Tax-fee threshold

Tax-fee threshold

The ATO has updated its document titled ‘When you have income from two payers’ reminding taxpayers who receive income from two employers that they are entitled to claim the tax-free threshold for more than one payer at the same time.

This update by the ATO reflects the increase in the tax-free threshold from $6,000 to $18,200 from 1 July 2012.  However, the ATO has made it clear that taxpayers considering this strategy must be certain that their taxable income for the year in question will be no more than $18,200.