Senior Australians Tax Offset - taxpayer's age less than 65

Is a male taxpayer, who will be less than 65 years old at the end of the income year, eligible for the Senior Australians Tax Offset (SATO) under section 160AAAA of the Income Tax Assessment Act 1936 (ITAA 1936)?

No. The taxpayer, who will be less than 65 years old at the end of the income year, is not eligible for the SATO under section 160AAAA of the ITAA 1936.

The taxpayer is male, and will turn 65 after the end of the income year. The taxpayer is not a veteran in receipt of a Department of Veterans Affairs (DVA) pension.

To qualify for a SATO a taxpayer must satisfy certain age, residency and income conditions set out in section 160AAAA of the ITAA 1936.

The age condition, contained in subsection 160AAAA(2) of the ITAA 1936, is based on the taxpayer's age at the end of the income year, and varies depending on the taxpayer's gender and whether they are a veteran in receipt of a DVA pension.

The general age limit for males is 65 years or more, and for males in receipt of a DVA pension is 60 years or more.

The taxpayer will turn 65 after the income year. Accordingly he does not satisfy the age condition and so will not be entitled to the SATO for that income year.