Salary was for 8 months of work which ended in February (it was a one year contract that started in the previous tax year - our tax years run 1st July to 30th of June in Australia). Australian dividends is pretty self-explanatory - but it doesn't include dividends earned through mutual fund (managed fund/unit trust) structures. These are included in the next item "distributions from trusts". That figure doesn't include foreign income or capital gains distributed by the funds. My net capital gain was zero. I now have an $A80k capital loss carry forward. So I'm not expecting on paying any capital gains tax any time soon. Assessable foreign source income included foreign dividends etc. and also money I earned from overseas as a consultant.
On the deduction side the biggest items in Australian dividend deductions is margin interest. But I also included computing costs etc. here. Supplement deductions are mostly foreign margin interest.
We then compute the gross tax liable using the standard tax rates. My marginal rate is formally 31.5%. But then I should be eligible for a $819 low income tax offset! After that the tax payable is $6,390.
This is offset by almost $2,000 of tax credits. These are mostly "franking" or "imputation" credits that account for the corporation tax paid by Australian companies who paid dividends to me. Australia is one of the few countries that still has this system of "see through" taxation. As a result my net tax liability was $4,405 according to my calculations or 10.4% of my taxable income of $42k.
But $8,565 was withheld from my salary. So I should get around $4,160 as a refund.
There are no state income taxes in Australia so that is my total income tax bill/refund.
For last year's numbers follow this link.
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