The Low income tax offset calculator will help you determine your eligibility, and calculate the amount of low income tax offset you are entitled to for the 2009-10, 2010-11 and 2011-12 income years.
2011-2012 Low Income Tax Offset “LITO” Formula The Low Income Offset is available when your taxable income is less than $67,500 in the 2011-2012 tax year. The low income tax offset amount reduces at a rate of 4 cents per dollar of your income over $30,000.
The full Low Income Tax Offset is $1,500 in 2011-2012.
LITO FORMULA 2012-2013(Also applies for 2013-14, 2014-15)
With effect from 1 July 2012 the full offset is $445, with a withdrawal rate of 1.5 cents per dollar of income over $37,000, such that it cuts out at $66,667.
Here’s the calculation table:
Taxable Income
LITO Offset 2012-13
$0 – $37,000
$445
$37,001 – $66,667
$445 – [(taxable income - $37,000) x 1.5%]
$66,667 +
Nil
From 1 July 2015 the LITO is $300 with a 1 cent per dollar withdrawal rate on incomes over $37,000