Bushfire Tax Assistance tax exempt for volunteer firefighters

NSW firefighter.jpg

The Federal Government has passed legislation to compensate volunteer firefighters for loss of employment income when working for a state or territory fire service during the 2019/20 income year.

The Bill is designed to provide financial relief for volunteer firefighters working within small or medium businesses. These businesses may not have enough resources to support their employee’s firefighting efforts.

The payments to volunteer firefighters, as well as disaster recovery assistance payments from the government, will be tax exempt this income year.

Calculating the payments

There is a 10 days’ minimum period of service, which the firefighter cannot get compensated for. The firefighter can claim compensation each day after the 10th day. There is no maximum or minimum period for each day’s shift, and the days need not be consecutive.

The payments are not means tested and will cap at $300 per day, with a total cap of $6,000, and be made available for the 2019/20 income year.

The payments will have to be applied for through the different State or Territory governments.

Applying for the payment

NSW - https://www.service.nsw.gov.au/transaction/apply-volunteer-firefighter-payment