Lower Tax Tables Not Updated for those with Study and Training Loan?

Lockdude on 25/10/2020 - 20:09

Hi everyone,

I'm wondering if you could clear something up for me which I'm struggling to find through Google.

Everything I read about the lower tax thresholds doesn't mention anything about people with study debts. However, when you look at the tax tables for employers it notes that "The following tax tables were not updated but continue to apply from 13 October 2020." and lists those with study and training support loans.

I myself have a HELP debt. I'm wondering, does that mean the lower tax is not eligible for me? Or is there some accounting thing I'm missing here, where these rates do apply to me, but it's either sucked up into my HELP debt or I just get that money back at tax time next year?

Financial

Comments

  • argonide on 25/10/2020 - 20:20
    +1

    So your tax withheld has two components:
    1. Income tax which is affected by the budget and the tax table is listed under "Regular payments" in the tax tables that were updated.
    2. HELP repayment which didn't change in the budget and so it's listed in the tax tables which were not updated.

    • Lockdude on 25/10/2020 - 20:37

      So, I understand that part. Have I maybe just misread the tax tables? I thought the help debt tax table took into account both those items you list. Am I mistaken?

    • Lockdude on 25/10/2020 - 20:43

      Okay, I see now. I read advice from an employer saying there'd be no update to my girlfriend's wage. I can now see the employer has misunderstood things. Thanks.

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