Hi, I previously had 2 jobs. I resigned from the one with which I had selected the tax-fee threshhold, and was paid out a large leave balance equal to about 40 weeks pay (which was taxed at 25%) .
I still have the other job, for which I have not claimed the tax-free threshhold.
I would prefer to avoid a tax bill at the end of the year. When should I change it to the tax-free threshhold?
Hey @NikArs
Generally, you should simply change which employer you are claiming the tax-free threshold with once you drop down too only having one job. This is because your prior employer would have withheld tax to cover any required lump sum amounts. If you are worried about getting a tax bill at the end of the year, you can hold off on advising your remaining employer too to have some extra tax withheld, but there’s no specific time frame of when you need to do this.
To change where you are claiming the tax free threshold complete the withholding declaration.
Hey @NikArs
Generally, you should simply change which employer you are claiming the tax-free threshold with once you drop down too only having one job. This is because your prior employer would have withheld tax to cover any required lump sum amounts. If you are worried about getting a tax bill at the end of the year, you can hold off on advising your remaining employer too to have some extra tax withheld, but there’s no specific time frame of when you need to do this.
To change where you are claiming the tax free threshold complete the withholding declaration.
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