The payments are treated as taxable supplies for GST purposes (RCTI from DPI) in that the payments relate to a legal obligation to not undertake prawning activities in the Clarence River for 2 years. I can't find any explicit announcements that say it is NANE income.
Hi @ACCT,
No, an Act of Grace payment isn't taxable. As it's not classed as ordinary income. No need to include it in your tax return.
Check out ATO ID 2004/512 that confirms this.
Hi @ACCT,
No, an Act of Grace payment isn't taxable. As it's not classed as ordinary income. No need to include it in your tax return.
Check out ATO ID 2004/512 that confirms this.
Thank you.
22 Apr 2024 · 6 min read time
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