To assist taxpayers experiencing financial difficulty as a result of COVID-19, the Australian Taxation Office is providing added flexibility to manage your instalments to suit your circumstances.
You can vary your instalments (including varying to zero) if you think using the current amount or rate will result in you paying too much by way of instalments when compared to your estimated tax for the year.
Your varied amount or rate will apply for all your remaining instalments for the income year, or until you make another variation.
Furthermore, if you vary your instalment amount or rate, you can claim a credit for instalments you have already paid this year.
Where you choose to vary your PAYG instalment amounts due to the impacts of COVID-19, the ATO will not apply penalties for excessive variation or charge interest on these instalments.
For more info to help you vary your instalments look at the attached image or go to https://www.ato.gov.au/General/COVID-19/Additional-support-during-COVID-19/#VaryyourPAYGinstalments
