Income Tax Returns
Make it an annual habit to lodge your income tax return!
One of the first responsibilities we have and a great habit to get into in good financial management is lodging an income tax return each financial year.
It is necessary to lodge a tax return if you are employed, contracted or operating a company or trust and earning about the tax-free threshold or if tax has been paid on any income. Even if the total income earned for the financial year is below the tax-free threshold.
All Australian residents are entitled to the tax-free threshold which currently makes the first $18,2000 of earned income, tax free. After that, we are all taxed accordingly to the relevant tax rate.
Any additional income that is earned also needs to be declared. This may be from investment income, such as interested earned on savings or rent received from an investment property. Centrelink payments, such as Youth Allowance, Austudy or the Age Pension are also included. A full list of income you must declare can be found here.
If you would like to know more on income tax returns including, tax rates, what to do if you have two jobs, how to complete your tax return and if you have 3+ years of outstanding returns to do, download our guide to give you all the information you need!