THE BIG FREEZE swept over Warrandyte as the Tennis and Junior Football organisations helped raise awareness and funds for Motor Neurone Disease.
An intuitive initiative by the tennis club allowed them to run their own ice bucket challenge at the tennis courts.
The installation of their new irrigation system forced the club to load up buckets of water for general use around their rooms and courts and inspired by a “waste not want not” mentality, the club announced that they would be holding their own Big Freeze event with their excess water.
Warrandyte Community Bank representatives Adrian Yong and Dee Dickson were in attendance and with the help of junior players Hamish Pattenden, Oliver Liu, Callum Aldenhoven and Harvey Arifovic, were granted the pleasure of tipping the buckets of ice-cold water over the brave participants.
The dunkees in question were none other than Craig Haslam, Ariel Paterson, Wayne Bradford and Maree Neil who were suitably soaked in the name of a good cause.
The outstanding effort by the club raised $210, making their mark for an important cause.
Over at Warrandyte Reserve, the Junior Football club’s round eight home game were a “true blue success” as the club also joined in to #FightMND.
The Under 15 side donned the classic blue MND socks in their game while the club put up a host of MND merchandise for sale to raise funds with as many as 100 beanies snapped up by supporters.
It was a fantastic show of support for MND Round by Warrandyte’s sporting organisations in a strong community display that all involved with should be proud of.
Recycling: increasing costs and new initiatives
OUR ARTICLES on recycling in recent issues of the Diary have met with much interest. Our ongoing look at the issue has garnered feedback from both residents and government alike, but sadly, not the recycling companies themselves.
The separate Manningham and Nillumbik Council meetings on June 25 each made reference to these councils signing deeds of amendment to their contracts with Visy Recycling and SKM Recycling respectively to amend the pricing for delivery of recyclables to these operators.
This comes as a consequence of China’s restrictions on imports of foreign waste, although the specific details in both instances were
confidential and held in closed meetings.
Manningham does not accept soft plastics in the recycle bin.
Nillumbik Council has confirmed with the Diary that it is accepting soft plastics in a tied bag in the recycle bin, whereas SKM Recycling’s website tells us that no soft plastics are allowed.
We are advised that Nillumbik Shire Council is one of four councils currently participating in a trial project to collect and recycle soft
plastics in kerbside recycling bins.
The remaining Councils that send recycling to SKM do not have this arrangement.
After the bags of soft plastics are collected, they are sorted via manual picking or optical sorting technology, compacted, baled and sent to a plastic recycler either locally or overseas for recycling into a range of items including other soft plastics, street furniture and children’s toys.
This trial is currently being reviewed by the partner councils and Metropolitan Waste and Resource Recovery Group in light of data
collected over the past 18 months and the current challenges in Victoria’s recycling industry, and will continue until further notice as the review progresses.
Co-mingling and sorting
Whilst welcoming the initiative to start recycling soft plastic, for this writer, who already sorts waste into
landfill (red), recycling (yellow), garden big stuff (green) and food, ash, lawn clippings, leaves into our own compost bin which makes wonderful nourishment for our garden, the need to further segregate soft plastics became somewhat of a logistical problem.
We tried hanging a plastic bag in the kitchen waste cupboard, but there was no room and it got in the way, so we hung it outside by the bins and the contents blew all over the garden in the next gale!
Councils do not sort rubbish; they pick it up and deliver it.
This means that the sorting of rubbish is done either by the householder at one end of the chain or the recycling company at the other.
Recycling companies are noting that the mixing of glass, paper, aluminium, steel, plastic and cardboard into one yellow bin (co-mingling) can cause difficulties.
Co-mingling of multiple classes of recyclable product in the one bin causes cross contamination, e.g. glass gets into paper and plastic.
Asian countries have not actually banned the import of Australian recyclable waste; they have reduced t h e percentage of allowable
contamination to levels which are very difficult and costly to achieve, so this effectively can be regarded as a ban.
And some of the solutions in the pipeline may require us to further segregate our rubbish into yet more bins in the future.
