ATO Interest on early tax payments

The ATO may now pay you Interest on early payments (IEP) when you make payments towards certain tax liabilities more than 14 days before the due dates. Any IEP you receive is assessable income and must be included in your tax return.

You may receive interest when you make early payments towards the following tax liabilities

  • Income Tax

  • Student loans such as HELP

  • Shortfall interest charges

You are not eligible for IEP on PAYG withholding amount, PAYG Instalments or any part of a payment that exceeds the amount that is due and payable.

For more information visit the ATO.

Paul AbercrombieAbercrombie Accounting Group