Changes to family tax benefits

If you want to get the most out of Australia's tax and social security system, you need to keep up to date with its constant changes. This is once again the case in 2011-12 due, in part, to the fact there are a string of useful new benefits that are already relevant today, rather than simply at the end of the financial year.

For families, the changes apply to the education tax refund, childcare rebate and Family Tax Benefit A. In the case of the former, which refunds 50% of selected education costs up to preset maximums, the main change is the fact the cost of school uniforms is now included.

Those receiving a childcare rebate, which pays for up to 50% of a family's out-of-pocket expenses for childcare up to an annual cap, now have the option of having the rebate paid at the time they incur the childcare costs rather than wait until the end of the financial year to claim it.

Changes to Family Tax Benefit A also mean part of the benefit can be brought forward, up to a maximum of $1000 a year.

Age pensioners benefit from a more generous work test that allows those still in the workforce to earn up to $250 a fortnight above the income test threshold before their pension is affected.

Pensioners who do seasonal work can accrue up to $6500 in credit for any unused amount of the $250 fortnightly exemption.

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