A very easy way to boost your tax return refund is by taking advantage of the deductions that you can claim. When you complete your tax return, you will be entitled to claim deductions on expenses you’ve incurred, which are related directly to earning your income.
If you want to claim work related deductions, the money spent from your pocket must not have been reimbursed by your employer. The expenses should be directly related to earning your income and you have a record to prove these expenses.
Car and travel expenses are costs that many people claim in their tax returns but not all travel and car expenses are deductible such as travel to and from work.
Properly claiming these expenses cannot only save you a lot of money but can keep you out of trouble with the Tax Office.
If you use your car for work, the claimable travel and vehicle expenses are leasing, depreciation, registration costs, insurance costs and costs of running such as fuel, oil and servicing. You cannot claim expenses for your private use or those related to voluntary work.
You can also claim by using the kilometre travelled for business method. The Tax Office gives you a rate that is used based on the type of vehicle you have.
There are many complex deductions which you can claim to reduce your taxable income. Make sure you are claiming all deductions available to you by working with a professional that can help you maximise your tax return.
What can you do?
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