Australian workers with low incomes, high work costs and expensive medical bills could be among millions to miss out on the Rudd Government's stimulus payments because they didn't pay tax last year.
As the last of the Federal Government's bonuses land in bank accounts and mail boxes, some workers are discovering they are ineligible for the cash hand-outs despite lodging a tax return and earning under $100,000.
Tax expert Michael Dirkis said the difference between receiving a $900 payment or not could be as little as paying one dollar in tax.
Dr Dirkis, senior tax counsel for the the Taxation Institute of Australia, said among those to miss out would be workers who earned under $11,500, such as students with part-time jobs, and people able to claim a high level of medical or work-related expenses.
"We've heard cases where people have spent $2000 on doctors' bills and medical benefits, got their $50 rebate, and then missed out on the $900," he said.
Dr Dirkis said of the 13 million Australians who lodge a tax return, nearly 5 million would not be eligible for the stimulus payments, including taxpayers who had earned over $100,000.
In 2006-07 nearly 2.5 million Australians who lodged a tax return did not have to pay tax.
Melbourne freelance documentary maker Kerry Negara said she was shocked to discover she would not receive the bonus, which she had planned to pay towards her mortgage.
The mother-of-two said she had earned less than $100,000 but missed out because she was able to claim a large number of expenses related to the production of a film.
"I could claim on the documentary, which meant the small amount of tax I did pay I got completely reimbursed," she said.
"So even though I'm a low-income earner and my children both live at home and I was really depending on that $900, they are aged 19 and 20 so it's just meant that I haven't fallen into any of the eligibility areas.
"The fact that I've fallen through the cracks has absolutely destroyed me."
Chris, who did not want his last name published, completed a PhD in virology last year on a tax-exempt scholarship which has made him ineligible for a payment.
"I've got two children at home and my wife is on maternity leave," he said.
"My income's enough to live on but I've only been earning it for a few months and we have no savings and for the three years I was studying a PHD I had no superannuation."
The 30-year-old from Geelong said he felt like he was being penalised for studying.
He said if he had received the money he would have spent it on furniture for his children, aged one month and two years old.
"The most annoying thing is feeling like I'm the only one, like everyone else is getting it but me," he said.
People on Centrelink benefits, who do not have to pay tax, will also miss out on the payments but Dr Dirkis said most would have received bonuses in the Rudd Government's first stimulus package distributed last December.
Self-funded retiree Stuart Robley received a bonus about Christmas time but was disappointed he would not receive anything in the current package.
Mr Robley said he had been surprised to learn he would not receive $900 after believing anyone who earned under $100,000 would benefit.
"I was disappointed in as much as the Government loves to advertise the good bits but I think they keep the nasty bits away from you. I could have done with it for repairs to our home," he said.
Dr Dirkis said the Federal Government had chosen to target low earning taxpayers who did not receive other government benefits but had done so without consulting the tax industry on the best way to deliver payments.
He said three-quarters of Australian taxpayers lodged returns through agents and some were struggling to track down clients while others were charging customers between $20 and $70 to process their payment.
Tax Commissioner Michael D'Ascenzo this week announced 6.5 million bonuses had been paid with another 1.3 million to be made before May 16.
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