Life hacks for tax: how to make this tax time quicker, easier and simpler
It’s time to think about tax.
Tax time begins this weekend, so the ATO has put together a bunch of information to help people get things right.
1. Decide how you’re going to lodge by 31 October
When it comes to lodging your tax return, you can do it either yourself using myTax, the ATO’s online lodgement tool, or use a tax agent.
If you are planning to use an agent for the first time this year, or are using a new agent, make sure you contact them by 31 October. Registered tax agents are the only people allowed to charge a fee to prepare and lodge your tax return.
2. Know what you can claim
To claim a deduction for a work-related expense remember the ATO’s three golden rules:
- You must have spent the money yourself and not have been reimbursed
- It must be directly related to earning your income
- You must have a record to prove it
3. Have your paperwork handy
Having to keep, or maybe find, all your records to prepare your tax return can be a hassle. The ATO app’s myDeductions tool makes it easier and more convenient to keep records of your expenses and income all in one place. If you’re in a hurry, you can use the app to snap a photo of your receipt and add the details later.
At tax time, you can upload your data into myTax to pre-fill your tax return. If lodging with an agent, you can also email the data directly to them.
4. Wait for pre-fill
For many people, waiting for pre-fill to become available means all they have to do is double-check the information the ATO have pre-filled for them, enter any deductions they have and then hit submit.
The ATO says they expect to receive most pre-fill information by August, which means if you can wait until then, completing your own tax return should be even quicker and easier, and you’ll be far less likely to make a mistake.
5. Don’t panic if you make a mistake
It’s not the end of the world if you report something incorrectly on your tax return. If you make a mistake or forget to include something, it’s easy to lodge an amendment online – just go to ww.ato.gov.au/fixamistake.
