Lump sum tax offset is Tax on taxable income less tax on income rather than Lump sum A less tax on Lump sum A.
The offset is the difference between the marginal rate on the income and 30%.
Related link: ATO Superannuation Threshold
Lump sum tax offset is calculated based on "3 Employer lump sum payments", "4 Employment termination payments". and "8 Australian superannuation lump sum payments". Learn more from the ATO
Calculation of Lump sum tax offset is rather complex. If user thinks that something is incorrect he can lodge the return and wait for the NoA (about 1-2 weeks after lodgment) with correct amount.
The refund value in LodgeiT is calculated by an algorithm we build. If the ATO estimate is different, we will need to investigate.
Please help us further check this, kindly supply the following:
- Proof which should consist of a set of calculations and the related relevant legislative / ATO link.
- Form Copy / download
- Form URL's
Sample - https://go.lodgeit.net.au/organisations/724446/tax/forms/4174664/Estimate
Reference of relevant legislative / ATO website sources describing the formula/algorithm.
Note: Lump sum tax offset cannot be edited manually. If user thinks there should be other amount, then they may proceed with lodgment, wait for NoA and if ATO calculated another amount, then user can send it to us for investigation of discrepancy.
The Lumpsum D, the Lump sum D amount is not required to be reported in the ITR form, because it is not taxable.
