Taxation Administration Act 1953 - Withholding Schedules 2005 (2004 Budget Changes)
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Examples
Full exemption from the Medicare levy
The payee has weekly earnings of $518.40. Round the earnings down to the nearest dollar. Find $518 in column 1 and read off the corresponding amount to be withheld of $84.00 from column 2.
If the payee claims FTB or a tax offset of $500 on the Withholding declaration, find this amount in the Ready reckoner for family tax benefit and tax offsets. Read off the corresponding value of FTB or tax offset of $10.00. Subtract this from $84.00 and the result of $74.00 needs to be withheld.
Half Medicare levy exemption
The payee has weekly earnings of $430.90. Round the earnings down to the nearest dollar. Find $430 in column 1 and read off the corresponding amount to be withheld of $58.00 from column 3.
If the payee claims FTB or a tax offset of $1,000 on the Withholding declaration, find this amount in the Ready reckoner for family tax benefit and tax offsets. Read off the corresponding value of FTB or tax offset of $19.00. Subtract this from $58.00 and the result of $39.00 needs to be withheld.