Taxable Income

Australian businesses with an annual turnover of $75,000 or more are required to register for GST. If your business has a lower turnover you are not required to register, but you may do so if you wish. The exception is ride-sharing and taxi drivers, who need to register for GST irrespective of their turnover. You will only be required to charge your customers GST if you are registered. Your local H&R Block office can assist you with your application to register for GST.

Call 13 23 25 or use our office locator to find your nearest H&R Block office and book an appointment online.

• income tax concessions
• excise concessions
• Pay As You Go (PAYG) installment concessions and
• Fringe Benefits Tax (FBT) concessions.

• the small business income tax offset – which has a $5 million turnover threshold
• the capital gains tax (CGT) concessions – which have a $2 million turnover threshold. If your business does not meet the $2 million threshold test, you may still be have access to access the CGT concessions if the total net value of the CGT assets of the business is less than $6 million.
• the small business depreciation concessions, including the instant asset write-off for asseets which cost less than $20,000. This concession  has a $10 million turnover threshold.

• mortgage interest
• rent
• house insurance
• council rates
• insurance
• repairs
• cleaning
• pest control
• maintenance
• decorating
• telephone
• heating
• lighting.

If you believe this is incorrect, you should contact your bank to verify the income details for your accounts. The bank should notify the ATO in writing if this information is not correct.

You have 28 days to correct this information. However, if you have omitted the taxable income, you will not need to contact the ATO. They will amend your return and send you a new assessment requesting payment of the additional tax, a general interest charge and, in some cases, penalties. If you require assistance with your communication with the ATO, H&R Block can help.

A Living Away From Home allowance is paid by employers when they require an employee to work in an area that is different to their normal workplace and the employer pays the costs to the employee for living away from home.

For example, I work and live in Melbourne and after a few months the company requires me to go to Regional NSW for a few months to do some work there.  They pay me an allowance for the costs of living in regional NSW because they have requested me to work there for a time. 

This is not taxable income, so I do not need to declare it in a tax return.  It is an allowance paid by an employer to an employee and is not subject to tax by the employee, provided it is paid in accordance with the tax office guidelines.  No expenses can be claimed against this allowance.

• maintains a home in Australia for their own personal use and enjoyment at all times whilst required to live away from home for their work; and
• provides a declaration relating to living away from home.

If these rules are satisfied, the employer is able to reduce the taxable value of the LAFHA by:

• the amount of the employee's actual substantiated accommodation expenditure while living away from home; and
• the amounts incurred by the employee for food or drink costs while living away from home, less a statutory amount if applicable.

There is no inheritance tax in Australia. However, if you invest the income from the estate, then any earnings will be taxable.

You are wise to be cautious. Not all schemes are genuine and often promise large tax deductions that they say will be allowed by the tax office. It is wise to check out any investment scheme before putting your money into them. 

If you invest in a risky tax scheme, you could lose some or all of your money, and you may have to pay back any refunds due to over-claimed deductions as well as interest and penalties. 

Before investing in any tax scheme it is advisable to seek independent advice from a professional advisor and/or the tax office. Information and warnings about investment schemes and scams can be found on the Australian Securities and Investment Commission and the Australian Competition and Consumer Commission SCAMwatch website.

All income must be declared by each recipient on the same basis as the accounts are held. Interest from a joint account must be split 50/50. You cannot declare it all on your wife’s tax return and doing so could lead to an ATO audit.

Yes, she will have to lodge a return. A minor who earns over $416 in unearned income must lodge an income tax return. Personal exertion income (such as salary & wages) will still have tax payable on it, but that tax payable can be reduced by the low income tax offset. Most unearned income will not attract the low income rebate and will be taxed at minors’ rates.

You do not have to lodge a full tax return. You can complete the Refund of Franking Credits for Individuals form which can be lodged by telephone or mailed to the ATO.

In most cases overseas pensions are taxable and, if you are an Australian resident, you will need to include the amount in your tax return. There are a few exceptions to this rule. Please call H&R Block on 13 23 25 if you are not sure.

All income must be declared, unless it has been classed as exempt income. This is because the tax office needs to determine what tax rate applies to your other earnings for the year. You may be entitled to an offset to ensure that no tax is payable on your benefit. Some Centrelink payments are exempt from tax, so will not be included in your taxable income, but will be included in the income test section of the tax return, as these amounts may affect your tax offsets.

