Flood Levy – How it Will Affect You
From our February 2011 issue
The government announced recently that it would be imposing a flood levy on Australian taxpayers to help with the cost of rebuilding damaged or destroyed infrastructure in flood-affected areas in Queensland, Victoria and New South Wales.
The levy will be applied over the financial year ending 30 June 2012 and will be calculated based on your assessable income in that income year.
Taxpayers who were affected by the floods or earn less than $50,000 will be exempt from paying the levy.
Broadly, the levy will be applied as follows:
• Assessable income greater than $50,000 but less than $100,000 will attract a levy of 0.5%.
• Assessable income greater than $100,000 will attract a levy of 1%.
The following table illustrates how much flood levy you will have to pay depending on your assessable income in the 2012 income year.
| Assessable Income | Flood Levy ($) |
| $50,000 | 0 |
| $100,000 | 250 |
| $150,000 | 750 |
| $200,000 | 1,250 |
While this levy has been announced by the government, it needs to pass both Houses of Parliament before it can be imposed.
This information is for guidance only and is not intended as specific advice to any reader. Professional advice should be obtained before acting on any information contained herein. The publisher accepts no responsibility for loss occasioned to any person or organisation as a result of action or the refrain of action as a consequence of the contents of this publication.