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Urgent Reminder for Australian Families: Confirm Your Income to Avoid Missing Out
Services Australia General Manager Hank Jongen has called upon families across Australia to validate their income for the 2023-24 financial year.
In a striking comparison, Jongen noted that neglecting to confirm income with Centrelink is akin to leaving money unattended on one’s front porch. Over 170,000 families receiving Family Tax Benefit (FTB) and approximately 240,000 receiving Child Care Subsidy (CCS) may risk losing out on valuable funds due to inaction.
Key Points to Consider:
- The deadline for confirming your family income is June 30, 2024.
- Families who do not confirm their income risk missing out on possible refunds, top-ups, or arrears.
Australia’s Services Australia has actively reminded families about the need to confirm income via letters, yet many continue to delay.
Consequences of Failing to Confirm Income
If families fail to act, they face several repercussions:
- Repayment Obligations: You may have to pay back some or all of the FTB received during the 2023-24 period.
- Loss of Payments: Any potential supplementary or arrears payments could be forfeited.
- Impact on Future Claims: Late confirmations will hinder your ability to lodge lump sum claims after June 30.
- CCS Payments Suspension: Families will see their CCS payments cease, and those eligible will face a complete reduction from 7 July 2025, resulting in full child care fees.
How to Confirm Your Income
To confirm your family income for the 2023-24 financial year, you and your partner (if applicable) need to file your 2023-24 tax return with the Australian Taxation Office (ATO).
If you’re not required to lodge a tax return, confirm your family income by notifying Services Australia via your Centrelink online account through myGov or the Express Plus Centrelink app. Those using the app can find the option under "More", followed by selecting "Advise tax non-lodgement".
Should there be any uncertainty about your need to lodge a return, reach out to the Services Australia Families line for advice.
Annual Income Balancing
Services Australia performs an annual comparison between family income estimates and actual incomes at the end of the financial year—a process known as balancing. It’s common for families to overestimate their incomes, often resulting in receiving a top-up or supplement payments at the year’s end.
For additional information, families can consult the Services Australia website.
Conclusion
It is crucial for families receiving government benefits to be proactive in managing their accounts with Services Australia. By confirming your income before the June 30 deadline, you can ensure you receive all available entitlements and avoid unnecessary financial penalties. The clock is ticking, so act promptly to avoid leaving money on the table.
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