You can access the information required from Centrelink online services, Express plus mobile apps and at self-service terminals at Dept. Human Services Service Centres. H&R Block can also look up the required information for you.

You will only have to pay tax on any earnings you make from the time that you moved to Australia. If the money that you brought with you earns interest in a bank account you will have to pay tax on the interest.

The income will generally be taxable unless you have worked overseas continuously for more than 90 days and are working:

• For a non-Government organisation on the delivery of assistance through the Australian Government's overseas aid program
• For a prescribed charity or religious organisation that is exempt from Australian income tax
• For an employer in operating a public disaster relief fund or a developing country relief fund
• On an overseas project approved by Austrade
• As a government employee deployed as a member of a disciplined force 

In these cases the income will be tax exempt.

If your overseas income is not exempt, you will need to declare the income on your Australian tax return and may be entitled to a foreign income tax offset for any foreign tax you paid on that income. Even if your income is from one of the above categories of exempt income, and you satisfied the 91 day criteria, you will need to record the income you earned on your tax return as exempt foreign employment income. You will not be taxed on this amount, but it will affect the rate of tax you pay on your other income.

We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

You can make a voluntary payment at any time but there are no tax advantages to doing so. It is a good idea to make the payment before 1 June when the annual indexation is calculated. The indexation rate for 2025 is 3.2%. You should be aware that if your HELP repayment income is above $54,435 (2024-25 rate) and you still have an outstanding HELP balance you may also be required to make a compulsory payment when you lodge your 2025 tax return.

For the 2026 year, the threshold for repaying your study and training loan has increased to $56,156. However in the Budget, the government announced changes to the HELP and student loan repayment system. If this progresses, the minimum repayment threshold will increase to  $67,000 in 2025-26. This change will also introduce a system where HELP repayments are calculated only on the income above the new $67,000 threshold rather than repayments based on total annual income.

No. This would be incurred at “a point too soon” and could not be deducted as there is insufficient connection to the derivation of taxable income.

The costs associated with seminars are tax deductible provided that they relate to your current income producing activities.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. To find an office near you just call 13 23 25 or click here.

There is a limit to the amount of money you can voluntarily contribute into your super fund on a concessional basis. Superannuation contribution limits operate to limit the tax benefits available each year.

Making contributions over the limits results in additional tax payable, and excess concessional contributions are counted towards the non-concessional cap. 

Concessional contributions are essentially those contributions which are tax deductible, and include employer contributions and personal contributions. 

The current concessional contributions cap, regardless of age is $30,000 per annum for the 2025 and 2026 year. However, if you have a total superannuation balance of less than $500,000 at the end of the year prior to making the contribution, and you have not used all of your cap in previous years, you may be able to contribute more by utilising your unused cap amounts from the previous years. Unused cap amounts can be carried forward for up to 5 years.

From 1 July 2022 if you are under 75 years of age, you will no longer need to meet the work test to make or receive non-concessional super contributions and salary sacrifice contributions. If you are aged 67-74 years, you will however be required to meet the work test in order to claim a personal superannuation contribution deduction.

To meet the work test, you must be gainfully employed for at least 40 hours during a consecutive 30-day period in the financial year in which the contributions are made.

Non-concessional contributions are those made from after-tax income. There is no contributions tax applied when they are contributed to the super fund. Once in the fund, the normal fund tax rates apply to earnings

The non-concessional contributions cap is $120,000 for the 2025 and 2026 years. The bring-forward rules allow you to make up to three years' worth of non-concessional contributions in a single year.

Until 30 June 2022, you needed to be under age 67 during a financial year to take advantage of the bring-forward rule. From 1 July 2022, the age limit increased to age 75, allowing people in their early 70s to start a bring-forward arrangement.

Amounts paid into superannuation by your employer to meet the Superannuation Guarantee obligations and amounts paid under a salary sacrifice arrangement are called concessional contributions.

Salary sacrificing into super involves asking your employer to redirect a portion of your pre-tax pay into your super fund. These contributions are taxed at a rate of 15% in the super fund. For most, this is a lower rate of tax than their marginal tax rate.

