Did I read right that the government is going to tax money made on surplus solare energy as Income?
Are they mad?
Is this only relevant to pensioners (can u believe it) or everyone?
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Browse Forums Building A New House Re: Tax on Solar Panels 2Apr 28, 2010 6:45 pm  handmickDid I read right that the government is going to tax money made on surplus solare energy as Income? Does that then mean we can look forward to a large tax deduction on the cost of the panels, ongoing maintenance and depreciation???  07 Nov 2009 946 WA Gold Member Re: Tax on Solar Panels 5Apr 28, 2010 7:01 pm handmickExactly!!!!!!!! They giveth with one hand and taketh with the other.... We were considering it...but if u can't bank the surplus to pay off the intial set up cost is it all worth it? I heard also from a friend that the rebate is ending at the end of June 2010, has anyone else heard this????? Ahh you've got to love the gov!! P.S. Fiancee would love your avatar pic (Cats)!!!! Cooper's Build - Perth NOR viewtopic.php?f=31&t=30525 Prelim- mid Sept 2009, Pre Start 2 Feb, Siteworks- 21 April 2010, Slab- 10 May, Deliveries- all by 26 May Bricking- 28 May - 26 June, Roof complete 5 Aug, Float 28 Aug, Lock up 16 Sept Cabinets 1 Oct, Tiling 22 Oct, PCI 18 Nov, KEYS 3 Dec 2010 MOVED IN 17 DEC 2010 Re: Tax on Solar Panels 7Apr 28, 2010 8:11 pm handmickDid I read right that the government is going to tax money made on surplus solare energy as Income? Are they mad? Is this only relevant to pensioners (can u believe it) or everyone? I haven't seen any newspaper articles on this (I try not to read those things, they scare me  ), but a quick search found this: http://www.smh.com.au/business/pensioners-slugged-for-selling-solar-power-20100426-tm0l.html?comments=46 which has nothing to do with tax, but does relate to assessing payments/credits for surplus solar power as income for Centrelink payment recipients. As for tax treatment, I believe there was an ATO ruling on this some time ago that decreed that receiving credits for surplus solar power was not considered income for tax purposes. Legislation can be changed at any time though.... If anyone has read anything different to the SMH article, post a link, would you? Re: Tax on Solar Panels 9Apr 28, 2010 10:45 pm handmickAnyway you look at it i think it stinks... This is first time I have posted a link so I hope it works: http://www.heraldsun.com.au/news/kevin-rudds-mean-green-sting/story-e6frf7jo-1225858140710 Actually I think it's a pretty fair system... its a way of keeping the pension system balanced and sustainable (remember, in Australia the social security system is funded by the workforce, taxpayers, unlike some other countries where they have forced pension savings plans). Centrelink will only be assessing the credit, rebate, or payment associated with the 'excess' energy produced. So for your average Joe, that will be very little as most of the energy produced would simply offset ones own energy consumption. If however Mr. Smith goes on vacation for six months, and his home is left vacant, most of that power will go back to the grid and he may turn a nice profit. In that instance why should it not be treated as income for the purpose of his pension entitlement? Centrelink have deemed any income from Solar to be a non-remunerative sum that will be declared annually. If Mr Smith reports his excess solar earned him $500 in credits/payments then centrelink will simply divide the amount by 26 (the number of fortnights in a pension year) and then apply the result, $19.20 to the pensioners other income over those said 26 periods. That means there won't be any effect at all unless Mr Smiths income (from all sources) is greater than the allowable amount - which is $142 per fortnight for a single person, or $248 for a couple. (sorry for the rant, but I've a fair bit of knowledge on this subject).  30 Jan 2010 1,571 Gold Member Re: Tax on Solar Panels 10Apr 28, 2010 11:32 pm It was on the radio the morning but IkonInteriors has all the info I think  But I DO NOT think it is right. But the issue is.... that Ikon although you may think it is fair the big thing that has come out about this is that it was never advertised about this. As it is the poor pensioners dont get that much.... Re: Tax on Solar Panels 11Apr 29, 2010 12:19 am  jessie87It was on the radio the morning but IkonInteriors has all the info I think But I DO NOT think it is right. But the issue is.... that Ikon although you may think it is fair the big thing that has come out about this is that it was never advertised about this. As it is the poor pensioners dont get that much.... It's all a matter of perspective. And many pensioners manage just fine, but for others their expenses simply aren't manageable. There is a culture in Australia where we seem to spend, spend, spend, and at the end of our working lives have very little savings to support ourselves... the pension is a safety net - not a lifestyle choice. Keep in mind it is estimated that over the next 40 years, the proportion of the population over 65 years will almost double to around 25 per cent! That means 1/4 of the population could potentially be claiming a pension that would be funded by the workforce... that equates to one massive burden on our economy. Re: Tax on Solar Panels 12Apr 29, 2010 7:07 am It may not be popular, but it does seem equitable, since all sorts of other income is assessed for Centrelink benefit purposes. The age pension certainly doesn't provide a huge income, but as Ikon Interiors pointed out, there's a limit to how much can be funded by taxpayers.  Wonder what the budget holds.....? 30 Jan 2010 1,571 Gold Member Re: Tax on Solar Panels 13Apr 30, 2010 1:42 am Thats everyones opinion, my parents are self funded retirees, but I dont think the pension is enough but getting away from that. The reason why there was outrage about this was the fact that it was never advertised that it will be counted as income...... the exemption applies only to your principal place of residence - so you must live in it. The 200 days is continuous. You also have to apply for the exemption. 2 18326 If it's your primary residence then there is no tax deductions to be made. 4 129492  Hello - we were hoping to apply laminate click lock panels to our concrete ceiling, but not too sure how to go about attaching the panels to the concrete. Any idea what… 0 7399 |
