Answers to Frequent Questions

What will I need to lodge my return?

Click here to view the extensive list of documents you need to bring while lodging the tax return

What’s the tax free threshold?

If you are an Australian resident, the first $18,200 of your annual income isn’t taxed. This limit is termed as tax-free threshold. You can claim the income tax threshold to reduce the tax amount from your income.

The $18,200 tax-free threshold means you are exempted from a weekly income of $350, $700 a fortnight and $1,517 a month.

What’s the last date for filing income tax return?

The last date for filing tax returns is 31st Oct 2017

Is there a limit on how much I can claim as a tax deduction each year?

There is no limit on claims every year, provided the expenses mentioned in filing, are incurred in earning your income. The expenditure must be work-related with receipts aligned to match them. With no records, you limitthe claims as well as deductions. Take advice from a registered tax agent how to work it out.

What’s the penalty for not filing tax returns?

The penalty is calculated at the rate of one penalty unit ($210) for each period of 28 days (or part thereof) that the return or statement is overdue, up to a maximum of five penalty units ($1050).

How long do I need to keep my receipts?

You must keep all receipts and other documentation used to prepare tax return. If you are claiming any sort of deduction, you must have written evidence to verify those claims.

As an individual, you must keep proper records and receipts relating to tax affairs for at least five years. A small business must also retain the receipts for at least five years since the time, business record is prepared or transaction is completed.

If at the end of the stipulated five-year period, a dispute with the Commissioner requires those documents, the five-year period is extended.

If you use info from records in a later tax return, you may retain records for a longer period. So, in case you carry a tax loss for the next year, you must keep the receipts and records until the end of the review period of income tax return so that the loss is deducted completely.

In case you have an asset on record,subject to capital gains tax, one needs to keep the same records covering the ownership period until about 5 years of the tax filing recording the disposal of the asset.

When can I see the tax refund estimate?

After you enter basic details, register the applicable TFN and income details;the top of the tax return screen would display the tax refund estimate. Each time you enter new amount in tax return, income or deduction, the tax calculator will update the latest change into account.

How much does lodging my tax return with Universal Taxation Service cost?

Universal Taxation offers individual starting from $77!

What do you do with my personal information?

As per our Privacy Policy, your personal information will remain in our secure database. After the tax return is ready for lodgement, the info will be electronically dispatched to the ATO via direct, secure link. The information will not be disclosed to any third party without your explicit prior consent for the same.

How long will it take to complete my tax return?

For most clients, the tax return will only take 15 minutes, after which our team of qualified accountants review your return and suggest extra deductions if applicable.

The ATO normally processes these returns within 10–14 days from the time the tax is lodged with them. Some tax filings take more time too, based on the complexity involved as well as the nature of business. Prevent anydelays by sending documents promptly and clarify details to enhance your tax return.

I have not lodged tax of last two years, Will I get into trouble?

You should lodge all the outstanding tax returns as soon as possible before the ATO takes any action on this. Once they have start any action, your case could be liable for court conviction. The ATO may charge penalty of $210 for every 28 days,the returns are outstanding. The maximum penalty is $1050even if refund is due, and interest will also be charged.

Can I claim fees paid to my tax agent?

Fees paid to a registered tax agent for the preparation of tax return, for amendments and other services are deductible.

You can claim travel to the tax agent in your filings too (limited to 5,000km for entire return).

Can I claim my Self Education costs as a tax deduction?

There needs to be a connection of the self-education course to your current income for its expenses to be claimed as deduction. Self-education needs to help your current job and even boost your job opportunities.

Can I claim anything for the cost of my children's education?

Families who receive Family Tax Benefit Part A can claim $422 for each child studying in primary school, and up to $842 for those each child studying in secondary school.

I have just started my own business.Do I need to register for GST?

You must register for GST if:

  • your business has a turnover of $75,000 or more in GST terms
  • your non-profit organisation has an annual turnover of $150,000 or more
  • you provide taxi travel for passengers as part of business, regardless of GST turnover. This is applicable to taxi owner drivers and those who rent a taxi.

It is the business owner’s responsibility to register for GST if the turnover exceeds $75,000 threshold or expected to exceed it.

What sort of travel expensescan I claim on my tax?

Here are travel expenses you can claim on tax return:

  • Accommodation
  • Miscellaneous expenses during travel
  • Travel fares
  • Bridge and road tolls
  • Parking fees
  • Car rent charges
  • Meals (if the work entailed overnight stay)

Who is entitled to superannuation?

Your employer must pay 9.5% of value into your super fund if:

  • You’re over 18 and earn $450 and more before tax in a calendar month
  • You’re under 18 and work 30+ hours a week and earn $450+ in a calendar month

When I can access my superannuation?

You can access your super:

  • when you turn 65 or
  • when you reach preservation age and retire,
  • under transition to retirement rules while working.
Preservation age based on date of birth
Date of birth Preservation age
Before 1 July 1960 55
1 July 1960 – 30 June 1961 56
1 July 1961 – 30 June 1962 57
1 July 1962 – 30 June 1963 58
1 July 1963 – 30 June 1964 59
From 1 July 1964 60

Will I pay tax on my superannuation refund?

The superannuation refund is taxed at 38 percent for all except for the people who are working on 417 or 462 visa.

If you are a working holidaymaker on either of the aforementioned visas, and your Departing Australia Superannuation Payment is processed after 1 July 2017, your superannuation refund will bear a tax rate of 65%. If the refund is processed before the date, then the tax rate will be 38%.