The concessional contributions cap per annum, per individual, is $30,000 for the 2025 and 2026 year. If the total of your employer superannuation contributions, any personal contributions you have made for which you will be claiming a tax deduction and salary sacrifice contributions go over this cap, you may have to pay extra tax. However, if you have a total superannuation balance of less than $500,000 at the end of the year prior to making the contribution, and you have not used all of your cap in previous years, you may be able to contribute more by utilising your unused cap amounts. Unused cap amounts can be carried forward for up to 5 years.

Check your employment agreement or speak with your employer before arranging salary sacrifice into super. 

If you have salary sacrificed into super, the amount contributed is included in the reportable employer superannuation contributions amount shown on your PAYG income statement. This means that any entitlement you have to any benefits from Centrelink that are subject to an income test will take into account those amounts.

Any superannuation contributions for which you have claimed a tax deduction will also be taken into account. These amounts also contribute to the calculation of any Child Support payments and are used to determine your liability to such things as the Medicare levy surcharge or repayments of HELP and training and study loans. They may also impact on any tax offsets that you are entitled to claim on your tax return.

People who have reached 60 do not pay tax on superannuation income streams (pensions or annuities) that are paid from a taxed fund. A taxed fund is one where contributions tax was paid on the contributions made by your employer into your super fund on your behalf.

Contributions tax would also have been paid for contributions made under a salary sacrifice arrangement. Most funds are taxed funds. However, for taxpayers who belonged to an untaxed super fund, they will still have to pay tax on their superannuation income stream, irrespective of their age.

Taxpayers who are over 60 years of age (for the full financial year) and receiving a superannuation income stream from a taxed fund do not receive a PAYG income statement.

Even if your employer is required to contribute to your super, you are now also eligible to contribute and claim a tax deduction.

Contributions that you claim as a tax deduction count towards the concessional contributions cap ($30,000 for the 2025 and 2026 year), along with any contributions your employer pays and any salary sacrifice contributions you make to your super. If this cap is breached, you may have to pay excess tax. However, from the 2019 year, if you have not used your concessional contributions cap for the year, the excess may be carried forward and used in a future year (within 5 years).

If you claim a tax deduction for a contribution you have made, you are not eligible for the super co-contribution for the amount you claim.

You must make a valid ‘notice of intent to claim’ in the approved form (https://www.ato.gov.au/forms-and-instructions/superannuation-personal-contributions-notice-of-intent-to-claim-or-vary-a-deduction) to your super fund before you lodge your tax return or by the following June 30, whatever is earliest.

You must receive an acknowledgement from your super fund that a valid notice of intent has been received, BEFORE you claim the tax deduction.

If you make a personal contribution to super, you don’t have to claim a tax deduction. It will be treated as a non-concessional contribution and won’t be taxed in the fund. You may be eligible for a co-contribution for amounts not claimed as a tax deduction. 

If you do not tell your superannuation fund what your TFN is then the fund will be required to pay additional tax on any contributions made by your employer (including salary sacrifice amounts).

Without having your TFN recorded, your fund will not be able to accept any personal contributions that you make and the government co-contribution that you may be entitled to cannot be paid into your account.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

The Medicare levy surcharge is payable where your income (or your family income if you have a partner) is over a threshold amount and you and all of your dependents do not have adequate private hospital insurance. The threshold amount for a single taxpayer is currently $97,000 and for a sole parent, a couple or a family with one dependent child it is $194,000 for the 2025 year. These thresholds will increase to $101,000 and $202,000 for the 2025-26 tax year. If your income for surcharge purposes exceeds the relevant amount and you and all your dependents do not have private hospital cover, you will pay the surcharge. If you take out private hospital cover part way through the year, you will be liable for the surcharge for the number of days during the year that you and all of your dependents did not have private hospital cover, so it is worth checking if you will be over the threshold as soon as possible.

Income for surcharge purposes includes your taxable income, exempt foreign employment income, investment losses as well as reportable fringe benefits and reportable superannuation contributions. The private health insurance rebate and the Medicare levy surcharge are income tested against three income tier thresholds. Higher income earners will receive less private health insurance rebate or, if they do not have the appropriate level of private patient hospital cover, the Medicare levy surcharge may increase.
If you are unsure whether or not you will be liable to pay the surcharge, you should contact your H&R Block Tax Consultant on 13 23 25.

