How To Do Your Best Tax Return and Boost Your Refund

Many Australians lose hundreds of dollars each year – simply because they forget about work-related deductions and the receipts for items they can claim.

Do you compare your tax refund to your friends and family and wonder, “How can I get a better refund”?

There are many ways Australians can improve their tax refund. Unfortunately, millions of dollars are left in the hands of the ATO every year. That is money lost by taxpayers who simply didn’t know how to complete their tax return in the best way. It’s like giving away a donation – to the ATO!

You can avoid that, and get the money you deserve.

The first, best strategy for getting a better tax refund is keeping good, simple records of what you spent (for purchases that are related to how you make a living).

Be careful though! Don’t add fictional or inflated claims to your tax return. We all need to pay some tax to keep the country going, but we can still get a better tax refund by getting the tax return done right. The ATO uses AI and over 20,000 staff to find dishonest tax returns – don’t let this be you.

Most taxpayers use a tax agent like Etax to help them get a better tax refund AND avoid ATO audits. Even if you use Etax, the tips below will help you get a better tax refund, and help get it done fast.

How to make tax deductions simple:

Etax has an automated “deduction-finder” that helps you find the deductions you are entitled to. Your Etax return will automatically suggest deductions like the ones below, when they are most relevant for you.

10 best tax deductions for the best tax return

Here are 10 of the most under-claimed (but legitimate) tax deductions:

1. Car expenses

This is commonly forgotten. Work-related car costs add up quickly, so don’t leave them off your tax return. But, don’t get carried away with car expense claims. Be honest – if you drive a lot for work, the deduction for car expenses can really pump up your tax refund.

• NOTE: Your journey to and from work cannot be claimed, unless you must transport bulky equipment that you cannot leave at work. This means, you can’t claim your regular commute. But you can claim all trips for work-specific purposes.

Read more about car expenses:
Car tax deductions guide | Car logbooks explained | Download a car logbook

2. Home office running costs

This deduction gives you a much bigger refund, if you qualify to claim it.

Do you regularly perform your work duties at home? Did you have additional expenses as a result? If so, read more about home office expenses here.

3. Travel expenses

Include the costs of any work-related travel and/or accommodation. If you receive an allowance from your employer, you must include this amount as income on your tax return. Always keep good records, such as a travel diary, and all your receipts for your travel expenses.

4. Laundry

If you wear a company-branded uniform for work, you can claim up to $150 per year for laundry expenses without even having receipts. If you have proper receipts, this deduction can be even bigger.

5. Income Protection

If you pay for income protection insurance, outside of your Superannuation, you can claim the cost of the insurance premium as a tax deduction.

6. Union or Membership Fees

If you’re a member of a union or a professional body, claim those registration fees!

7. Accounting Fees

If you paid a tax agent to prepare your tax return last year, make sure you include the fee you paid; it is a tax deduction this year!

8. Books, journals and digital information

These are expenses very few people realise they can claim. Always claim your educational and trade publications, print or digital, directly related to earning your income in your tax return. This includes things like magazines or website subscriptions that are related to your work. This is a type of expense many people overlook at tax time, and claiming can really increase your tax refund.

9. Technology

Claim depreciation on your computer when you use it for work. Your tax agent will help you work this out, as it’s a little complicated. Plus, for a bigger tax refund, remember to claim the work-related percentage of your home internet use and phone expenses on your return.

10. Tools and equipment, including protective items

If you buy and repair items needed to do your job, such as non-slip healthcare shoes, overalls, measuring devices, stationery etc. you can also claim these as tax deductions.

That all sounds complicated, but Etax makes it easy

Improve Your Tax Return with Simple Record Keeping

If you want to get the best tax refund every year, simple record keeping is the trick. Keep every receipt for every work-related expense – even if you’re not sure if you can claim them.

Here’s a guide on easy tax record keeping guide to help you.

Getting the best tax refund and avoiding ATO trouble isn’t easy on your own.

That’s why we’re here! At Etax, it’s our job to help you claim the maximum possible deductions, to get the best tax return result that you’re entitled to.

It’s no wonder that most taxpayers use a registered tax agent like Etax.com.au to prepare their tax return.