New initiatives such as burning landfill waste to generate power will require an extra sorting process.
Only 50 per cent of red bin (landfill) contents is burnable, so either the householder will be asked to sort it, or the receiver will have to accept the lot, sort it themselves, and take the remainder to landfill.
The Diary has made every effort to interview SKM Recycling and Visy Recycling, offering to see how the
sorting process works, report on what happens to the sorted materials, and take photos; however, all our efforts have fallen on deaf ears.
Nillumbik Shire Council had put the creation of a domestic recycling scheme on the agenda at the Australian Local Government
Association conference in Canberra in mid-June, and Council hopes it will be supported and added to a national advocacy campaign.
Nillumbik Shire Council Mayor Karen Egan said putting items such as recycling on the national agenda would benefit councils and residents across the country.
“Many councils are facing the same issues and we look forward to working collaboratively to address them and seek support from the Federal Government,” Cr Egan said.
“Nillumbik has led the way when it comes to recycling for so many years and developing a domestic industry would mean we would no longer be reliant on China and other counties.”
The Legislative Council, the upper house of the Victorian State Parliament, is currently in the process of conducting an inquiry into
Recycling and Waste Management.
Sonja Terpstra MP, State Upper House Member for Eastern Metropolitan Region, visited Warrandyte last month to inspect the new bridge.
She was impressed with the level of community engagement within Warrandyte and was interested in our coverage last month of recycling
matters, as she is a committee member sitting on the current inquiry process which is ongoing as we go to press.
Speaking as the Member for the Eastern Metropolitan Region, Ms. Terpstra noted that of the 12.9 million tonnes of total waste generated by Victorians in 2016–2017, 4.2 million tonnes was sent to landfill and 8.6 million tonnes was diverted from landfill for recycling.
Of this recovered material, 86 per cent remained in Victoria and only 14 per cent was exported overseas.
2.3 million tonnes of the total waste above was attributable to kerbside collections, and 46 per cent of this was diverted for recycling as a State average, although our local councils are doing much better.
Ms. Terpstra noted that Victorians are excellent recyclers — by and large.
She was keen to stress the low percentage, 14 per cent, of recyclables that were exported and felt that recent publicity concerning the policy
change in China made the problem appear larger than it actually was.
However, this did not take away from the fact that community concern still exists about exporting of recycling to other countries, contamination rates and the like.
Ms Terpstra also drew attention to other initiatives being taken by industry including:
- •A proposal by Australian Paper to proceed with Victoria’s first energy-from-waste project with plans to use kerbside rubbish to
help power its Maryvale Paper Mill; the scheme is in fact very similar to — but on a much larger scale than — the initiative being
taken by Manningham Council to convert tree waste to biochar and further development of that technology to produce power,
as we reported last month.
- Advanced Circular Polymers’ $20 million advanced plastics recycling facility in Somerton, which received a $500,000 funding
boost from the Andrews Labor Government and is set to process 70,000 tonnes of plastic each year.
- The Government has issued a statewide exemption for local councils to remove the administrative barriers to extend their recycling
collection contracts to June 2021 and look at future shared contracting of recycling services across multiple municipalities,
which will help local councils save money in management and procurement costs.
- The Victorian Budget 2019/20 is investing an additional $35 million to strengthen and diversify Victoria’s waste and recycling industry.
- Lightweight, single-use plastic shopping bags will be banned across Victoria from November 1, 2019.
- A complete ban on sending electronic waste to landfill came into effect on July 1.
Ms Terpstra observed shrewdly that we are spending a great deal of time working on how to get rid of rubbish, but perhaps our focus should include looking into why we are creating it in the first place.
Having just purchased a dashcam for my car which arrived in a plastic bag containing a cardboard box containing polystyrene and no less
than six sealed plastic bags containing things such as simple cables and USB adapters, which did not need to be wrapped, I have to question — do we really need all that packaging?
Repairing our throwaway culture
By JO FRENCH
THE INAUGURAL Warrandyte Repair Café went off with a bang, a snip, a screw and a stitch on Sunday, July 7 at the Mechanics’ Institute Hall.
