Planning is one important aspect that you need to look into when getting ready for tax time. You need to know what to claim and you need to keep all records necessary to back up these claims in your tax returns Australia.

A good tax returns Broome planning could mean the difference between getting a tax refund and a minimised tax payment. It would also be good to get the professional help of tax accountants to make sure you are on the right track.

Here is a list of things you need to know when you prepare and lodge your tax returns this year:

1. Do your homework
Before the end of June, you should have an idea of what your financial position looks like. Guessing should not be an option. Your tax accountant should be dealing with the facts. This is most especially true for small businesses.

There are lots of start-ups and small businesses that have failed because they don’t keep proper records of their income and expenses for their tax returns Australia. As a consequence, they are not able to know the true state of their tax situation. It always pays to do tax planning a year ahead, as soon as 1st of July comes.

2. Rules are rules.
It is written in the tax law that taxpayers are not allowed to claim private use portion as a deduction. However, if you are in a case where you use your car for business and private purposes, you can still claim the business components in your tax returns Broome.

It would be best to use the expert and professional services of tax accountants to make sure that all your business travel diaries, kilometre documentation, and logbooks are properly prepared.

If you are operating your own company, or if you are self-employed – another thing you might need to discuss with your tax accountant is your superannuation claims. When you make a super contribution, you can maximise your tax deductions.

3. Laws can change.
Tax law can change from one year to another, and this is one thing you should always remember when it comes to your tax returns Australia. One example was when the entrepreneur’s tax offset for small businesses was abolished in 30 June, 2012. This is for small business earning $75,000 and under.

From there, the government has proposed that small businesses be given the entitlement to a $5000 tax deduction for some asset purchases including motor vehicles.

Credible and reputable tax accountants should help you be aware about these kinds of changes in the tax law – and apply them in your tax returns Broome if you are eligible – so you can save money in the end.