How you apply for a TFN depends on your circumstances. Choose from one of the following to find out about the application options for:

• https://www.ato.gov.au/Individuals/Tax-file-number/Apply-for-a-TFN/Australian-citizens-with-an-Australian-passport---TFN-application/ – for people who are 15 years old or older.
• https://www.ato.gov.au/individuals/tax-file-number/apply-for-a-tfn/australian-residents---tfn-application/– for Australian citizens and other people who are residents of Australia for tax purposes but don't have an Australian passport.
• https://www.ato.gov.au/individuals/tax-file-number/apply-for-a-tfn/foreign-passport-holders,-permanent-migrants-and-temporary-visitors---tfn-application/– you need to already be living in Australia and will need a valid foreign passport or travel document (visa).
• https://www.ato.gov.au/individuals/tax-file-number/apply-for-a-tfn/people-living-outside-australia---tfn-application/ – for non-residents of Australia for tax purposes with Australian sourced income. You need a TFN to claim a refund of tax withheld.

Provided you have applied for a tax file number, you have 28 days to quote your tax file number to your employer.

One of the ways you can reduce the tax you pay is by salary sacrificing in return for employment related benefits. The advantage of salary sacrificing is that your benefit is purchased with pre-tax dollars. Find out more information and tips on salary sacrificing.

If you salary sacrifice into superannuation this will attract a contributions tax of 15%. For the 2025 year, if you are a middle income earner, with income of between $45,000 and $190,000, your marginal tax rate (including medicare) will be 32%, so salary sacrificing into your super will save you a significant amount of tax. 

However, any amounts that are sacrificed into superannuation will also be taken into account for the income tests that determine liability to pay the Medicare levy surcharge and the entitlement to claim dependent tax rebates and seniors tax offsets.

If you are in a lower tax bracket (between $18,200 and $45,000) for the 2025 and 2026 years the marginal tax rate will be 16%, however you may also pay an additional 2% medicare levy. The tax saving in this tax bracket is minimal. This does not mean you should not consider contributing money to your super, but it might be more beneficial to make after tax contributions, and take advantage of the government superannuation co-contribution.  This can either be done through your employer or by you making your own contributions directly to your super.

There is a separate tax category for people who are temporarily living in Australia. A permanent resident is generally taxed on all income in and out of Australia but a temporary resident is exempt from paying tax on certain classes of income. People who exhibit the behaviour of a 'resident' and hold a temporary visa granted under the Migration Act of 1958 will be taxed at resident rates. Temporary residents may also be liable to pay the Medicare levy unless they are eligible to apply for an exemption.

Non-residents pay tax on Australian source income only. They pay tax on every dollar of taxable income as declared on their tax return but do not pay Medicare. The lowest tax rate for a non-resident is 30% for the 2025 year. Residents have to declare all income earned in and out of Australia. A tax free threshold of $18,200 is available to them and a resident may be entitled to claim some tax offsets (rebates) that are not available to non-residents. Depending on their income, a resident may also have to pay the Medicare levy and Medicare levy surcharge.

You should lodge your outstanding tax returns as soon as possible and before the Australian Taxation Office takes any action to have you lodge these tax returns. Once they have begun any action, it could result in a court conviction. The ATO may charge a penalty of $330 (from 1 July 2024)  for every 28 days that the return is outstanding. The maximum penalty is $1,650 even if you are due a refund. In addition, the ATO will charge interest. This is called the general interest charge and is levied on any outstanding monies. H&R Block can assist you to lodge your late prior year returns.

Your wife does need to lodge a return even though her income is below the tax free threshold. Any earnings that have had tax withheld, no matter how small, are required to be reported on a tax return. This is also the only way to get a refund of the tax paid.

It is necessary to complete a tax return to date of death if a return has been lodged in past years. This return, marked final, must show all income received to the date of death.

If you owe tax and lodge your return late, any amount owing will be payable on 21 November this year and a general interest charge will be calculated from then until payment is made. The ATO may charge a penalty of $330 for every 28 days that the return is outstanding. Unless you use a registered tax agent, you have from 1 July until 31 October to lodge your return. If you need an extension of time either contact the ATO or your local H&R Block for assistance on 13 23 25.

