2009 Financial Stimulus Package
Where is my Tax Stimulus Payment ?
During April and May 2009 the ATO has been sending out the $900 tax stimulus payments, but some people haven’t yet received anything.
If you are one of these and are wondering why, answer the following…
- Are you an Australian resident for tax purposes ?
- Have you received your 2007-08 Tax Assessement yet ?
- Was your Taxable Income, as stated on that 2007-08 Tax Assessement under $100,000 ?
- Was your Total Tax, as stated on that 2007-08 Tax Assessement more than zero, look on the line that says “Net Amount Payable” ?
If you have answered YES to every question, then you would appear to be due for the payment, and you should confidently call the ATO.
If any answer is NO, then you may not be eligible
When do we receive the $900 cheques ?
Australian Tax Office second commissioner Jenny Granger has said:
The first cheques will be arriving in the mail on Wednesday 8th April 2009.
Payments will be made in a random order based on postcodes in order to assist the postal and banking systems.
We hope to have them all out by May 15, 2009
3rd April – Financial Stimulus Package is All OK
The Financial Stimulus Package payments are scheduled to go ahead from Monday 6th April, following the finalisation of the court hearing.
The verdict is that the payments are valid in law, and can proceed
2nd April 2009
A decision on the High Court challenge to the $900 economic stimulus bonus is now not expected until Friday 3rd April, due to a longer than expected Court Hearing.
30th March 2009: High Court Hearing begins
The High Court hearing should begin today, 30th March 2009, to determine the validity of the Personal Tax Stimulus payments
The Australian Taxation Office (ATO) Commissioner, Michael D’Ascenzo, appeared before a parliamentary Committee today and told them: “If the High Court were to rule the measure unconstitutional then I could not make the payment,”
The payments to 7.4 million Australians are due to be sent out on April 6th, but if the case is not resolved, they would be unable to pay the bonus as scheduled
19th March 2009 : The $900 bonus to taxpayers could be in question
The Federal Government’s $900 bonus to taxpayers could be in question after the High Court agreed to hear a challenge to the legality of the payment.
The case is set down to be heard for two days from March 30.
The Australian Taxation Office has told the High Court that if it is to stop printing cheques it needs to be told by the close of business on April 2.
Since the global finance crisis the Australian Government has announced two Financial Stimulus Packages, the latest one being on 3rd February 2009.
NOTE: This plan passed Government Legislation on Friday 13th 2009
The February Plan Details
The more important aspects of this latest package, for most individuals, are as follows:
- $900 to all taxpayers earning under $80,000 pa,
$600 for those earning between $80,000 and $90,000
$250 for those earning between $90,000 and $100,000.
Who is eligible for the above Payments
Anyone who is classed as Resident for Australian Tax purposes, and has paid some tax in the 2007/2008 tax year, and has a Taxable income of under $100,000, is in the current list of those to be paid. This includes Citizens, Permanent Residents and people on Temporary Visa’s.
You are eligible to receive the payment if:
- you have lodged or will lodge your 2007-08 income tax return before 30 June 2009 or if you have been granted a deferred date by the Tax Office before Wednesday 18 February 2009 and you lodge your return by the deferred date
- your 2007-08 taxable income does not exceed $100,000
- your adjusted tax liability for 2007-08 is greater than nil, and
- you are an Australian resident for tax purposes for the 2007-08 financial year.
Note: If you did not pay any Tax, after all rebates and refunds are taken into account, then you are not a “Taxpayer”, and do not qualify.
Further eligibility criteria for this may be available shortly, following any changes to the legislation .
- $900 for recipients of Family Tax Benefit part B, who are eligible as at Feb 3rd 2009
- $950 per child aged between 4 to 18 (on Feb 3rd 2009), where the parents are also eligible for Family Tax Benefit part A, as at Feb 3rd 2009.
There are various other components to this package, but the above are the main ones.
From the above it does seem possible that a person who is eligible for the FTB part B, will get the $900 Single Income Family Bonus, using that criteria, PLUS another $900, as the secondary lower income earner paying tax.
The Centrelink payments are currently scheduled to be made during 11th to 20th March for people who receive FTB fortnightly, or after they have lodged the FTB and Tax Return forms after June 30 2009, if they receive their FTB payment annually.
Tax Office Payments
The Tax Office payments are scheduled to commence on 6th April 2009, and will continue until after June, depending on when people have lodged their tax returns.
- The Solar Hot Water Rebate will be increased from $1000 to $1600 from 3rd February 2009. This rebate is not means-tested. :
Source: Energy Efficient Homes Package.
Application Forms and Guidelines will be available from the 26 February 2009. payments will be made from July 1st 2009
- The Low Emissions Plan for Renters rebate will increase from $500 to $1000
- The Government will install free ceiling insulation, up to $1,600 in value, in around 2.7 million Australian homes, from 1 July 2009.
As an interim arrangement, from today and until 30 June 2009, eligible owner-occupiers who install ceiling insulation in their homes will be able to seek reimbursement (up to $1,600) after the program commences.
Source: Media Release
People will have to choose between receiving the free insulation OR the solar rebate, they cannot have both.
One of the conditions for the Insulation plan is: “You are an Australian citizen or permanent resident aged 18 years or over”
For more information refer to the following fact sheets:
- Household Stimulus Package
- $900 / $950 Tax Bonus for Working Australians
- Single-Income Family Bonus
- Farmer’s Hardship Bonus
- Assistance with Education – Back to School Bonus
- Training and Learning Bonus
- Building the Education Revolution
- Small Business and General Business Tax Break
- The Energy Efficient Homes Program
- $6.4 Billion Public and Community Housing
- Additional Defence Housing Construction Program
- Additional Investment in Black Spot Program
- Boom Gates for Rail Crossings
- Repairing Regional Roads and Funding for Community Infrastructure