Private ruling: eligible for dependent spouse tax offset
Published: November 2012
Ruling period: Year ended 30 June 2012
Date scheme commenced: 1 July 2011

Ruling: Q1: Are you entitled to a dependant spouse tax offset? | A1: No

Relevant facts and circumstances: You are married and your spouse was born after 1 July 1971. Your spouse had been unable to work during the 2011-12 financial year and was dependant on you during this time.

Relevant legislative provisions: Income Tax Assessment Act 1936 Section 159J | Income Tax Assessment Act 1936 Subsection 159J(1A) | Income Tax Assessment Act 1936 Subsection 159J(1C) | Income Tax Assessment Act 1936 Subsection 159J(2)

Reasons for decision: Summary: Section 159J of the Income Tax Assessment Act 1936 (ITAA 1936) generally provides that a taxpayer is entitled to a tax offset where, during the year of income, they contributed to the maintenance of a dependant who is a resident of Australia. In your case, it is acknowledged that your spouse was dependant on you during the 2011-12 financial year. However, section 159J(1C) of the ITAA1936 says a taxpayer is not entitled to a rebate for a dependant spouse if the dependant was born on or after 1 July 1971 with this applicable for the 2011-12 financial year and later financial years. This unfortunately has the effect of denying you a dependant spouse tax offset. As you have not met all of the required conditions to claim a dependant spouse tax offset for the 2011-12 financial year, you are not entitled to the dependant spouse tax offset for this year.

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