It isn't necessary to complete a return before leaving Australia unless you will not be back before the due date for lodgement of your return (31 October). If you won't be back until after that date contact the Australian Taxation Office or a registered H&R Block tax agent to apply for an extension of time to lodge.

• You don't have to lodge a combined tax return if you have a partner (as happens in some other countries). Joint income is recorded separately in each partner’s tax return.
• You need to show on your tax return that you now have a partner, and disclose his or her taxable income each year. 
• Your combined income is taken into account if you don't have private health insurance (you may have to pay the medicare levy surcharge –effectively an additional tax of up to 1.5% - if you are a high earning couple and one or both of you does not have a qualifying private health policy) as well as when calculating some benefits such as family tax benefits.
• If you elect to change your name, the details will need to be updated before your tax return is lodged. The easiest way to do that is online or you can do it by phone. You’ll need to verify your identity with the ATO when you do it, so you’ll need documents such as your birth certificate or marriage certificate. You cannot notify the tax office simply by noting it on the front cover of your next return as used to be the case.

If you pass the relevant income and age tests you may be able to claim an Invalid and Invalid Carer Tax Offset if your partner is genuinely unable to work because they are an invalid or they care for an invalid (the invalid must be receiving a Government disability payment to qualify). In order to qualify, your partner's income must be less than $13,482 (for the 2025 year).

You can't claim the tax offset if you maintain: 

• Your partner who is an invalid or invalid carer and your adjusted taxable income is more than $117,194 (for the 2025 year).
• An invalid or invalid carer who is not your partner and your and your partner's adjusted taxable income is more than $117,194 (for the 2025 year).

Depending on your combined income you may also be entitled to claim a reduction in the amount of Medicare levy you pay. Any other tax benefits you may be entitled to will be determined on the basis of your income. A partner includes someone to whom you are married or living in a de facto relationship with (including same-sex relationships).

No. Maintenance payments are not tax deductible.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

You are able to claim expenditure incurred in replacing, insuring and repairing tools of trade that you use for earning your income. If the cost of any item is more than $300, it will have to be depreciated (i.e. claimed over its effective life). The amount you can claim will depend on what receipts you have kept and to what extent you use it for income producing purposes. If you are in the situation where you are wondering what you can claim without receipts, you can claim up to $300 without proof of purchase. However this limit applies to all work related expenses (not each individual expense or category of expenses). The $300 deduction limit for work-related expenses doesn't apply to claims for car expenses, meal allowances, award transport payments allowance, or travel allowance expenses. These have there own substantiation rules.

If technical books, trade books or journals are necessary to fulfill your job function efficiently, the cost of their purchase is tax deductible.

Learn more about claiming self-education expenses.

A deduction is available for outdoor workers who buy sunscreen lotion, sunglasses and hats for use at work. The claim must be substantiated and apportioned for private use.

There are two different methods for claiming work related motor vehicle expenses and each have different record keeping requirements.  To use the method that ensures you the best claim it is advisable to keep a log book and all receipts for expenses (e.g. insurance, registration, repairs, services, tyres, etc.). Provided your vehicle is a car (for tax purposes) you do not have to keep receipts for petrol as H&R Block can work that out for you using a yearly average formula. A car is a motor vehicle capable of carrying both a load of less than 1 tonne and fewer than 9 passengers. Your log book should be kept for a minimum of 12 consecutive weeks and generally it will be valid for five years unless there are significant changes in your circumstances. You also need to keep the opening and closing odometer reading for each year. 

It is not necessary for you to use the same claim method each year. The choice of method should be made on the basis of which is more favourable to you and which you have the appropriate records for. If you don’t have a current logbook or have not retained all receipts you will be limited in which method you can choose. You cannot, however, claim any car expenses if your car is salary packaged.

Compulsory uniforms are generally deductible provided they identify you as an employee of that organisation or in a specific occupation. A requirement to simply wear particular colours is not enough to make the clothing deductible (for example a waiter being required to wear black and white clothing) nor is a requirement to wear a store’s own brand of clothing (they are still conventional clothing and not tax deductible). Corporate wardrobes are also deductible if certain conditions are met. The uniform design must be registered with AusIndustry. Provided that the clothing is deductible then you may also claim maintenance costs (laundry, dry cleaning and repairs).

