Time to ‘study up’ on your deductions

Time to ‘study up’ on your deductions

Tax time is right around the corner. Not sure what deductions you can claim this year? Well good news, the Australian Taxation Office (ATO) have shared a range of helpful tips and resources to help make tax time simple.

‘So what can I claim?’

From self-education, union fees, school supplies and working from home costs – the ATO’s tailored occupation guide gives great insight to common deductions in your role. It also covers information on the income you’ll need to declare, and the records you need to keep.

Worked from home?

If you’ve worked from home this financial year, there are two ways to calculate your deduction this tax time – the revised fixed rate method, or the actual cost method. From 1 July 2022, the revised fixed rate method has increased from 52 cents to 67 cents per hour worked from home, and no longer requires you to have a dedicated home office space. The expenses covered in the rate, and the records you’ll need to keep, have changed too.

Keep your records

Keeping the right records is essential. Use the myDeductions tool in the ATO app for a fast and easy way to store your receipts and keep track of your records!

And the best time to lodge?

The best time to lodge is from late July, when most of your information from employers, banks and health funds has been automatically included in your tax return. All you’ll need to do is check the pre-filled information is correct, add any income that’s missing, and claim your deductions!

Remember, most tax returns lodged online take about two weeks to be processed.

This article originally appeared as a media release from the Australian Taxation Office (ATO).