Do you find yourself comparing your tax refund with your mates and wonder why your tax refund was lower than theirs?
How can you get a better tax refund?
There may be a chance that you aren’t claiming back everything you deserve, this is pretty common - whether it’s forgetting to add in the tax deductions at the time you do your tax return or not keeping receipts to declare tax deductions over $300.
Luckily, there are a few ways that you can improve your tax return to boost your tax refund.
The most important thing to remember before going ahead and claiming your tax deductions is that you are tracking what you are spending correctly.
DO NOT enter in fake or overly large claims to your tax return – Big Brother is always watching.
The ATO has new technology that data matches with similar occupations in similar industries to determine whether the information you are providing is legitimate or not – now don’t get us wrong – your claims could be legitimate – but if the ATO are suspicious they may conduct an Audit which requires you to provide all relevant records to back up your claims.
So, what can you claim to get a big refund back (legitimately)?
Accountant/Tax Agent Fees
If you paid Gotax or another Accountant/Tax Agent last year to complete your tax return – you can claim the fees on your etax return.
Do you use your car for work purposes? This doesn't include driving to and from work (unless you are required to transport bulky equipment that can’t be left at work)
Don’t fake it –
The ATO have made it clear that they are growing increasingly wary about over-the-top car expense claims. If you are claiming car expenses don’t go crazy, be honest and only claim what you are entitled to. If you think you are traveling over 5000KM for work-related travel, you must keep a logbook and records for all other expenses relating to your motor vehicle.
See our blog: Claiming Your Car Expenses for more info on this
If you are lucky enough that your boss allows you to work a day or two at home and you work out of a designated office (not the lounge room). You can claim the running costs of your home office. Remember to keep a diary of your home office usage.
Stay tuned for Part Two of this super exciting blog!
Note that the information provided is general in nature and subject to change, please contact one of our professionals who can evaluate your circumstances and provide more accurate advice to your current situation.