As tax time comes around once again, experts are reminding everyone to be cautious when preparing their tax return.
This Saturday, June 30, the 2023-24 financial year will officially come to a close, and with tax returns able to be submitted as soon as Monday, A Grade Tax and ProYou’s Matt Free said now is the time to prepare.
“[You should be] gathering your receipts for expense claims, whether they be work related expenses, donation receipts, or motor vehicle expenses,” he said.
“Being prepared will ensure that you are in the best position to maximise any potential tax refund or pay the correct amount of tax.”
According to Free, there aren’t any major changes from this time last year, adding that if you want to know how to optimise your tax return, the answer is simple.
“Bring forward any potential expenditure that will be tax deductible to before June 30, 2024, to ensure you get that deduction this year,” he said.
However, for investors, small business owners, and those who work from home, there are a few things to be aware of as tax time nears.
“Property investors should always be aware of the potential for ATO audits if they overclaim for items that they are not entitled to, such as repairs or interest,” he said.
“People who work from home need to be aware of the rules regarding how much can be claimed and the records that must be
kept.
“Small business owners with turnover up to $10 million still have time up to June 30, 2024, to access the instant asset tax write off up to $20,000 for eligible items used in their businesses.”
Free added that for those who have more complicated returns to lodge, or anyone who’s wary of making mistakes around declaring all of their income, for example, interests and dividends or capital gains, or not claiming all of their allowable deductions, seeking good advice from a registered tax agent and using their knowledge to help prepare and lodge your return could be a good idea.
“Often we see people with complex tax affairs that involve capital gains, foreign income, income from managed funds to name a few,” he said.
“Getting this information correct on your return that can be completed online can be daunting.”
This year’s deadline is October 31 for people who lodge their own returns via MyGov, or May 15, 2025 for taxpayers who use the services of a tax agent, however they must be on that agent’s list before the October 31 deadline to avoid any penalties.
Cassidy Pearce
Cassidy Pearce is a news and entertainment journalist with The Western Weekender. A graduate of the University of Technology Sydney, she has previously worked with Good Morning Macarthur and joined the Weekender in 2022.