For Australians, the end of the financial year is a busy time period. Some business owners with sorted business finance records find it easy, while others say it gets a little tough for them. Apart from the difference in how people may view tax return lodgment, many of us look for different ways to boost our tax refunds. If you have an experienced small business accountant by your side, then they can better look at your business finances.
How Can an Accountant in Melbourne Help Increase Your Tax Refund?
Professional accountants know every trick to deal with tax matters. As a result, they know how to maximise tax returns. The following are some ways to reduce tax liability and maximise tax refunds:
• Claim Deductions for Work from Home Expenses
You are allowed to claim that affects how you earn your income. Don’t forget to keep records to prove the claim. By keeping these things in your mind, you can claim the following if you have a workspace separated from the rest of the household:
◦ phone and internet expenses
◦ home office furniture and fittings
◦ repair, cleaning, and maintenance of the area
◦ lighting bills
◦ cooling and heating bills
• Claim Other Work-Related Expenses
If you are paying for vehicle and travel expenses, whether you go to your office through your car or ridesharing, you may be able to claim a deduction. The following are some other expenses that you can claim:
◦ self-education expenses
◦ equipment and tools purchase and other related expenses
◦ laundry and clothing expenses of uniforms
◦ certain accessories for specific employees
• Get Your Donation Back
Did you know that you can get your donation back? Yes, you have heard it right. However, keep one thing in mind not all your donations are liable to a tax deduction.
• Self-Education Refund
ATO allows you to claim tax deductions on the expenses that you use for self-education. However, don’t forget that the study expenses must be related to earning your income. For this, you need to show the connection between your employment and your studies. If self-education is not related to your employment or is too general, then you will not be able to claim a refund for self-education. You can rely on your accountant for these types of refunds. You can also look for an accountant near you by searching for an ‘accountant near me’. The following are some self-education expenses that you can claim:
◦ stationery
◦ student union fees
◦ fees for student services
◦ computer expenses
◦ tuition fees
◦ professional journals and textbooks
• Know Your Tax Brackets
Determining your tax bracket is the best way to prepare for tax season. Once you know your tax bracket, you will understand your tax obligations so you can plan accordingly. This is important because tax brackets change more frequently. Small business accountants can help you estimate your tax liability to optimise your current position.
• Track and Save Your Receipts
Saving and tracking receipts are important during tax return lodgment. Therefore, it important to file away all essential invoices and show them to your tax accountant for advice. In this way, you know the documents to save for the next tax time. Don’t forget that the ATO needs you to show proof of your expenses to claim deductions.
• Contribute to Your Super
By contributing to your superannuation fund, you can increase your tax refund. Personal contributions can be eligible for a tax deduction, which means you may be able to claim a deduction depending on your contribution.
• Speak to a Registered Tax Accountant
Seeking help from an expert tax agent would be a wise decision and gives you peace of mind that you are claiming everything you are eligible for. With the help of a tax accountant, you can be sure that you have the right information in the tax return.
Conclusion
The blog outlines the most common strategies to claim possible tax deductions to increase tax refunds. However, you need to seek help from expert and Reliable Melbourne Accountants to maximise tax refunds.
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