The initiative of the Warrandyte Mechanics’ and Arts Association is only the third Repair Cafe in Melbourne and follows in the footsteps of the movement that started in Amsterdam.
The event was held from 10:30 to 12:30 and organiser David Tynan was encouraged by the number of visitors and repairers that took part in the event.
“A great turnout,” said David as he gestured to the crew of volunteers around the room that had made the day a success.
Jillian McKinn offered her skills in garment repair and upcycling.
“It’s is a wonderful idea for people to learn to repair,” said Jillian, “I loathe the idea of a throwaway society, and I was delighted to be involved.”
Jillian worked alongside Agnes Stuyfbergen and Denise Farran to help Hazel Rice recover an old faded footstool with bright red Burmese woven fabric.
Agnes’ sewing skills were also put to good use teaching a visitor to darn a woollen jumper.
“I showed her how to do one hole,”
said Agnes, “and then she went home to do more.”
“It’s really exciting, so many people came in with a variety of different things.”
Greg Lawrence was working on a few small mechanical repairs and had a happy customer leave with his pressure pump sprayer working again.
“It’s a great idea — on two fronts — it gets people together and helps people out.”
Brian Prewett and Roger Gray worked together on a few appliances.
“Of the three, we fixed a slow cooker but the vacuum cleaner and toaster were simply worn out,” said Brian.
“The Repair Café suits me,” said Roger, “I like the idea of fixing something rather than trashing it.”
Jock Macneish was also on the scene.
“The repair café is a wonderful device for delaying the terrible moment when I realise I will become old and useless,” he said.
“While I can still fix things, I can delude myself,” he said.
The grin that followed was evidence of the fun and companionship shared over the event, and all participants are looking forward to next month’s event.
The next Repair Café will be held Sunday, August 4.
By SANDI MILLER
Feature image: Sondra Vlasic
ANYONE WHO has lived in the area for any length of time will know the joys of receiving a visit from one of Warrandyte’s koalas.
Sadly, this is an increasingly rare occurrence, and as our nature columnist Glenn Jameson discusses below, the reintroduction and
subsequent drought has been responsible for the boom and bust of the local koala population over the last 20 or so years.
Koalas locally have been a large tourist drawcard, indeed the national value of the koala as a tourism icon has been estimated at over $1 billion.
In 2004, the then Department of Sustainability and Environment produced a Koala Management Strategy, which outlined the challenges faced by the koala population and the approaches to aid in their preservation.
Major conservation issues for the koala in Victoria were seen as the continuing incremental loss of mature trees through deliberate felling
associated with land development and land-use change, and the declining health of remnant trees in rural landscapes.
The potential for increased frequency of wildfire associated with climate change is also a serious concern for the Koala.
Annual koala counts in Pound Bend occurred from 1998 to 2011, with numbers declining over this period.
This local decline may be caused by dispersion along the river corridor, as individual koalas tend to require a substantial environment to accommodate their dietary needs, or other factors such as the Millennium Drought, urban encroachment or natural attrition.
In light of the Government reviewing the State’s Koala Management Strategy, which seems to have been much more successful than that of New South Wales and Queensland where koala populations are effectively extinct, the Diary sat down with Vivian Amenta, Wildlife Management Coordinator at the Department of Environment, Land, Water and Planning (DELWP).
Diary: What has led to the decline in the local koala population?
Vivian: In Victoria, the koala population was reduced to extremely low numbers by the 1920s, when the koala fur trade was finally abolished.
A re-introduction program, begun in 1923 with French Island koalas, has resulted in occupation of almost all suitable koala habitat in the State.
While we do not have statistics for koala numbers in Warrandyte, there is no doubt that numbers would have dropped over the last 20
years, and indeed would have been declining since people first moved into the area.
This is due to habitat fragmentation, removal of their preferred food trees to make way for housing, roads and other infrastructure, and significant numbers being killed directly by cars and dogs.
