Murray Goulburn have announced they have paid their suppliers $5.49 per kg of milk solid (kgms) supplied for the 2016 financial year. This means milk suppliers may have been overpaid by up to $0.74 per kgms supplied in the 2016 financial year under the milk supply support package.
Suppliers have two options to ‘repay’ any amounts overpaid. They can either:
- pay upfront in a lump sum in the 2016 income year
- accept a lower milk price over three years.
Your tax may be affected by how you choose to repay the amount. The taxation implications of each option are discussed separately below.
Find out about:
- Paying upfront
- Lower milk price over three years
- Making PAYG variations
- Help with managing your tax obligations
[ATO website] [LTN 142, 26/7/16]