10 Essential Things To Know This Tax Season.

Anyone who makes money in Australia must pay income tax, and for the majority of people, filing a yearly tax return is now a reasonably simple habit.

But what if you’re unfamiliar with the tax system?

You may be beginning your first job after-school, you may have recently graduated from college or university and be starting your first work, or you may be a newly arrived immigrant.

Whatever the reason, it is acceptable that you may not yet have a complete understanding of the Australian income tax system.

Before filing 2021–22 tax returns, make sure you are familiar with the following list of essential details:

  1. As there may be varying tax treatments depending on the payment, confirm whether natural disaster and COVID-19 assistance payments need to be included in the 2021–22 tax return.
  2. Make sure you are qualified before being able to deduct the expense of purchasing work-related COVID-19 tests.
  3. As long as you satisfy the eligibility and record-keeping requirements, you can pick between the temporary shortcut (all-inclusive), fixed-rate, or actual cost methods when deducting working from home expenditures on your 2021–22 tax return.
  4. If you’re using the temporary shortcut or fixed rate methods, be sure you haven’t added any extra costs that are already included.
  5. Ensure that you have all the paperwork to support your deduction claims. There will be no deduction if there are no receipts, logbooks, or diaries.
  6. Coins, tokens, and non-fungible tokens sold during the fiscal year 2021–2022 must have reported capital gains or losses. Make sure to count any staking bonuses or airdrops you’ve got as regular income. Income tax will also apply if you trade cryptocurrencies for a living.
  7. Any rental-related income you received during the year must be disclosed on the return. This includes short-term rental revenue, insurance proceeds, and bond proceeds that were kept.
  8. Be well aware of the rise in the tax credit for low- and middle-income earners for the 2021–2022 tax year. Depending on your taxable income, the offset can now be up to $1,500.
  9. The deadline for your 2022 tax return would be October 31, 2022, if one or more prior-year tax returns were past due as of June 30, 2022. The 2022 tax return will be required in accordance with your regular filing schedule if all past-due prior-year tax returns are filed by October 31, 2022.
  10. Support is available if exceptional or unforeseen circumstances prevent you from timely lodging your returns. You might be qualified for an assisted or deferred settling programme, depending on the problems you’re dealing with.

Wrapping it up

KPG Taxation is here to help you if you need to file your income tax returns. Due to KPG Taxation’s extensive industry expertise, we can provide accounting, bookkeeping, and tax services that are accurate and timely.

We can go above and beyond to satisfy our client’s expectations because of our passion and attention to efficiency.

Consulting with KPG Taxation

Focus On Growing Your Business, Leave The Accounting On Us!

  • Income Tax : File your taxes & get the best claims & returns.
  • Accountancy : Hire expert accountants to manage your transactions.
  • Bookkeeping : Let us handle your record books and expense reports.
  • Business Advisory : From company set-up to payroll, we handle it all.