So for a little bit of context, I earn in the low 80s as an annual salary and generally pull in around 7-8 K per FY in bank interest on my savings accounts. As I do have a student loan which so far is sitting at around 20K, and my tax bill for this year is around 4K.

Whilst I completely understand there is no real way to reduce my taxable income as I have two savings accounts and a government debt, i have recently received a letter stating I need to enter into PAYG instalments based off business and investment income, in this case it is citing my interest income as a source.

So I am trying to work my head around what this is asking, is it asking me for additional tax? Because my understanding was my interest income was already included in my latest tax return. In addition to fortnightly tax bill repayments it seems all my accrued interest per month will end up going to tax?

Hope any one can make sense of this or has been in a similar situation will call them Monday but not sure what I’m supposed to do with it atm