Are you planning to leave Australia? Ensure a smooth departure by learning how to lodge your tax return early.
Eligibility to File an Early Tax Return
Are you wondering if you qualify for early lodgement? If you’re leaving Australia permanently before the end of the income year, you might be eligible. You will be required to use the paper tax return form to file early. 50 business days are the time of processing for early lodgments. The ATO only accepts early lodgment of tax returns for individuals prior to the end of the income year if you are either:
- a foreign resident and you
- are leaving Australia permanently
- will no longer get Australian-sourced income (other than dividend, interest, and royalty income)
- an Australian resident and you
- stop to be an Australian resident for tax purposes
- are leaving Australia
- will no longer get Australian-sourced income (other than dividend, interest, and royalty income).
You will be required to file your tax return during the normal lodgment period (1 July to 31 October) if you:
- are not leaving Australia permanently
- will get Australian-sourced income (other than dividend, interest, and royalty income) after leaving Australia
- have one of the written below:
- Trade Support Loan (TSL) debt
- Higher Education Loan Program (HELP) debt
- Vocational Education and Training (VET) Student Loan Debt.
How to Lodge an Early Tax Return?
It’s a simple process with a 50 business day processing time. After meeting the eligibility criteria outlined above, you have to:
- Refer to the existing individual tax return instructions.
- Collect payment summaries from each of your employers and details of other income you earned while in Australia. Payslips are not enough as they may not have final payment details.
- If your employer reports to the ATO through single touch payroll, your payment, super and tax details will be available as an income statement online in myGov.
- Contact the ATO to discuss general needs such as the payment of any outstanding debts and tax returns lodgment for previous years (you need a file number and other information such as earlier year’s notice of assessment to create proof of identity).
- Consider any new legislative changes that may affect your circumstances when preparing your early tax return.
- Follow the current tax return instructions mark the year boldly and post the completed form to the provided address.
Your notice of assessment will be sent to the address you provide. If you think that you are not in good financial condition, you can review your eligibility request for priority processing.
Other Lodgment Options
If you establish a link between ATO and your myGov account, you can file your tax return online with myTax from overseas. Ensure you have overseas accessible sign-in options and an Australian bank account for any refunds.
Tax Return Lodgment with a Registered Tax Agent
A tax agent is a qualified agent who helps you prepare and file your tax return. You can use the services of a tax agent. It is necessary to seek help from a tax agent who is registered with the Tax Practitioners Board (TPB). When you use a registered tax agent, they can ensure to:
- maintain and meet the required standard
- comply with the Code of Professional Conduct.
When you choose an agent, you must discuss the services they offer so you both know what to expect.
Registered Tax Agent Due Dates for Tax Returns
Most tax agents have a special lodgment program and can file returns for their clients after the 31 October deadline. The due date for your tax return will be based on your personal situation and when you involve your tax agent. You need to contact your tax agent for suggestions about your situation. If you are seeking help from a tax agent for the first time, you should get in touch with them before 31 October to be part of their lodgment due dates.
Now that you know the eligibility to lodge a tax return before you leave Australia and the method of lodging a tax return. Apart from this, you can seek help from Reliable Melbourne Accountants.