Though koalas are considered vulnerable in Queensland and New South Wales, in rural areas of Victoria and South Australia,
they are plentiful, and far healthier than their northern counterparts, as the diseases chlamydiosis and koala retrovirus are not nearly as
In fact, in Victoria and South Australia, fertility control and translocation are required to ensure they do not eat themselves out of house and home and end up starving.
Diary: Are there any plans to repopulate the area?
Vivian: Translocation of koalas is only undertaken in areas where their on-going welfare is well-assured.
Unfortunately, the network of roads, the ever-increasing housing density and number of predators (dogs) in Warrandyte and surrounds rules out consideration of repopulation here.
There is also a need to consider the existing population of koalas.
They are territorial, will fight to retain/establish their patch, and if the new comers are displaced, they may try to return “home”, increasing
their chances of road mortality.
This is why the Kinglake translocation undertaken in 2017 was considered ideal.
We only translocate to sites where there are very few or no existing koalas.
At Kinglake we were able to release the koalas deep within the park.
There is only one nearby road and the 400 koalas were able to move in unopposed, as sadly, the existing population had been destroyed in
the 2009 Black Saturday bushfires.
Diary: Are there tips we can give local residents to provide habitat for the animals?
Vivian: Residents can encourage koalas to remain by:
• discouraging harassment by dogs – their own animals and other residents’
• keeping dogs on-leash when in koala habitat
• not letting dogs roam
• being “wildlife aware” when driving
• requesting that speed limits be lowered on local roads, and adhering to the limits
• calling wildlife carers to assist when an animal is sick or injured
• reporting cases of wildlife cruelty (yes people are cruel to koalas) to Council and DELWP
• planting appropriate species of Eucalypts — though there are around 28 species that Victorian koalas will eat, koalas in this part of Victoria prefer manna gum (Eucalyptus viminalis), swamp gum (Eucalyptus ovata), blue gum (Eucalyptus leucoxylon) and
river red gum (Eucalyptus camaldulensis)
• leaving out shallow bowls of water for koalas in hot weather — koalas get most of their moisture from leaves, but in hot conditions will need additional water.
Diary: What are the ongoing plans for koala management?
Vivian: Victoria is currently in the process of reviewing the Victorian Koala Management Strategy (2004).
Updating the Strategy is an action under DELWP’s Living with Wildlife Action Plan, to ensure the State’s koala populations are secure and
healthy, and to guide their current and future management.
Victoria’s koala population will also benefit from the Victorian Government’s Biodiversity 2037 Plan which aims to improve the extent
and condition of native habitat and secure the greatest possible number of species in the wild.
The story of the boom and bust of the koala
By GLENN JAMESON
MY MATERNAL Grandmother was an English World War One, war bride, marrying my grandfather an Australian soldier after he was
discharged from the army suffering chronic “trench feet” from wet and muddy trenches at the Somme.
Grandmother owned a pair of gloves made from koala fur, her pride and joy, bringing them on the honeymoon voyage to Australia.
As peace spread across Europe, a war continued on koalas with an estimated eight million koalas killed between 1888 and 1927 for the fur
trade, their waterproof pelts shipped to London, the United States and Canada to line coats and make hats and gloves.
By 1924, the koala population had gone bust; they were extinct in South Australia, severely depleted in New South Wales, and estimates for
Victoria were as low as 500 animals.
The economic bust of the 1930s depression was a difficult time for Nana who had the task of bringing up a family of six by herself as
Grandfather had died, never quite recovering from the war.
By this time, the koala population on the Victorian mainland was thought to be confined to a few remnant populations in South Gippsland and the Mornington Peninsula.
Citizens concerned at the survival of the koala in Victoria during the 1930s captured individuals and placed them on Phillip Island and
French Island where they were secure and able to breed up.
Koalas had been extinct from Warrandyte for decades when in 1985, government agencies released 30 adult and eight juvenile koalas at
The following year there was another release of a similar number.
Phillip and French Islands had provided security to enable koalas to boom and breed up large numbers but now they were outstripping their habitat.
However, the koala boom was from an isolated, in-bred population, with a very low genetic diversity and this population is now the source of most of the Victorian koala populations — with the exception of unique Strzelecki Ranges wild populations, which are genetically intact and diverse.
