Studies show that on an average, Australians fail to claim about $436 worth of their deductions from their taxes. This figure translates to about $131 extra cash on their pocket at the end of their financial year. They miss all these deductions because they fail to claim what they can claim.
The tax system in Australia is quite complex and this could lead to most Australians just wanting to get things over and done with. They also turn to tax agents to ask for help, there are a lot of reputable and reliable agents out there such as those you can find in taxreturn247.com.au. Factors such as poor records and lost receipts all affect the failure to claim what should be theirs. There are some common unclaimed deductions that Australians fail to claim. Here are some of the most common ones.
1. Log Books – Log books are the best way to keep track of your expenses when it comes to traveling to your workplace. If you want to have your claim approved, you should keep your log book for 3 months or longer if you want it approved. This covers those whose work place is greater than 5000 kilometers.
2. Home Office Expense – Some people literally bring their work home. There is nothing wrong with having a dedicated home office and you can actually claim 34 cents per hour as your expense. Some may think that this value is very low to consider but if you add up all the hours that you spent in your home office, you can surely get a lot.
3. A Diary – When your workplace is not as far as 5000 kilometers away from your home, you can still file a claim for it using a diary. You can have 63 cents for every kilometer distance that you travel. To give evidence to your claim, a diary should be kept.
4. Uniform Expenses – Did you know that you can claim the expenses you have regarding having your uniform cleaned? You can actually claim up to $150 annually with this expense.
5. Hiring An Accountant – An accountant or a tax agent can help you to make your tax return for the year and the fee or payment you give to them can be used as a deduction to your next year’s tax.
6. Investments – No matter what your investments are, you can get a tax deduction out of it. A lot of tax payers have investment properties that they don’t claim for a deduction but they could.
7. Income Protection – Income protection is a type of insurance in which you can claim for as a tax deduction. The premium you pay for this insurance can be used as a tax deduction.
8. Gadgets Or Computers – Your computers, mobile phone or other technological tools are bound to depreciate over time. The depreciation of these can all be claimed as tax deductibles.
These are just some of the most common things that can be used as tax deductibles, which most Australians do not claim. If you have any of these, you better take a look at your deductibles claim again to see if you are missing out on any claims you are getting.