Learn more about claiming a tax deduction for work clothing.

Fashion clothing is not tax deductible even if your employer requires you to wear it. Because the logo is a part of the design of the clothing and does not in itself identify you as an employee it will still not be claimable.

You cannot just claim $300. You must actually incur any expense before it is claimable. Whilst you may not need receipts for expenditure up to $300 you must have spent the money and it must be relevant to your employment.

Your travel must be relevant to your job function for you to be eligible to claim a deduction for those expenses. Where this is the case, and you have the necessary documentation, you can claim the cost of transport and incidentals. If your travel involved an overnight stay you would be able to claim for meals and accommodation. Travel overseas also requires you to keep travel diary.

A deduction will only be allowed if you have actually incurred a work-related expense and have the necessary documentation. Travel to and from your job is generally not claimable unless, for example, you are carrying bulky equipment. Some awards allow for a payment of an allowance even though an expense is not necessarily incurred by the employee. If a deduction can be claimed it cannot be for more than the expense that you incurred even if the allowance that you have received was higher.

You cannot claim the cost of the trip because the main purpose was to have a holiday and attendance at the seminar was incidental to this. You will only be able to claim the additional expenses that you incurred to attend the seminar. These could include the registration fee, taxi fare to the seminar, etc.

If a taxpayer carries on all or part of their employment activities from home, some portion of the running expenses can be deducted. A record should be kept of the number of hours working from home.

The Commissioner’s rate of 70 cents per hour can be claimed for the hours the home office is used. The 70 cents per hour method has an allowance for the cost of electricity and gas, telephone, internet, stationery and computer consumables. If using this method, no additional claim can be made for these expenses. 

However, additional claims can be made for depreciation of office furniture and equipment, repairs to office furniture and equipment and, if you have a dedicated office area, cleaning of the office. Alternatively, you can calculate all of the running expenses separately (including actual power used) and claim the work proportion of these expenses. Only running expenses can be claimed for home office unless the home is being used as a place of business.

Where a home is a place of business (and is easily identified as such – for example a separate entrance, signage, clients/customers coming to set area of your home etc.), deductions can be claimed on occupancy and running expenses including:

• mortgage interest
• rent
• house insurance
• council rates
• insurance
• repairs
• cleaning
• pest control
• maintenance
• decorating
• telephone
• heating
• lighting
• depreciation.

Items like this that you buy for use in your job can be claimed in your return. However, since the cost of these items is most likely to be more than $300 each you will not be able to claim the full cost in one year.

It will be necessary to spread your claim over the useful life of the items (depreciation) and only the work-related proportion is claimable. You should keep a log of work related use for a period of at least four weeks for each item to determine the proportion that you can claim.

The ATO have confirmed that the iPad will be treated as the equivalent of a laptop. If it is used to produce assessable income (i.e. for work related activities) a claim could be made. Any claim will have to be adjusted where there is private use and if the iPad cost more than $300 the work-related proportion would have to be depreciated over its effective life. You should keep a log of work related use for a period of at least four weeks to determine the proportion that you can claim.

Child care expenses are not claimable as a tax deduction.

You cannot claim a deduction for this because it is not a donation to the charity; rather you are receiving something for your money. Buying an item from a charity does not make your purchase tax deductible. The same applies to the purchase of raffle tickets. Only donations to registered charities are tax deductible.

There is no limit on the amount claimed each year, provided the expenses are necessarily incurred in earning your income. The expenditure must be work related and you may need receipts to substantiate the expenditure. Keeping incomplete, incorrect or no records at all may be limiting your ability to claim deductions. Advice can be obtained from a registered tax agent. H&R Block are happy to advise their clients on appropriate record keeping that will enable them to maximise their allowable deductions.

Provided it gives full details of the supplier and date of purchase the tax office would accept a credit card slip as proof of purchase. Taxpayers can make a notation on the document indicating the type of goods that were purchased. Many taxpayers use the internet to purchase or pay for their work related expenses and so the ATO will also accept Bpay or email receipts provided they contain the necessary information: date, supplier, nature of the goods and the amount.

Documentary evidence should be kept for five years from the date of lodgement of the tax return in which the claims are made. If you are depreciating an asset the receipt should be kept until the item is fully depreciated (even if over 5 years).

