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What is the ATO looking at in 2024! 

The Australian Taxation Office (ATO) has announced it will be taking a close look at three common errors being made by taxpayers:

• Incorrectly claiming work-related expenses
• Inflating claims for rental properties
• Failing to include all income when lodging.

According to the ATO assistant Commissioner ‘the ATO is focused on supporting taxpayers to get their lodgement right the first time’. The above areas are where mistakes are most likely to occur, genuine errors but also sometimes deliberate. Taxpayers are being encouraged to get it right the first time.

• Work-related expenses

Last year, the ATO revised the fixed rate method of calculating a working-from-home deduction to broaden what is included, increase the rate, and adjust the records taxpayers need to keep.These changes are now in full effect this financial year, meaning you must have comprehensive records to substantiate your claims as you would for any other deduction. Important care needs to be taken as other home-related deductions such as internet expenses cannot be claimed if you choose to use the working-from-home deduction option.

• Rental Properties

Repairs and maintenance, deductions, rental income, capital expenses. These matters can be complex and timing issues are a key factor. Getting expert help may be the answer to ensure claims are correct.

• Get all your information before lodging a return

Be tax ready. If you have received income from various, multiple sources wait until you have all the information before lodging your return. For example, interest from banks, dividend income, payments from other government agencies and private health insurers, these all need to be declared.

Speak to Blackburn Accounting if you need help with your return, or advice with any accounting matters. We are your family Business specialists, here to provide the answers you need to run a successful business that’s running at peak performance. 

The ATO website is available at; https://www.ato.gov.au