The release was incredibly successful and by 1995 koalas were generally found everywhere in the Middle Yarra area where there was suitable habitat, especially in Warrandyte State Park, the population had even spread to private property.
In Dreaming Stories, Wurundjeri legends associate Koobor (koala) with drought.
Although they may kill koala for food, the skin may not be removed, or bones broken, until after koala is cooked.
Should anyone disobey this law, it is said that the spirit of the dead koala will cause such a severe drought that everyone except the koalas will die of thirst.
In 1997 the Millennium Drought started, the climatic version of “boom or bust”, and our local koala population went bust.
The koala diet is very restricted, there is only a few species of eucalypt leaves which they can eat.
The leaves they can eat also need to have a minimum moisture level of 45 per cent to provide them with enough water so that they do not have to drink water.
The success of the 1985 koala release allowed koala’s to fill all available niches in local habitats, but the Millennium Drought reduced the leaf moisture content below 45 per cent and koalas began falling out of trees.
In the local wildlife refuge, 52 died in care and 102 were euthanized, the population dropping dramatically.
“Boom and bust” is the breeding dynamic many Australian mammals employ to overcome one of the most erratic and variable climates
in the world; breeding prolifically during productive high levels of rainfall, which allows populations to safely diminish (bust) during
periods of drought and then expand again (boom) when the rains return, Australian mammals are genetically pre-determined to
manage their population and habitat in conjunction with this climate cycle.
B u t , as successful as the translocation program operating from the Islands has been, the lack of genetic diversity has produced
behaviour traits which do not assist in survival.
For example, not changing food trees every night, thereby killing feed trees and breeding during droughts, strategies other genetically intact and diverse koala populations avoid doing.
The good news is koalas are still in the landscape — but at highly reduced numbers and fighting for survival.
I have not seen one since 2005.
On the mainland, the amount of viable habitat available remains a limited island in a sea of urbanisation, farmland and unsuitable bushlands.
The hotter and drier our climate becomes with Global Warming the more precipitous their future becomes.
My Grandmother — a war bride and then a war widow — never needed her koala skin gloves in the hot Australian climate, but she
did need the sanctuary which her children provided for her in later years.
Something we may not be able to provide for koalas locally, as the climate warms.
IN THE 1960s, Yarra Street was a milk bar trail.
Amazingly enough, then, there were eight milk bars in Warrandyte, stretching from West End to Pigtail Hill at the East end of town.
Sadly, there are no milk bars here today, but plenty of cafes where you can sit down to a café latte and a plate of smashed avocado on sour dough.
L overs of Drumsticks, Choc Wedges, bags of chippies, liquorice allsorts, sherbet bombs, root beer and milkshakes were in business.
When it came to sugar addiction, we local kids were spoilt for choice.
The milk bar trail was blue heaven on a stick.
Sugar was not a dirty word in 1963!
The first stop at the Melbourne end of town was The Golden Gate.
Run by George and Voila Leek and family, the white building — with a sizeable car park out the front — housed a large and busy shop selling fruit and vegetables, a selection of newspapers and magazines, as well as the usual fare of ice creams, biscuits, lollies and other groceries.
The old building has been pulled down and today; Bocca Pizzeria occupies the site.
George also ran a green grocery home delivery service and drove fruit boxes full of produce to our homes once a week.
George would cheerfully park his truck at the bottom of our driveways and run the box of veggies up to our doors, then come inside and heave the box up onto our kitchen table.
He had time for a natter and a bit of local gossip, before driving on to the next customer’s house.
Locals from West End, Jack “The Hat” Williams and his wife Pat, also ran The Golden Gate in the late 60s.
Across the road was the White House at the recreation reserve.
Attached to the end of the large hall which comprised the White House reception venue was a little milk bar, which was always open on Saturdays.
Howard and Joyce Bensch ran the reception area during the week and Joyce manned the milk bar during Saturday’s football and cricket
She specialized in selling pies, pasties and sausage rolls from her pie warmer as well as the usual selection of ice cream, lollies and packets of chicken chips.
