Do you feel like taxes are raining on your parade? Are you a student or under 21 and feeling totally overwhelmed by the tax season? Don't let taxes get you down! In this fun guide, we'll help you get through the tax season with a smile on your face.
The Dreaded Tax Season: What It Means for Students and Under-21s
Tax season can feel like a dark cloud looming over you, especially if you're a student or under 21. You may be working your first job or have a side hustle, and the thought of filing taxes can be totally daunting. But have no fear, we're here to help!
The Benefits of Filing a Tax Return for Students and Under-21s
Filing a tax return might not be the most exciting thing you do all year, but it can actually have some great benefits. For starters, if you earned income during the tax year, you are required to report it to the Australian Taxation Office (ATO). Ignoring this could mean you'll have to pay penalties and fines. No thanks!
Filing a tax return can actually work in your favour, too. You may be eligible for tax deductions and credits that can reduce the amount of tax you owe, or even lead to a tax refund. That's right, money back in your pocket!
How to Prepare for Your Tax Return
Before you dive into your tax return, there are a few things you'll need to prepare. Make sure you have your:
Tax File Number (TFN)
Payment summaries from all your employers
Bank statements showing interest earned (if applicable)
Receipts for any work-related expenses you may have incurred
Get the Most Out of Your Tax Return: Common Deductions and Credits for Students and Under-21s
As a student or under 21, there are several tax deductions and credits you may be eligible for. These include:
Education-related expenses, such as textbooks, course fees, and stationary
Uniform and laundry expenses, if you have a job with a dress code
Travel expenses, if you have to travel for work or study
Donations to charity, if you've made any throughout the year
Take advantage of these deductions and credits to maximise your tax return. That's more money for you to spend on the things you love!
Crush It: Tips for Filing Your Tax Return Like a Pro
Now that you know what you need to prepare for your tax return, here are a few tips to help you file like a pro:
Lodge your tax return online using myTax or a registered tax agent.
Double-check all your information before submitting your tax return.
Keep a copy of your tax return and all supporting documents for at least five years.
Don't hesitate to reach out for help if you're unsure about anything - there are plenty of resources available to assist you.
With these tips and a positive attitude, you'll be able to handle the tax season like a pro. Don't let taxes get you down - show them who's boss and file your tax return with confidence!