A New Financial Year is just around the corner

A New Financial Year is just around the corner!

A new financial year is just around the corner, so start getting Tax Ready Early.

Going through your finances once a year is a massive undertaking, but what if you spent ten minutes each week or entered your deductions as you go to make sure you’re organised? That way, when it comes time to lodge your income tax return you can just pull up your documents and you’re good to go. Plus, none of your valuable deductions are missed.

Most Australians pay too much tax. Paying tax is one of the highest bills the average Australian has to pay. Effective tax planning starts with being organised… NOT just once a year, but throughout the whole year.

Many people look for the best bargains when it comes to updating the car and house insurance, or private health insurance etc, but tax is often the biggest stone left unturned. If you stay current, not only will that save you a huge amount of time and money, but you’ll know exactly where you stand.

Organising your tax documents probably isn’t your #1. priority, however, it can make the entire tax process much easier and ensure you get the maximum tax deductions.

If you feel this is quite a tedious process here are a few organisational habits you can form now to alleviate your stress later.

Remember your accountant can only claim what you have provided so if you miss anything you are missing out on valuable tax deductions.

Generation Private Wealth’s Tax Tip 1:

Download the ATO App

The ATO app is a simple and easy way you can access and manage your tax and super on the go. The ATO app is free to download and use.
Get it on your Google Play or download it on The App Store.The ATO app has a range of features and tools to help you keep on top of your tax and super. To take advantage of all the available features and personalise your experience, link your myGov account to ATO.Once you have downloaded this you will be able to access the “MyDeductions” section from your mobile phone:

myDeductions

You can access myDeductions from the quick link on the ATO app home screen without the need to login. You can see this myDeductions when you first open your app, as per below.

You can go straight to the myDeductions page and in two simple steps enter your expenses as you go.

Choose add Expense
Then enter the expense and upload the receipt image (if required).

MyDeductions can help you keep and organise your tax records throughout the year. It’s a fast, easy way to capture information on the go. Once you finalise your records for your tax return, you can email the data directly to yourself or your tax agent.

Records you add are stored locally on your device and are only sent to the ATO or your accountant or yourself if you upload your completed records to your tax return. (You should back up your data regularly in case your device is broken, lost or stolen as this isn’t an automatic process).

Generation Private Wealth’s Tax Tip 2.

Designate a tax space

Buy a binder or file folders or find an empty drawer to keep all of your important tax documents. You can even buy a basket to keep your receipts in. If it keeps your tax in the forefront of you mind then place it all in a basket on your kitchen counter. You could create a tax space anywhere in your home, as long as it is somewhere so you won’t forget it’s there.

Generation Private Wealth’s Tax Tip 3.

Organise your receipts

Organising your receipts into their appropriate categories makes it easier for you to distinguish where you are spending your money throughout the year so you’re not scrambling last minute to organise that huge pile of receipts in front of you.

Generations Private Wealth’s Tax Tip 4.

Don’t forget your logbook

Don’t forget to keep your logbook updated if you’re claiming home office or vehicle expenses. A logbook is part of how you’ll prove your expenses and works in tandem with your receipts. Updating this as you go ensures you log every expense and are claiming the maximum amount possible.