How To Know If You Will Get Tax Refund?
How To Know If You Will Get Tax Refund?
It’s tax time in Australia and there you come across a mix of trepidation and curiosity. You start getting your financial records and gear up yourself for the annual ritual of filling your tax returns. Also, a glimmer of hope emerges about a possible tax refund. Will you be one of the fortunate individuals who receive a welcome financial boost? The anticipation is palpable. So, in this blog post, we decide to unravel the mystery and guide you through the process of determining whether you’re eligible for a tax refund in Australia.
Understand Your Income Tax Obligations
The first step towards finding your eligibility for a tax refund is to comprehend your income tax obligations. In Australia, individuals are subject to income tax depending on their assessable income. This includes salary, wages, rental income, and more. By knowing your assessable income, you can find if you paid more tax returns than you’re required to, potentially resulting in a tax refund.
Evaluate Your Tax Withholding
If you are a salaried person, your employer deducts tax from your pay check based on the information provided in your Tax File Number (TFN) declaration. This amount of tax withheld depends on factors such as your income level, tax offsets, and any additional amounts you specify. So, make sure you review your payslips and payment summaries to ensure accurate tax withholding. If you have excess tax withheld, you might be eligible for a refund.
Consider Deductions And Tax Offsets
Tax offsets and deductions can impact your tax liability and potential refund. The deductions are expenses incurred in earning your income, such as work-related expenses, charitable contributions, or investment costs. Whereas the tax offsets directly reduce your tax payable. In this, the examples include the Low- and Middle-Income Tax Offset (LMITO) or the Seniors and Pensioners Tax Offset (SAPTO).
Which Is The Easiest Way to Track Your Tax Return?
The Australian Taxation Office (ATO) offers convenient self-help services that provide a quick and easy way to check your progress. With just a few clicks or taps, you can check out the secrets of your tax return journey.
If you filed your tax return online, the ATO strives to process it within a speedy 14 days (that’s just two weeks!). However, in some cases that require manual processing, the timeline may extend to a maximum of 30 calendar days.
For those who opted for the traditional paper method, the waiting game takes a bit longer. Paper returns may take up to a generous 10 weeks (or 50 business days) to process. Also remember that it can take up to 7 weeks for paper returns to appear in the ATO’s systems, as they carefully enter the information you provided.
What if you afterward discover you made an honest error or neglected to mention something important in your tax return? Be at ease! The ATO also has a remedy for it. You must modify your tax return to fix any oversights or inaccuracies. This can relieve your mind by ensuring that your information is correct and comprehensive.
To conclude, whether you filed online tax returns or submitted a paper return, tracking the progress of your tax return is now easier than ever. And for this, the ATO has provided many self-help options where just with a few simple clicks or taps you can unlock the mysteries surrounding your return journey. Still, if you have any issues with your tax refund, you can contact KPG Taxation which has an experienced tax return accountant who will carefully monitor your progress and get you the tax refund you are eligible for.
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