Family tax

Family Tax Issues

Australian families may receive tax benefits when lodging an income tax return. This can be achieved by claiming rebates (tax offsets), or by qualifying for a reduced Medicare Levy. Families may also be assessed for their eligibility to receive family tax benefits from Centrelink.

Rebates (Tax Offsets)

For the purpose of claiming tax rebates, someone is dependent on you when:

• the dependent lives with you
• you provide the dependent with food, clothing and shelter
• you help them financially

Dependent Spouse Offset

If you had a spouse who earned very little or no income, you may be eligible to claim a rebate up to $1,610.

Child-Housekeeper Offset

If you had a child who was dependent on you and also kept house for you on a full-time basis, you may be able to claim a rebate up to $1,610.

Housekeeper Offset

If you employed a full-time housekeeper to look after your dependent children, spouse or relative and the housekeeper was responsible for the daily running of the household, you may be entitled to claim a rebate up to $1,610.

Medical Expenses Offset

Any excess of net medical expenses over $1,500 are eligible for a 20 cents in the dollar rebate. Net medical expenses are total medical expenses less any refunds from a private health insurance fund or from Medicare.

Parent, Spouse's Parent or Invalid Relative Offset

If you look after a dependent or invalid relative, you may be eligible to claim a rebate up to $1,448 for each dependent parent and $725 for each dependent invalid relative.