For the period between 1st July 2011 to 30th June 2012, the Australian Tax Office has set in place a Flood Levy Tax exemption. Contractors/employees affected by Flood and Cyclone may be exempted from paying the flood levy. If you believe you are eligible, more information is available via the ATO website: www.ato.gov.au/businesses/content/00280175.htm

If you meet the ATO requirements, you have two options:

Step 1

Complete the Flood levy exemption declaration form and send it to your employer, as this will let your employer know that you are exempt from paying the flood levy. Your employer will then vary your tax amount downward to exclude the flood levy and you will have less tax taken out of your regular pay.

If you earn over $50,000 and do not complete the form, your employer will include the flood levy and you will have more tax taken out of your regular pay.

The Flood levy exemption declaration is included in your paperwork or you can download this publication in Portable Document Format (PDF) – at the website above – document - NAT 73797, PDF, 145 KB.

If you choose to complete this form then it must be returned to:

Clarius Payroll Department

Level 14, 1 York Street

Sydney NSW 2000

Or once completed and signed it can be scanned and emailed to: FLE@Clarius.com.au

Step 2

When you lodge your 2012 income tax return, you need to confirm with ATO that you were exempt from paying the flood levy by completing the flood levy question.

The ATO will then exclude the flood levy when they calculate your tax payable amount and refund you any flood levy overpayment you may have made during the year.

This means that you may receive a larger tax refund, or have a lower amount payable, than would otherwise have been the case.