Everything you need to know before lodging a tax return

Every tax paying individual in Australia should keep following points in mind before taking the next step. ATO has issued guidelines for tax lodgement.

KPG Taxation has compiled those points to make it easy for their clients to understand. According to ATO, as an individual you must lodge a tax return if:

  • you paid tax during the tax year (1 July to 30 June).
  • your taxable income (including Centrelink allowances or payments) was over certain thresholds for residents – see Do you need to lodge a tax return
  • you are a foreign resident and earned $1 or more in Australia during the tax year (excluding income that had non-resident withholding tax withheld).
  • you are leaving Australia permanently or for more than one tax year.

Information you need to lodge

To lodge a tax return, you need know:

  • how much income you have earned from working, from interest on bank accounts or investments
  • how much tax has been withheld from your income (how much money is taken out of your pay by your employer and sent to ATO).
  • about any deductions and tax offsets you are claiming.

Deductions are costs you can claim to reduce your tax. Most deductions are work-related expenses. That is money you have spent on something to help you earn your income. You must be able to show that:

  • the expenses directly related to earning income.
  • the expenses are not private in nature.
  • you have a record to prove your expenses (such as a receipt).

Your employer needs to provide you with an income statement or payment summary. This shows how much income you earned and how much tax you paid.

Next steps:

Record keeping

When you lodge your tax return, we process it and work out whether you have paid the right amount of tax. We let you know the result by sending you a notice of assessment.

You must keep records, such as receipts, for any deductions you claim. You need to keep these records for at least five years from the date you lodge your tax return. ATO may ask you to show us these records.

myDeductions is a convenient way to keep your expense and income records in one place. Download the ATO app to your smart device and select the myDeductions icon.

See also:

Complete and lodge your tax return

When to lodge

If you are preparing and lodging your own tax return, you must lodge it by 31 October. If you are using a tax agent for the first time or a different agent to last year, you must contact them by 31 October.

If you do not lodge your tax return and pay any amounts you owe us, you may have to pay penalties.

Lodge online using myTax

You can lodge your tax return online using myTax. It is the quick, easy, safe and secure way to lodge online. To use myTax, you first need to create a myGov account, and link your account to the ATO online services.

Next step:

Lodge using a registered tax agent

You can use a registered tax agent to prepare and lodge your tax return. You need to contact them before 31 October. You can find a registered tax agent, or check if they are a registered tax agent.

Next step:

For any queries, feel free to visit KPG Taxation, Hobart

Address: Suite 14, Level 2, 162 Macquarie Street, Hobart TAS 7000, Australia

Phone: 03 9706 9313

Email: info@kpgtaxation.com.au


Call 03 9706 9313, or book online at www.kpgtacation.com.au and your tax agent will be in touch to help.


Email: info@kpgtaxation.com.au

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