If you live or have worked in a remote area of Australia during the year you may be entitled to the zone tax offset. To qualify for the offset you must have lived or worked in a remote area (not necessarily continuously) for:
– 183 days or more during the current income year; or
– 183 days or more in total during the current and previous income years – but less than 183 days in the current year and less than 183 days in the previous income year – and you did not claim a zone tax offset in your previous year’s tax return.
Remote areas are classed as either Zone A or Zone B and there are also Special Areas within these zones. The Australia Taxation Office website has an Australian Zone list for you to determine which area you fall under.
Calculating the amount of Zone Tax Offset you will receive can be complex as it is based on your dependents and their income and whether you lived in different zones throughout the year. Below is the table showing the offset amounts for the 2013-14 year.
Tax Offset Amounts