Another year has passed and it’s time to prepare your 2020 Tax Return.
What you need to know for your 2020 Tax Return
This year has been very different, with unprecendented events of bushfire and COVID-19. As restrictions are still in place and the pandemic is continuing, we have made some changes in how we deliver 2020 Tax Returns this year. Our office is fully operational, but is running remotely. So if you try to visit our office in Kent Street, you will find it closed. We are open for business, just via our usual phone number, video conferencing (Zoom) and email. Why travel to do your tax return, when you can do it from the comfort of your own home?
Please note information, such as wages and salaries, bank interest, managed fund tax statements and private health statements that are provided to the ATO for your tax return will not be available until at least after late July 2020.
We therefore recommend that you wait until all the information for your tax return is available before lodging your tax return.
We’ve put together some handy guides and checklists to help you prepare your 2020 Tax Return information.
This quick checklist provides a list of possible items you should consider to ensure your tax return is complete. Please review the items and advise your accountant if any apply to you.
Recently, it has been in the media that employees can claim a deduction this tax time for working from home during the COVID-19 pandemic. The Australian Tax Office (ATO) has introduced a new method of claiming deductions for working from home. This new method allows people to claim a rate of 80 cents per hour for all their running expenses, rather than needing to calculate costs for specific running expenses. This method, however, only applies between 1 March – 30 June 2020 period. As usual, the ATO has stated that deductions must still follow the three golden rules: you must have spent the money yourself and not have been reimursed and there must be a record to substantiate the claim.
It’s important to know what you can claim and what information you must keep in order to claim a deduction. The flyer below gives you a general summary of what home office expenses are allowed.
Contact us to discuss your personal situation and what you can claim.
For property investors, a special checklist has been created to ensure you have all the required information for your tax return. If you have not yet obtained a Depreciation Schedule for your property, contact us so we can assist you in obtaining one for your property. A depreciation schedule is a report that outlines all the available tax depreciation deductions for a specific investment property.
Use our Tax Deduction checklist to determine what you can claim. Contact us if you have any specific questions to your own circumstances. This checklist is a general guide only.
No Payment Summary from your employer?
Payment summaries (or even the old ‘group certificate’) are now a thing of the past. The ATO has introduced Single Touch Payroll (STP), which means that salaries and wages are reported electronically to the ATO. You can obtain your annual income statement (new name for payment summary) from your myGov account.
To find out more information on how to setup a myGov account or to access the ATO online services, click here.
Your accountant will automatically receive your income details from the ATO pre-fill, so you don’t need to worry about providing that information.
If you have have any questions about what you can claim or what you need to provide for your tax return, please phone our office on 02 9267 1688 or email us at email@example.com. We are happy to help you out.