Before the Bensch family bought the business, well known character Alice Watson lived upstairs there.
The White House was sadly demolished in 1991 after serving the community for 150 years.
The next port of call was Dottie McKay’s milk bar opposite Stiggant Street.
The shop front is still there, but today it serves as a studio for reverse glass artist Bruce Jackson.
Dottie was an elderly eccentric spinster who was always polite to us local kids when we were sent down there to buy milk, cereal and boxes
She was none the wiser when some of the local kids would sneak around the back of the shop and pinch the empty soft drink bottles stacked in crates.
They would come around to the shop counter, cash the bottles in and buy choc wedges, chicken chips and bottles of Passiona, (a passion fruit flavoured soft drink) with the refund money.
After drinking them, these young entrepreneurs would bring back the soft drink bottles to cash in yet again!
A confirmed spinster, Dottie surprised the locals by marrying Fred Bawden Sr. when she was in her 60s.
They lived happily ever after.
Moving eastward along the trail you would eventually arrive at Dixon’s milk bar situated in the village where currently Now and Not Yet Cafe is serving café lattes.
Then the shop changed hands and became “McDonalds” long before the hamburger franchise came to Australia.
There was no red wigged clown running the show, instead the new proprietor, John McDonald quietly went about the business of serving
locals their pies, pasties, sandwiches and milk shakes and also selling the latest newspapers, books and magazines.
Many Warrandyte kids had their first job at McDonalds, selling and delivering the newspapers of the day: The Sun-News Pictorial, The Sunday Observer, The Herald, The Argus, The Truth and Women’s Day.
The McDonald paperboys would wander into the Grand Hotel and sell The Herald to the news hungry patrons.
Their famous catch cry, “Hee errrrald!” echoing down Yarra Street.
During the days of “early closing” laws, kids had to sell their papers before six o’clock, because, amazingly enough, the pub stopped serving
beer at 6pm right up until 1966 when licensing hours were extended.
Aggie Moore’s milk bar sat right next to the Mechanics’ Hall, which held a matinee movie session every Saturday.
During interval, the theatre crowd would swarm over to Aggie’s shop to swill down her specialty: lime or coke spiders.
The spider consisted of a tall glass full of soft drink with a huge scoop of vanilla ice cream floating on top.
The concoction fizzed loudly as kids hurriedly sloshed them down before returning to the matinee.
Kids also bought Minties, Chocolate Frogs and Fantails to take back into the theatre with them.
And especially Jaffas.
The round orange, chocolate filled sweets were perfect for naughty kids to roll down the aisle during a Hopalong Cassidy feature.
Next on the trail was Bennett’s milk bar, right on the corner just past the Mechanics’ Institute Hall where the Sassafras Sweet Co. is now situated.
Mr and Mrs Bennett both worked behind the counter.
The large ice cream cone that advertised their wares still hangs off the front of the building today.
Next in line was Les Gilholm’s milk bar [Now Folk Art] that was situated opposite the bridge.
Les, a popular character, would enthusiastically sell us his specialty – iced pineapple.
He’d reach into a refrigerated canister with a huge soup ladle and pour the sweet-tasting yellow, icy liquid into a big chunky glass.
It was an exquisite way to quench our thirst on hot summer days, as we listened to Les’s amusing and teasing banter.
We ended our milk bar crawl at Selby Store at the eastern end of town.
The beautiful old historic stone building is now The Yarra Store.
It was the perfect place for local kids to get a hit of carbs before attacking
the bike track that ran around the swampy area beside the river.
All in all, the milk bar trail was a wonderland of chips, ice cream and chocolate treats and for us kids, a great way to spend our weekly
allowance, which in the mid 60s was about two dollars if we had generous parents and were willing to do the chores required to earn our weekly ‘salary’.
One wonders if our collective sweet tooth, not only helped keep these’eight milk bars in business, but also supported the nearby dental clinics in Ringwood!
Photos courtesy Warrandyte Historical Society
THERE ARE two significant changes this year that may delay the time when your tax return can be processed and assessed.
