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Reclaiming HECS repayments?

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Newbie

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Replies 1

This year, my employer withheld $40 of my income as HECS-HELP Component repayment. While I may have made over the threshold that week, I did not make over the yearly threshold for repayments (casual worker). Am I able to claim this back? In my payslip, this repayment comes under a ‘Tax’ subheading, along with ‘PAYG TAX’. As such, I have included it in my ‘tax withheld’ figure on my tax return. Is this correct?
1 ACCEPTED SOLUTION

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Best answer

Taxicorn

Replies 0

The money taken out is not used to immediately repay your debt but held as a credit by the ATO until you lodge your tax return at the end of the financial year.

 

Once your correct taxable income and repayment income is known any credit that is not needed to pay back any additional tax payable or government debts will then be used to repay the debt. Any surplus or shortfall will then be credit/debit to you.




1 REPLY 1
Highlighted

Best answer

Taxicorn

Replies 0

The money taken out is not used to immediately repay your debt but held as a credit by the ATO until you lodge your tax return at the end of the financial year.

 

Once your correct taxable income and repayment income is known any credit that is not needed to pay back any additional tax payable or government debts will then be used to repay the debt. Any surplus or shortfall will then be credit/debit to you.