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The Interest and Dividend Deductions Schedule (BJ) must be completed where the total interest and dividend deductions being claimed at Items D7 and D8 exceed $4,999. For deductions less than $4,999 the BJ schedule is optional.

Each expense making up the amount must be itemised in the BJ and lodged with the return via ELS. Click [Ctrl+Insert] or [Alt+Insert] to create a new block of fields.

The types of expenses might include:

  • account keeping fees or management fees

  • debits tax

  • interest charged on money borrowed to purchase shares.

Expenses that should NOT be included are:

  • amounts for debits and duty tax on withdrawals relating to an account kept as an essential part of a business. Show these at item P8

  • expenses incurred in earning foreign source interest or dividends. Show these at item 20

  • debt deductions. Show these at item D15

The fields provided on Schedule BJ are:

FieldDescription
Description of interest or dividend expense:Provide a description of the type of expense, for example Shares. Up to 76 characters can be entered.
Name of product or investmentProvide a description of the product or investment, for example Telstra Shares.
Name of Payee: Payee TypeIf the payee is an individual, type I. If the Payee is a Company or Institution, type C. Depending on the code selected, the relevant name fields will be opened.
Investment code

Select the relevant code from the list. Valid codes are:

  • BL: Bonds - Linked Bonds and Notes (including return linked to shares, bank bills, exchanges rates, etc.)

  • BO: Bonds/Notes - Other

  • CN: Convertible Notes

  • CP: Converting Preference Shares

  • IR: Instalment Receipts

  • MA: Managed Funds/Trusts - Allocated pensions and Annuities

  • MF: Managed Funds/Trusts - Friendly Society Bonds

  • MI: Managed Funds/Trusts - Insurance Bonds

  • MO: Managed Funds/Trusts - Other (Equity, Income, Growth, Property and MultiSector)

  • MS: Managed Funds/Trusts - Superannuation

  • OT: Other

  • RP: Loans to Related Parties / Entities / Associates

  • SC: Shares - Capital Protected Loan Products

  • SL: Securities Lending Arrangements

  • SM: Shares - Margin Lending

  • SO: Shares - Other

  • SS: Stapled Securities

  • WA: Warrants

Is this a payment in Advance?If the payment was made ahead of time, select Y from the list. Otherwise select N.
Amount claimed as interest deduction

Enter the amount of the expense incurred.

Amount claimed as dividend deduction: Enter the amount of the expense incurred.

Deductions may be claimed against interest income only if a taxpayer can demonstrate that the allowable deduction relates to the earning of that income. The interest deduction is entered in whole dollars only.