Revealed: Why your $1080 tax bonus will never reach your bank account - and how it's being used to pay off your debts
- Taxpayers may not receive the bonus because it's being paid to Centrelink debts
- The $1080 tax refund was offered to those earning between $48,000-$90,000
- Many taxpayers didn't know they owed debts until after lodging their returns
Taxpayers across the country lodged their tax returns early in the hopes they would receive the $1080 bonus, but the cash may never reach their bank accounts.
The Australian Tax Office is instead sending the money to the Department of Human Services where it'll be used to pay off people's child support or Centrelink debts.
Many taxpayers weren't even aware of the debts they owed until after they lodged their return.
The $1080 tax refund was offered to those earning between $48,000 and $90,000 but some won't receive the money because they owe Centrelink or child support debts
'A lot of people spend that money before they get it. You get your notice of assessment saying this has been forwarded to the Department of Human Services, and only then a few weeks later you get a letter from Centrelink,' Carbon Group partner Michelle Maynard told News.com.
Ms Maynard said that the $1080 wasn't just a cash bonus, but was included in people's final tax repayments.
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'There are definitely a lot of misconceptions. People think it's like the Kevin Rudd payment, we all just get it into our bank account, but it's not. It's a non-refundable tax offset,' she said.
Not everyone was even eligible for the tax offset, with those earning between $48,000 and $90,000 the only ones receiving the full amount.
Families are asked to give their estimated taxable income for the year and if it's more than expected, the government will work out how much was overpaid.
The tax office gave around 4.5million workers the full cash refund while 10million received some portion of the offset
Ms Maynard said it was important to update Centrelink if your income was going to change from what was given to the government at the start of the year.
'You may have gotten a pay rise or done a lot of overtime. Make sure you're being proactive and keeping in contact with Centrelink so they can adjust your payments.'
The tax office gave around 4.5million workers the full cash refund while 10million received some portion of the offset.
