the future.

Cheers!

 

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1,516 views
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Most helpful reply

TeddyATO(Community Support)Community Support
10 July 2023

Hello @Paulamarpal,


This is a fair common occurrence when it comes to the withholding declarations. So if you are an Australian resident for tax purposes and eligible for the tax free threshold then it just means you have had extra tax withheld for your return. If that extra withholding isn't required in your return then it will end up as a credit. As long as you don't have a debt with us then it will be refunded to you. You have already done the important part and which is update your situation with your employer which will fix your future returns.

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Most helpful reply

TeddyATO(Community Support)Community Support
10 July 2023

Hello @Paulamarpal,


This is a fair common occurrence when it comes to the withholding declarations. So if you are an Australian resident for tax purposes and eligible for the tax free threshold then it just means you have had extra tax withheld for your return. If that extra withholding isn't required in your return then it will end up as a credit. As long as you don't have a debt with us then it will be refunded to you. You have already done the important part and which is update your situation with your employer which will fix your future returns.

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I didn't claim the tax-free threshold, how do I get the extra tax back? | ATO Community