Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p9
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 9/26)
Character Range: 1249279–1255079

income tax. In some cases, the exemption is subject to exceptions or special conditions, or both.
Note 1: Ordinary and statutory income that is exempt from income tax is called exempt income: see section 6‑20. The note to subsection 6‑15(2) describes some of the other consequences of it being exempt income.
Note 2: Even if an exempt payment is made to you, the Commissioner can still require you to lodge an income tax return or information under section 161 of the Income Tax Assessment Act 1936.

51‑5  Defence

Defence

Item     If you are:                                                                                                                                                                                                                                                   ... the following amounts are exempt from income tax:                              ... subject to these exceptions and special conditions:
1.1      a member of the Defence Force                                                                                                                                                                                                                                 (a) payments of allowances or bounty of a kind prescribed in the regulations; and  none
                                                                                                                                                                                                                                                                       (b) the *market value of rations and quarters supplied to you without charge
1.1A     a member of the Defence Force                                                                                                                                                                                                                                 compensation payments for loss of deployment allowance for warlike service         see section 51‑32
1.2      a recipient of a payment in respect of a member of the Defence Force                                                                                                                                                                                          payments of allowances or bounty of a kind prescribed in the regulations           none
1.4      a member of:                                                                                                                                                                                                                                                  pay and allowances as a member                                                     except pay and allowances for continuous full time service
         (a) the Naval Reserve; or
         (b) the Army Reserve; or
         (c) the Air Force Reserve
1.5      a former member of:                                                                                                                                                                                                                                           compensation payments for loss of pay and/or allowances as a member                see section 51‑33
         (a) the Naval Reserve; or
         (b) the Army Reserve; or
         (c) the Air Force Reserve
1.6      a recipient of an ex‑gratia payment from the Commonwealth known as the F‑111 Deseal/Reseal Ex‑gratia Lump Sum Payment                                                                                                                                         the ex‑gratia payment                                                              none
1.7      a recipient of a reparation payment or an additional payment from the Commonwealth in relation to a recommendation by the Defence Force Ombudsman performing a function conferred by a prescribed provision of regulations made under the Ombudsman Act 1976  the reparation payment or additional payment                                       none

Note: Reparation payments referred to in item 1.7 relate to abuse in the Defence Force.

51‑10  Education and training

Education and training

Item                    If you are:                                                                                                                                               ... the following amounts are exempt from income tax:                                               ... subject to these exceptions and special conditions:
2.1A                    a full‑time student at a school, college or university                                                                                                    a scholarship, bursary, educational allowance or educational assistance                             see section 51‑35
2.1B                    (a) a student; or                                                                                                                                         a payment under a Commonwealth scheme for assistance of:                                            see section 51‑40
                        (b) a recipient of a payment in respect of a student                                                                                                      (a) secondary education; or
                                                                                                                                                                                  (b) the education of isolated children
2.1                     a recipient of a grant made by the Australian‑American Educational Foundation                                                                             the grant                                                                                           the grant is