General My New Fight with MCRS and the Australian Tax Office

[Tammy]

Well we are once again fighting with the higher beings! As some of you know Alex accepted a lump sum payment from MCRS in December last year. MCRS has informed us that this payment will be taxed as normal income, which means we lose a third of it. Well I have been doing some research, using all my law skills, and I have found a High Court decision that may just help us out. In this case a bloke was medically discharged from the Aus Army and after receiving the same benefits Alex was getting, was also offered a lump sum and he to accepted it. [all sounds familiar so far] Anyway he fought the tax implications of this payment and had it ruled as an eligible termination payment. Which means that the majority of his lump sum was actually tax free. I am so excited by this development. I have written to the ATO outlining my argument and am now awaiting a response, so fingers crossed it will be good news. Not just for us, but for anyone who has accepted this lump sum in the last 7 years (tax records only go back that far) and for anyone who hopes to claimit in the future. Anyway, as soon as I hear more I will let you all know. I sure hope it will be good news for us all.

 

[Nicolette]

Good luck with your battle Tammy and here's hoping for success.

If you want more information go to ato.gov.au and type eligible termination payments in the search field as there are some answers there in relation to disabilities....I went and had a look.

 

[anthony]

Give em hell Tam.... good on you for standing up to the pricks. Sorry I haven't been around much these days... say hi to Alex for me.... busy doing other things now.

 

[Tammy]

That's ok Anthony. I have been pretty slack on here to.
I rang the ATO yesterday and they daid my letter has been allocated to someone and then I was politely asked not to call them back before the end of the month as they are very busy! I will keep you informed though.
And thanks for the advice Nicolette, I actually looked there about a month ago but not since, but I will definetely check it out again. I am just hoping they agree with the high court decision I found, and let me have my own way. We are hoping to move back to QLD and the money wouls ure be better in my pocket than in theirs.