Fees paid to a registered tax agent (like H&R Block) for preparation of your return, amendments and generally handling your tax matters are all deductible. You can also claim travel to your registered tax agent (you are limited per income tax return to 5,000km in total across the entire return if claiming the c/km method). Registered tax agents are the only people legally able to receive payment for the preparation of tax returns.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near and book an appointment online or call 13 23 25.

• Deduct the cost base from the sale proceeds. The cost base is the price you paid for the cryptocurrency plus incidental costs.
• Next, take away any capital losses you have.
• Then discount the gain. Individuals are entitled to a 50% discount. The asset must have been held for 12 months or more for the discount to be available.
• The resulting figure is your net capital gain. This is subject to tax at your marginal rate.

1. selling cryptocurrency for Australian dollars
2. exchanging one cryptocurrency for another
3. gifting cryptocurrency
4. trading cryptocurrency
5. using cryptocurrency to pay for goods or services

1. Instructor Led In Class - 2.5 hour weekly workshops plus home study for 13 weeks - commencing late February 2025.
2. Instructor Led Online - 2.5 hour weekly workshops plus home study for 13 weeks - commencing  late February 2025.
3. Instructor Led In Class Intensive - 4 hour weekly workshops plus home study for 8 weeks - commencing end of March 2025.
4. Instructor Led Online Intensive - 4 hour weekly workshops plus home study for 8 weeks - commencing end of March 2025.
5. Self Paced Learning - all self study with no weekly workshops - available late February 2025.

• A laptop or similar device
• Access to home internet with reasonable speed and reliability

• Access to portable Wi-Fi or a hotspot, as you will need to bring your laptop to each weekly workshop

• Access to internet with reasonable speed
• A computer with a microphone, speakers, and preferably a webcam

• For 13 week course students: on 24 February 2025
• For 8 week Intensive course students: on 31 March 2025
• For Self-paced learning students: on 24 February 2025

• For 13 week course students: on 24 February 2025
• For 8 week Intensive course students: on 31 March 2025
• For Self-paced learning students: on 24 February 2025

In Australia, your tax return is calculated by subtracting eligible deductions from your total income to determine your taxable income. This income is then taxed according to progressive rates: 0% for income up to $18,200; 16% for income between $18,201 and $45,000; 30% for income between $45,001 and $135,000; 37% for income between $135,001 and $190,000; and 45% for income over $190,000. Additional levies, such as the Medicare levy (usually 2%), along with any applicable rebates or offsets, also apply. The final tax payable is calculated by adding any additional taxes due and subtracting any pre-paid taxes or withheld amounts, resulting in either a refund if you’ve overpaid or a bill if you owe more.

You might owe money to the ATO if the total tax deducted from your income throughout the year was insufficient to cover your actual tax liability. This situation can arise if your employer withheld too little tax or if you had additional sources of income that weren’t subject to withholding. Incorrect deductions or failure to report all income accurately can also lead to a tax bill. To avoid underpayment, ensure all income is reported correctly and all eligible deductions are claimed. Contact one of our Tax Experts to help ensure you meet your tax obligations.

To maximise your tax deductions in Australia, claim home office expenses if you work from home, including a portion of heating, cooling, and depreciation of office equipment. Deduct study costs related to your current job, such as course fees and textbooks, if they enhance your skills. Keep receipts for all work-related expenses, and electronic copies are acceptable. Deduct expenses incurred in earning your income, like travel and tools, but avoid overstating your claims. Stay organised with your documents and consider consulting a tax professional to ensure optimal deductions and accuracy in your tax return.

If you don’t lodge a tax return when required, you could face several consequences. If you earn above the tax-free threshold of $18,200, you must lodge a return annually. Failure to do so can result in ATO penalties, including a Failure to Lodge (FTL) penalty, which accrues at $330 per 28 days overdue, up to a maximum of five penalty units. If your return remains outstanding, the ATO may issue default assessments based on estimated income, which can lead to higher tax liabilities. In severe cases, prosecution could result in fines or imprisonment for up to 12 months. To avoid these issues, ensure you lodge your returns promptly or seek assistance from a tax professional to address any overdue returns and potential penalties.