Record tax on New South Wales benefits that must be repaid
MaintainedLast reviewed
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- Where the lawyer says a Part 4 award is in view, add a blank row for income tax paid or payable on statutory benefits or workers compensation benefits that must be repaid. Do not calculate the tax.
- What the lawyer must review
- Section 4.5(1)(d) is a reimbursement of tax, not a gross-up invented by the tool
- The tax figure is the lawyer's, from the records
- Section 4.5 does not apply to a Compensation to Relatives Act 1897 action
- Do not use this row for a claim that is not a Part 4 award
Rules that apply
The document starts from the task name. Change it if this piece of work is different.
The work product
Forum. A damages claim under Part 4 of the Motor Accident Injuries Act 2017
Produce. A blank tax-reimbursement row, not a calculated gross-up.
Have ready. The benefits the lawyer says must be repaid; Any tax figure the lawyer has accepted; Whether the claim is a Part 4 award.
Example of the limit. Illustrative example: Weekly statutory benefits were paid and will be repaid from damages. The table adds a tax row and leaves it blank. It does not multiply the benefits by a tax rate.
Stop and hand it back when
- The claim is not a Part 4 award.
- The tool would calculate tax without a figure the lawyer has accepted.
Sources for this task were checked on 2026-10-23.
Who does what
| Role | What they do |
|---|---|
| Assistance | Where the lawyer says a Part 4 award is in view, add a blank row for income tax paid or payable on statutory benefits or workers compensation benefits that must be repaid. Do not calculate the tax. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Section 4.5(1)(d) allows damages reimbursing income tax paid or payable on statutory benefits, or on workers compensation benefits, that must be repaid on a Part 4 award.
- Section 4.5(2) says section 4.5 does not apply to an action under the Compensation to Relatives Act 1897.
- Section 3.40 is the repayment of weekly statutory benefits out of damages. It is not itself the tax calculation. Keep the tax row separate from the benefit that is repaid.
- No rate of tax was opened. Do not derive a figure from a percentage.
Sources
- Motor Accident Injuries Act 2017 (NSW), in force from 10 July 2026, sections 3.40 and 4.5 · 2026-10-23
- Workers Compensation Act 1987 (NSW), in force from 1 October 2026, section 151A · 2026-10-23
The facts of any decided case about tax on repaid compensation were not opened. They are not used as a rate.
Health and wage records stay in a firm-controlled tool. The lawyer applies ASCR r 9 and APP 11, and decides whether any breach is notifiable under the Privacy Act 1988 (Cth).