If you are anticipating a tax refund, then be prepared for the refund to hit your bank account later than you may be expecting.
The Impact of Single Touch Payroll Reporting (STP)
Commencing July 1 , 2018 , employers with 20 or more employees have been required to report their payroll details to the ATO on a real time basis each pay period.
Employers with less than 20 employees may have voluntarily elected to adopt this real time reporting system.
Employers will have until July 31, 2019 to finalise their STP data for the 2018/19 financial year, with that date to change back to July 14 each year subsequently.
So how might this change affect you?
If your employer has been reporting under STP you will no longer receive a Payment Summary (also previously known as a Group Certificate) but instead will be replaced by an Income Statement that you will need to access through your myGov account or your tax agent.
For the current year only, you may not be able to access this information until as late as July 31. Furthermore, consistent with prior
years, other pre-fill data including dividends, interest, share disposals, and private health insurance cover details are progressively uploaded on to the ATO systems and may take time to be finalised.
If you receive income from trust funds this information is often not available until late September.
From July 1, 2019 STP reporting will be extended to include all businesses with employees other than family businesses comprising only family members as employees, who may report on a quarterly basis together with the lodgment of their quarterly BAS.
Furthermore, if proposed measures announced in the 2019/20 Federal Budget become law, from July 1, 2020, STP data collected by the ATO will be expanded and shared with other Commonwealth agencies to ensure individuals receiving Government benefits are paid their
The Low and Middle Income Tax Offset (LAMITO)
Taxpayers with taxable incomes below $37,000 have for many years been entitled to a non-refundable Low Income Tax Offset (LITO) of $445 phasing out to zero at a taxable income of $66,666.
In the April 2019 Federal Budget t h e C o a l i t i o n G o v e r n m e n t foreshadowed the introduction of a new additional tax offset (LAMITO) to provide additional temporary nonrefundable tax relief to low income earners and also encompassing a new level of temporary tax relief to middle income earners to be available for the 2019 to 2022 income years.
At the time of writing this column, this foreshadowed legislation is yet to go before Parliament, but current undertakings from the Opposition suggest that the legislation will be supported.
N e v e r t h e l e s s , t h e b u d g e t proposal could be subject to some amendments in order to pass through both Houses of Parliament.
Should the legislation as outlined in the budget pass unchanged then individuals with a taxable income under $37,000 can expect an additional non-refundable LAMITO of $255 making a total LITO and LAMITO of $700.
The amount of the L AMITO increases for taxable incomes above $37,000 to reach a maximum of $1080 at a taxable income of $90,000, thereafter reducing at the rate of 3% of the excess taxable income over $90,000.
If your tax return is processed and assessed prior to the proposed LAMITO legislation passing through both Houses and receiving Royal Assent, your tax return would subsequently need to be amended by the ATO to accommodate the impact of the LAMITO on your 2019 assessment.
This therefore is the second reason you may choose to delay lodging your tax return until after July 31 or later until the LAMITO tax offset becomes law and ATO systems are updated to accommodate any changes from the proposed legislation as outlined in the Budget.
Please remember both of the tax offsets explained above are nonrefundable.
This means that you must have incurred a tax liability and either paid PAYG tax instalments through the year or your employer has withheld PAYG tax from your wage or salary during the year.
If not, then the tax offsets will be an offset against your unpaid tax liability reducing the tax payable on your tax assessment.
If your employer has withheld tax sufficient to cover your tax liability, the tax offsets will reduce (offset) your tax liability thus producing a tax refund.
If you use a tax agent to prepare your tax return, the above factors may explain why your tax agent chooses to delay lodging your tax return this year until all relevant pre-fill tax information is available to download into your tax return and thus avoid the added expense of having to lodge an amended return.
The content of this article is not intended to be used as professional advice and should not be used as such.
B r i a n S p u r r e l l F C PA , C TA ,
Registered Tax Agent, is Director o f Personalised Taxation & Accounting Services Pty Ltd.
PO Box 143 Warrandyte 3113.
Mobile: 0412 011 946
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