Taxpayer bonus to retiree pensioners returning to work

The Minister for Family and Community Services, Mr Mal Brough, has said he will push for allowing retirees on a pension to get a tax bonus if they decide to go back to work after a period of retirement.

Under current arrangements, people who do not register for the tax bonus before claiming the age pension cannot receive it, even if they decide to cancel the pension and go back to work some time later.

“There are a lot of people who look forward to retiring and then, having retired, they think – ‘I’ve still got a lot to offer’. They actually wanted an extended holiday,” Mr Brough said

About 66,000 working retirees currently receive the tax bonus, and an average tax bonus of $12,000 has been paid since it started in 1998.

“A 65 year old today is probably yesterday’s 55 year old,” Mr Brough said.

“I think there’s room for the Government to allow people to come into the system later and make best use of their skills.”