Page 18 - PR Mag June19

TAX TIME – What you can Claim

There are millions of salary and wage earners in Australia and Travelling expenses for work – you can claim the reasonable
most of them who do their own tax returns each year probably amounts outlined by the tax office without receipts. Partly correct -
get it wrong. you will still need to substantiate the expenses with a travel diary and
They are an easy target for the tax office to audit and with artificial credit card or bank statement proving you spent the money.
intelligence and data-matching becoming more sophisticated, most Donations - $2 or more is deductible with receipts. Correct however,
of the time tax office computers can catch all the mistakes made. beware because the cost of raffle tickets to your local soccer club etc.
Penalties can then be levied for these simple mistakes. won’t be tax deductible. The donation must be made where no direct
With the millions of tax returns lodged, the tax office gets an idea benefit can be or is likely to be received by you.
of the average amount of deductions being claimed per occupation. Superannuation contributions – anyone can now claim up-to
If you’re outside of an acceptable range, you’ll get a “please explain $25K for a super contribution. Correct. If you’re less than 75, from 1
letter”. Many tax-payers have already been targeted by the ATO July 2017 every employed and self-employed person can claim for
for the up-coming 2018 tax year and warnings are appearing on superannuation contributions up-to a maximum of $25K (includes
Accountant’s ATO client listings who might need to watch the any employer superannuation support). If you’re between 65 – 75,
amount of their deductions. you’ll still need to pass the work test. Check first with your planner or
So, what are some of the more common claims and misconceptions other superannuation qualified adviser to see if this is good for you.
for the 2018 tax year? There are also plenty of opportunities for businesses from purchasing
Laundry – you can automatically claim $150. Incorrect. You can equipment, prepaying expenses and deferring income.
only claim for the cost of buying and cleaning occupation-specific Tax law is extremely complicated so it’s always best to consult an
clothing, protective clothing and unique, distinctive uniforms. Accountant or Tax Agent to ensure you’re not only getting everything
The claim is based on the number of items purchased or washed, you’re entitled to but that you’re not over-claiming as the penalties
multiplied by a specified dollar amount. You don’t have to keep can be harsh.
receipts, but may have to prove how you calculated the amount
being claimed (usually with a diary). You also can’t claim for buying
work clothes if your employer reimburses you and they intend to Northern Business Consultants – (NBC Mango
claim for them. Hill Pty Ltd) are Big Local sponsors and are
Cars – you can automatically claim up-to 5,000 km/year at a fixed Accountants, Tax and Business Advisers located
at the upper level of the Mango Hill Market
rate. Incorrect. Only if you use your car for work related duties and Place and Aspley. Any advice given in this
travel up-to or in-excess of those work km’s. You don’t need receipts, article is general in nature and cannot be acted
but you may be asked by the tax office how you calculated your upon without specific advice from NBC Mango Call 07 3862 8777
claim. It is often a good idea to check your employment agreement Hill Pty Ltd. Please visit us at: nbc.com.au www.nbc.com.au
to see if using your car is a requirement of your job.

MANGO HILL

ACCOUNTANTS &

BUSINESS ADVISERS

Specialising in Business Structuring,
Wills, Estates and Testamentary Trusts

Business Advice Self-managed Super
Business Systems Tax Preparation

All Enquiries Welcome

Upper Level
1 Mango Hill Marketplace
Halpine Drive, Mango Hill
3862 8777

www.nbc.com.au