May 6, 2024

5 tips to save cash on your Personal Tax Return

by

The Team

When it comes to preparing your personal tax return you want to take advantage of every opportunity you have to maximise your hard earned dollars, but it’s not always easy to know how to do that. We’ve put together this guide to help you with the exact strategies we’ve used for thousands of individuals to maximise their tax efficiency and work smarter, not harder, at tax time.

1. Claim Deductible Expenses

Did you know you can get some money back for things you buy for work? If it's related to your job and you've got a receipt, you might be able to claim it back on your tax.

2. Consider Salary Sacrifice

Salary sacrificing is essentially another way of paying for some things with your wage before your employer takes out tax. It’s most suitable for individuals on mid to high incomes.

You can salary sacrifice a number of things, from;

motor vehicles
private health insurance
electronic devices
super and so on

3. Superannuation Contributions

Personal Super contributions can be a way of claiming a tax deduction. It is important that you first speak to your Superannuation fund and/or accountant to ensure you are eligible. There are strict contributions rules that must be adhered to.

4. Pre-pay expenses

Thinking ahead can also save you money. If you are a sole trader and a Small Business Entity you can pre-pay certain expenses such as subscriptions, which then become a tax deduction in the year they paid.

5. Donate to Charity

Donations to eligible charities may be tax deductible and can be considered as a strategy to reduce your tax. To be eligible the charity must be registered with the Government as a Deductible Gift Recipient. You can check whether your preferred charity is a Deductible Gift Recipient utilising the ATO Deductible Gift Recipient's Register.

Put cash back in your pocket with your next tax return

If you want to make the best of your finances this year, the best way you can save money on your tax return is by getting an awesome accountant to take care of the details for you. You’ll not only save money but a whole lot of time and hassle.