Making mistake in filing your Tax Return Onlinemay not cost your money but in the long run, it has the potential to delay the receipt of any prospective refund you might be expecting to get.
You may ask what tax return is.
The term tax return refers to the form containing your personal details, and declaration of income you received.
Presented here are 4most common mistakes that show up every tax season. As you consider your tax return for filing by the end of Juneof each year, ensure you have not made any of these mistakes.
Bad Math or Arithmetic Calculations
This is the most common error that occurs yearly on tax return application process. Mistakes in math calculation have the capacity to reduce your tax refund making you to owe more than you thought. Mistakes made while transferring figures from one schedule to another can be corrected immediately.
Therefore, filing your Tax Return Online can help to reduce arithmetic errors drastically. The built-in calculators in the online platform will do the work for you by adding, subtracting and inserting figures on forms as required. On your own part, ensure that the initial figures are correct.
Wrong Bank Account Details
Every qualified citizen of Australia can have a refund directly lodged into different bank accounts. This approach is an incredible option to save your refund cash, yet the more numbers you enter on the tax document, the more likely you will enter them wrongly. So incorrect bank account details such as account numbers and postal address could make you lose your refund money entirely.
Wrong account details may not pose a great threat especially when the refund is divided into many parts. Regardless of the possibility that your refund is going to only one bank account, it will be ideal to ensure you enter your bank details accurately.
Majority of taxpayers wait till the last minute rush before they file their tax returns. This scenario is not commendable because the taxpayer may not get everything right at the rush hour. On the otherhand, it is favourable to those whose documents are postmarked before June 30. Missing the deadline could attract late-filing or non-filing penalties.
The documents needed to complete and lodge a tax return with the Australian Tax Office (ATO) are PAYG payment summaries for each job. Also your personal details such as full name date of birth, postal address and tax file number should be handy.
A PAYG payment summary is a document from your employer showing the total amount before tax was withheld and the amount of tax withheld; andit is issued every year by the month of July.
Filing By Yourself or an Unauthorized Person
Anyone who has worked in Australia must complete and enter a tax return with the Australian Taxation Office (ATO) as prescribed in Australian law. It is generally described as employment income for travelers. According to Australian law, a tax return can be prepared by anyone, but only a registered tax agent can prepare and lodge a tax return on behalf of the individual and it is installed on your PC most of the times.
Many people find tax return filing daunting, but it is not actually all that tasking. While filing, ensure you make no mistakes and do it right.