Tax offsets - sometimes referred to as rebates - are not the same as tax deductions. Offsets directly reduce the amount of tax you must pay. Each dollar of tax offset reduces your tax payable by a dollar regardless of your taxable income.
Seniors and pensioners tax offsetIf you have reached the age pension age, the seniors and pensioners tax offset allows you to earn more money before you have to pay tax or the Medicare levy. There are a range of eligibility conditions which relate to age, income and eligibility for Australian government pensions or allowances.
Low income offset
You may be eligible for a tax offset if you are a low income earner. You don't have to claim this offset - we will work it out for you when you lodge your tax return - but our low income tax offset calculator will help you determine whether or not you are eligible for an offset.
Medical expenses tax offset
You may be eligible to claim a percentage of your net medical expenses over the set threshold. There is no upper limit to the amount you can claim but the threshold is indexed and changes every year.
From 1 July 2012 your income level affects eligibility and entitlements for this offset.
Australian superannuation income stream tax offset
If you have income from an Australian superannuation income stream, you may be entitled to a tax offset if you are either receiving a disability superannuation benefit or death benefit income stream; or you are 55 years or older.
For more information please visit https://www.ato.gov.au/Individuals/Seniors-and-retirees/Tax-offsets/