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Zen, The form that is used to reduce tax on a weekly basis is called 2005 PAYG Income Tax Withholding Variation (ITWV) application.
The form number is NAT5422-03-2004.
I think the form that is to be used this year will start with 2006 PAYG etc. A new form is brought out each year in April or May.
This form can filled out on the website and electronically lodged.
It is desirable to have all your details to hand.
Name and adress of property, date purchased, all your estimated income from all sources as well as estimated expenses. You will need details of your employer’s address and telephone number.
You have to be careful in estimating as there is a penalty where you overestimate by more than 15%. It is better not to estimate all your expenses and only use the major ones eg interest on the loan.
Similarly with the income be very careful to take in expected pay increases etc.
This appication is in effect an early estimate of what your 2005/2006 tax return will show. The ATO does not like reducing income tax deducted without due care being taken in presenting the figures.
Your employer receives the advice approving the reduction in tax withheld. It is a percentage figure.C W Woodhouse
Hello Clueless,
The unfranked dividend is shown in your income tax return at item 11 S. There is no credit for imputation credit on this amount. The company has not paid any tax for this dividend for whatever reason.Franked dividends are the ones that will have imputaion credits.
You can claim the interest on borrowed funds for shares purchased to receive dividends. this is laimed at item D7 -Interest and dividend deductions.
As a further piece of information. Item 11T is where a franked dividend is recorded an itm 11U is where the imputation credit is recorded.
When working out your tax calculation the amount of imputation credit is deducted off the amount of tax due.
I am using the item numbers in the 2004 tax pack.C W Woodhouse
