Recent Posts

 
 
 
 

How can i reduce my taxable income in 2019?

It’s never too late to go to a tax agent and prepare all the necessary forecasts and start planning your finances effectively.

The financial year end is a time period which scares every taxpayer, primarily because the time to file your income tax return is on the round. While you file your income tax return, you do certain preparations like collecting receipts for your expenses, keeping your necessary documents in place, consulting the tax agents for taxation matters, etc.

However, you also need to know that this period is also crucial for another important thing; tax planning. The earlier you start planning your tax, the lower taxes you pay at the end of financial year. Tax Planning not only helps you minimize your taxable income, but it also helps reduce your financial risks, thus stabilizing your financial conditions throughout the year.

The first step to tax planning is reducing your taxable income while planning your income and expenses properly, so as to attract less taxes and more money in your favour.

Following are some basic tips to be considered before you file your income tax return 2019, in order to reduce your taxable income:

  1. CLAIM ALL THE DEDUCTIONS YOU ARE ELIGIBLE FOR

This is one of the basic thing you can do. Not many of the taxpayers are aware of the deductions they are eligible for. It’s high time that you realise what eligible deductions you have been missing out on, and claim these deductions to reduce your taxable income.

  1. CONSIDER TAKING FRINGE BENEFITS

How would you feel if you get something extra, complementing your salary from your employer? That’s what a fringe benefit is all about. The best part about such benefits is that you get to enjoy a little more with some more perks in the form of gym memberships, coffee bar vouchers, free food, etc. while your employer pays taxes on such benefits.

  1. CONTRIBUTE MORE TO SUPERANNUATION FUNDS

Contributing to the superannuation fund till you exhaust your limit for the same, can gain you more benefits on contribution to such funds.

  1. KNOW ABOUT INCOME PROTECTION

You certainly don’t want your income to come to a standstill if you ever have an accident or a major illness. Income Protection Insurance pays benefits to the taxpayers who get incapacitated due to an unforeseen health hazard. You can claim the income protection insurance premium, you paid

  1. KEEP RECEIPTS OF EACH AND EVERY TRANSACTION

Be it any transaction of any nature, keep a copy of an invoice, or an acknowledgement receipt for them. Why? So that when you realise you can claim deduction for them, you can keep your related documentation ready in support of your claim. And BINGO! You save money in your taxes, right there!

  1. FRANKING CREDITS

When an Australian company announces fully franked dividends, the taxpayer can claim deduction against their taxable income for the tax that the company had already paid. Franking credits helps taxpayers reduce their income tax payable.

  1. AVAIL CLAIMS FOR WORK-RELATED TRAINING COURSES

Did you undergo a training during your employment to improve your present employment skills? You can claim deduction for the expenses borne in relation to this training.

With such a benefit by your side, will you say that learning new things is an expensive affair?

  1. NEGATIVELY GEARING YOUR PROPERTY

Negative gearing of your property in other words is generating tax losses which comes from tax-deductible costs that are higher than investment income. You can reduce your taxable income by claiming loss of the rental property.

  1. APPROACH A REGISTERED TAX AGENT

Wasting time by planning your income tax and financial position by yourself, will lead you to paying more tax and leaving you unaware about the benefits you are eligible for as a taxpayer. Approaching a registered tax agent will help you plan your tax effectively and save money for all the other things you have been eagerly waiting to purchase.

  1. DONATE MONEY FOR SOCIAL CAUSES (CHARITY)

They say it right; charity begins at home. Donating money for social causes or charities will benefit you with a tax deduction. However, make note of this; the voluntary charity should be made in monetary terms and shouldn’t be made for giver’s direct or indirect material benefit. Ensure that the donation is made to the organisation who are Deductible Gift Recipients (DGRs)

  1. TAKE TAX OFFSETS INTO YOUR BENEFIT

Here’s another way to save more money on taxes. Tax offsets are often related to tax rebates, and are applicable after all your tax obligations have been calculated. They are available for people who are:

  1. Low income earners
  2. Receiving Government benefits
  3. Pensioners and older Australians
  4. Private health insurance owners
  5. Staying with a dependent relative
  1. PRE PAY CERTAIN EXPENSES

Want to buy a new air-conditioner for your office? Bring forward all your heavy expenses that were otherwise waiting for the next year. The result? It’ll lower down your taxable income, and can possibly bring you down to a lower tax bracket. And ultimately you’ll save your taxes.

  1. CLAIM THE DEDUCTIONS FOR DEPRECIATING ASSETS

If you are a small business, you need to hear this; you can claim deduction up to $20,000 for all eligible assets that are in use, or installed for use in this financial year.

The good news is that the limit of $20,000 can be used for as many depreciating assets as you wish.

  1. SACRIFICE YOUR SALARY WITH OTHER BENEFITS

Don’t be scared. We aren’t advising you to lower down your salary package. Sacrificing your salary in this case, means to utilize a part of your agreed salary on certain benefits. This can be done with your employer. Reducing your basic pay and shifting your other salary income to benefits like loan payments, health insurance, child care fees, etc. will lower down your overall taxable income, which will in a way save you money.

Fill in the form HERE to have an expert will call you and get your same-day refund*, or if you have an questions relate to MyTax 2019 and mygovOnline tax return 2019, you can contact us by calling 1300 698 297 Or email us at info@mytaxrefundtoday.com.au.

*Conditions Apply

Disclaimer-This disclaimer informs readers that the views, thoughts, and opinions expressed in the text belong solely to the author, and not necessarily to the author’s employer, organization, committee or other group or individual. To have your tax case assessed please contact a registered tax agent.

 

HOW IT WORKS

Why Wait For 2 Weeks…? Get Your Tax Refund Today !

FREE TAX REFUND ESTIMATE

Free Tax Refund Estimate

How did you hear about us?

yes I accept the Terms & Conditions of this website and authorize My Tax Refund Today (ABN 87145232319 and tax Agent no 23282009) to add me as a client in Tax Agent Portal

DON'T WANT TO WAIT 2 WEEKS? 

 

ASK US FOR OUR
1 HOUR TAX REFUND OPTION!

FREE TAX REFUND ESTIMATE

 

MTRT

  • I would like to thank your team for a hassle free and fast tax refund. All of the problems related to employer tax papers were sorted on the spot. I have already recommended you guys! Thank you and see you next time

    Danijel
  • Very good experience. Friendly staff. Easy and convenient process. No problems at all. I will use them again in future.

    Melissa
  • Both me and my husband found the tax refund process a smooth one and at the time we were in need of funds quickly and Raj was accommodating to our needs. The process was simple, easy and the outcome desirable. We would certainly consider using this service again and we have recommended this to our friends without hesitation

    Domenica
  • My experience with your company was excellent as I left it to the last minute. They sorted me out with no problems and no fuss

    Allen

© copyright 2020 My Tax Refund Today All right reserved  |  Terms & Conditions  |  Privacy Policy  |  Disclaimer

back to top