Did you know that the majority of salary and wage earners receive a refund when they lodge their tax return? The earlier you send in your tax return, the earlier you will receive any refund due to you.
Need a tax receipt for your union fees?
Union fees are tax deductible. If you pay by invoice, direct debit or credit card, a tax receipt for your CPSU fees will be posted to you by the end of July. This happens automatically, so there is no need to contact the CPSU about sending it.
An easy way for the more than 2.5 million people who prepare and complete their own return is to use e-tax.
People using e-tax can download information from a range of government departments and third parties into their tax return, including pension payment information from Centrelink and the Department of Veterans Affairs and interest earned from many banks and financial institutions.
October 31 is the cut-off date for lodging a tax return.
The ATO advises that if you forgot or were unable to lodge a tax return for a previous year, you should call them at 13 28 61 for advice.
Failure to lodge a tax return on time can incur a penalty, but the ATO policy is not to apply a penalty where a person’s tax return is lodged voluntarily and does not result in any tax payable.
If your tax return is incomplete — for example, if a payment summary is missing or it is not signed — the ATO may send it back to you. Where that happens, they consider your tax return has been lodged on the date it is returned completed.
If you don’t have your payment summaries because they are late or lost, or if your payment summary is wrong, contact your payer (usually your employer) as soon as possible. Ask for a signed, certified copy of the missing payment summary or a statement or letter showing the correct details. If you are unable to obtain these details from your payer, complete a statutory declaration (available from the ATO) showing:
the period covered by your missing documents during which payments were made
the name of your payer
the amounts of tax withheld, and
the gross amount you earned.
Attach your completed declaration to your tax return.
If you have not received all your statements for your investment income (for example, interest and dividend income), contact your investment body as soon as possible.
It is important to declare the correct amount of investment income in your tax return. You may be penalised if you underestimate your income for the income year.
While you don’t need receipts if your deductions for work related expenses are less than $301, you must be able to show how they relate to your income and how you calculated the amount claimed.
If you make claims over $300 for work related expenses you will need to keep written evidence to prove the total amount, not just the amount over $300. You need to keep your records for five years from the date you lodged your tax return.
Helpful hints for tax time
1 To make sure your refund is not delayed, double check your name, tax file number, date of birth and signature (if you are lodging a paper tax return) on your tax return before you lodge it.
2 Check your employment history for the year against a calendar. Make sure every day of the year is accounted for.
3 Remember to include on your tax return any dividends you received and any capital gains you made when you sold shares.
4 Two of the most common types of income left out of tax returns each year are interest earned on investments and government allowances.
5 The cost of purchasing, repairing and laundering protective clothing is deductible. However, the cost of purchasing, repairing and laundering everyday clothing worn at work is not.
6 All union fees are tax deductible. If you pay your union fees through pay roll deductions, your group certificate will show them. If you pay by any other method, you should receive a tax statement from the CPSU. For further information, email us at members@cpsu.org.au.
