Claiming tax offsets and rebates

Tax offsets (also known as ‘rebates’) can directly reduce the amount of tax payable on a person’s taxable income. While claiming certain tax offsets can reduce a person’s tax payable to zero, on their own, they cannot create a tax refund. Here are three common types of tax offsets some individuals are eligible to claim: Health insuranceA person’s entitlement to a private health insurance rebate or tax offset depends on their income level. For those who have private health insurance: the amount of private health insurance rebate you are entitled to receive is reduced if your income is more than a certain amount the ATO calculates the amount of private health insurance rebate you are entitled to receive when you lodge your tax return. You can claim your private health insurance rebate as a premium reduction, which lowers the policy..