Tax Time

It is that time of the year again – TAX TIME – and hard to believe that a year has passed already. You are probably looking at your PAYG payment summary and wondering “where has all that money gone?” – so to help you get started here are some “tax tips”.
  • It is tax time and the first question is do you need to lodge a tax return? If a government pension is your only income or your income is less than $18,200 a year, you probably don’t.
  • Did you know…? Fees paid to a registered Tax Agent to complete your tax return are deductible and if you register with a Tax Agent prior to 31st October you can get an extension of time for your return to be lodged in May the following year.
  • Confused about tax deductions for work related expenses…? Up to $300 can be claimed without receipts. However, the claims must be for items necessary for your work and must be substantiated. Car expenses are not included in the $300.
  • You might be able to claim self education expenses if you are taking a course of study directly related to your work. The first $250 of the total of self education is not deductible and you cannot claim Higher Eduction Contributions.
  • Remember when you collate your documentation for your tax return to make sure that you provide all interest and other income from investments. The tax office have a data matching system and can track interest so even the smallest amounts must be provided. Check your bank statements for amounts and if in doubt check with your bank.
  • Expenses relating to your work such as the cost of tools of trade, professional, industry or trade journals or union or professional association subscriptions are allowed as deductions provided they relate solely to your employment and receipts are kept.
  • Businesses, large and small, should act now to gather the many financial details needed for annual taxation returns. To help businesses through the year end tax maze, remember to systematically check the following areas and gather all of the relevant details and material before seeing your Accountant, e.g. Records, Stock, Debtors, Creditors, Other Income, Other Expenses, Loans, Leases and Assets.
  • Being prepared not only saves you time, but more importantly, money.

If you wish to take the stress out of preparing your tax return or just need some professional advice call the team at ATOM Accounting & Taxation on 5452 7205.

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