ATO urges Australians to take their time with lodging their tax return

There’s been a surge in Australians lodging their tax returns, but the ATO has warned not to rush because it may result in getting less money back. SEE HOW MUCH YOUR TAX REFUND COULD BE

Eager Australians rushing to do their tax return have been urged to take their time so they don’t miss out on getting cash back.

There’s been a surge in Australians lodging their 2019 tax returns — already 1.3 million have filed, up by 600,000 filed at the same time last year — since Prime Minister Scott Morrison’s tax cuts of up to $1080 passed parliament this month.

But the Australian Taxation Office urged Australians “to wait a few weeks before lodging”.

“That provides more time for employment income and other information like bank interest and private health insurance details to be pre-filled too, making lodging easier,” an ATO spokeswoman said.

“Taxpayers can lodge earlier but we know from previous years that the early birds who lodge in the first weeks of July are far more likely to make mistakes or submit incomplete data.”

The ATO’s online portal MyTax, which has made it easier than ever for Australians to lodge their return, continues to receive new information each year.

Doing your own tax is easier than you think

This means the person lodging has the data automatically uploaded into their tax return.

Already 1.3 million Australians have filed their tax returns since July 1.

New pre-fill data this year includes the First Home Super Saver offset, deductions for personal superannuation contributions and business transactions through payment systems for individuals and sole traders.

H & R Block’s director of tax communications Mark Chapman said if Australians lodged their returns quickly they needed to be thorough.

“If they have checked the info that is on the ATO (MyTax) system or the accountant has done that on their behalf and they are confident everything is there, they’re shouldn’t be any reason why they don’t lodge,” he said.

“For most people the prefill information relates to their job, bank interest and private health insurance and if all three of those elements are there, then there’s no reason why people should wait.”

But Mr Chapman said rushing to file a return could result in errors.

“Do take the time to check everything that should be there is there,” he said.

“Be confident all your income has been declared because if you’ve missed something you will get a ‘please explain’ from the ATO somewhere down the line.”

The ATO said about 70 per cent of individuals lodge their income tax return through a registered tax agent and while most others do it using MyTax.

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TIPS FOR DOING YOUR TAX

1. Don’t rush to file your return, individuals have until October 31 to lodge.

2. Get all your receipts together.

3. Use the ATO’s website to find out what you can and cannot claim.

4. Update all your personal details.

5. Be honest, this includes declaring all your income.

6. Use a tax professional to help if you cannot file yourself.

Originally published as ATO urges Australians to take their time with lodging their tax return