Money Doesn’t Come Without Guidance ...


Awesome Image

Tax File Number (TFN) is a unique number that helps you decide the amount of tax you need to pay and permits you to submit it in time every year to ATO. If you are running your own business in Australia, you need a unique number for ascertainment of your business as well as easy submission of taxes as a business, this is called the Australian Business Number (ABN).

As an investor in Australia you are not necessitated to quote in some circumstances or may choose not to quote a TFN or ABN. But if you claim an exemption, your investment must be included in the AIIR (Annual Investment Income Report) along with relevant income information. The exemption is available for children under 16, non-resident investors, and pension and benefit recipients.

You can claim an exemption from quoting ABN or TFN if it is either of the following:

  •  If it is a non-profit organisation that resides in Australia and the taxable income is equal or less than $416 per annum;
  • If it is a non-profit organisation such as a charity, club, society or association, with an exempt income under the tax law.

The income tax law does not require any statement or certificate from ATO to prove your status to your investment body. But you must advise your investment body if both of the following apply to your organisation:

  • If the organisation claimed an exemption from previously quoting a TFN; 
  • If any change occurs in its tax status. You can claim a refund or exemption directly from your investment body or ATO based on circumstances. To claim the exemption from ATO you need to fill up the application form and must submit it before 30th June of the financial year.

Comments 0

    Currently, there are no comment.

Login to comment

Latest Posts

Popular Post

We provide the fastest, easiest and most effective online tax return solution