If my son paid $1,390 in tax last year, should he receive the
stimulus package?
Q.
My 19 year old son is a fulltime third year apprentice motor
mechanic. His taxable income for the year ending June 2008 was just
under $11,000. He received a tax refund cheque of $1,390 which
represented all the PAYG deductions taken out through the year. He
has been looking forward to receiving the government stimulus
payment of $900, however has been told that he is not eligible
because he paid no tax last year. Is this correct? It seems so
unfair for someone on such a low wage.
A.
I suggest he makes further enquiries at the tax office because
on the information supplied he should be eligible for the stimulus
package. It appears that his employer has made larger than
necessary tax deductions and he should not be penalised for
this.