Low Income Tax Offset (LITO)

LITO stands for the Low Income Tax Offset – A tax offset available to all taxpayers on lower incomes.

Set out below are all SuperGuide articles explaining Low Income Tax Offset (LITO).

No tax in retirement because you SAPTO (updated rates)

This article is updated annually with new rates, or updated periodically to highlight changes (if any) to the Seniors & Pensioners Tax Offset (SAPTO) rules. This article includes SAPTO rates for the 2015/2016, 2014/2015, 2013/2014, and 2012/2013 years, and SATO rates for the 2011/2012, … [Read more...]

No income tax cuts for 2015/2016 year

Way back in 2011, the former ALP government announced income tax cuts that took effect from July 2012. At the same time, they also announced further income tax cuts that were planned from 1 July 2015 (for the 2015/2016 year onwards).During 2013 however, the former ALP federal government … [Read more...]

Super for beginners, part 25: Is super worthwhile if I’m earning less than $37,000?

Q: Great site! Lots of excellent information. I now work part-time, earning just under $37,000, and wondered whether I should bother with super. I am pretty sure I will get the Age Pension, and based on my income I reckon I would be better to save outside super and pay less tax, rather than have my … [Read more...]

Super for beginners, part 3: Why aren’t my super contributions tax-free?

Q: I checked my statement and I put an extra $10 per week into my super and each time an amount is put in, it has been taxed. Is this right? I thought that my contributions were tax-free?I’m not certain if you’re asking:whether you pay any tax at all when you use your income to make super … [Read more...]

Australian income tax rates for 2015/2016 and 2014/2015 years

The tax rates applicable for the 2015/2016 financial year, and for the 2014/2015 financial year are set out in the tax tables below (lists the tax brackets and individual tax rates). We have also included the tax brackets and individual tax rates for the 2013/2014, 2012/2013 and 2011/2012 years at … [Read more...]

Federal Budget May 2012: At a super glance

On 8 May 2012, Federal Treasurer Mr Wayne Swan released the 2012/2013 Federal Budget promising to deliver a $1.5 billion surplus.Mr Swan announced the following superannuation-related changes:Super contributions surcharge for high-income earners. Doubling of the contributions tax to 30% … [Read more...]

SATO: Cutting seniors tax via super contributions no longer possible

Q: I am attempting to work out when the 30% tax rate applies to both my wife and my own incomes for the 2010/2011 year. We are both 67 and operate a SMSF to which we can make concessional contributions, and I would like to reduce personal income to the point below which 30% tax rate … [Read more...]