Exempt Income of Defence Force Members

Exempt income is not assessable and is not included in an individuals tax return.

Whilst the TaxPack provides a list of common types of exempt income, there are some exempt income types that relate specifically to Australian defence force members.

If you are a defense force member the following is a list of more common exempt income amounts you may have received from the Australian Defence Force (ADF):

• Living Out Allowance;
• Living Out Away from Home Allowances;
• Education Assistance Overseas Allowance;
• Scholarship Allowance;
• Education Allowance;
• Child Education Allowance;
• Re-engagement Bounty;
• Disturbance Allowance;
• Transfer Allowance;
• Deployment Allowance; and
• Rations and quarters supplied without charge
  
• Overseas Allowances

NOTE ==> ADF members should be aware that all expenditure incurred in deriving exempt income will not be an allowable deduction.