Money Doesn’t Come Without Guidance ...
This article contains information regarding how to collect relevant information to use in your income tax return. If you are unsure what specific information you have to keep, check the contents to see how much you follow in your daily life.
1. Income declaration: The most commonly found items in income declaration would be a payment summary. Payment summary is a statement that employers send to employees at the end of the financial year. This is a major document that provides information regarding your income during the financial year, and it has to be issued by 14th July to the employees. If the taxpayer left the job during the financial year, the taxpayer could ask a part-year payment summary. If your payment summary is lost or missing, you can either request a copy or a letter from your employer stating the details of the income and tax withheld.
2. Calculation for claims: The calculation for any of your claim must be accurate. When in need, ATO will ask the taxpayer how the taxpayer worked out the amount claimed. Hence, must keep any relevant information regarding calculation! For instance, your log book should have evidence to prove how much percentage of your total distance of the travel was business related. Similar to the log book, your phone bill claimed also be able to show how did the amount claimed calculated.
3. Private and domestic expenses: If you are not sure of whether to keep the record or not, the easy question quickly addresses the answer is, ‘is the expenses not private and domestic expenses?’ If your expenses fall into that category, it is less likely to be accepted as deductible expenses. Though, it may difficult to tell where the line lies. For instance, if you calculate distance travelled for business, your home to the work will most likely be not accepted as it is private n. But, if your work involved travelling as part of a job and you have to carry bulky items as necessary equipment, your claim will be accepted. Similar to the work-related travel expenses, if your occupation requires you to work outside under long hours of sun exposure, you can claim sun protection expenses which include the cost of sunglasses, sunscreen and other sun protection. When it is difficult to remember what record should be kept, remember that the determinations focus on the nature of your expense.