Taking care of our future generations is an incredibly important job. And when you spend all of your time focused on nurturing little ones, the last thing you probably want to think about every year is sorting out your taxes.
But tax time still rolls around every year, like it or not, and the best thing to do is get ahead of it and make sure you claim every possible deduction for your job. The smartest way to do this is with the help of an expert, like one of our experienced tax consultants here at H&R Block, who can help you get the biggest refund possible.
To complete your return as a child care worker, child care assistant, nanny, kindergarten assistant or pre-school aide employed by a company, you’ll first need an income statement from your employer (previously called a “payment summary” or “group certificate”). This is a summary that outlines all of your salary, wages, allowances and bonuses for the financial year.
You won’t need to have a copy of this statement, as it should be lodged by your employer directly to the ATO. Once this has been lodged, we can download the information for you and then help you work out your deductions.
As you know, you’re entitled to claim deductions on any money spent during the financial year on products or services that directly related to earning your income. But there are two things you need to remember:
There is a wide range of deductions you can claim as a child care worker, such as:
There are several key expenses you can’t claim, including:
Record-keeping might seem like child’s play, but it’s really important at tax time, so you need to stay on top of your receipts and have a comprehensive set receipts if you want to get a good tax refund. It’s a smart idea to create an easy and reliable system to help you keep on top of this throughout the year.
Remember, you don’t need to keep physical receipts, and it’s acceptable to keep a digital copy (such as a photo of a receipt or an email receipt) provided it is possible to read:
You also don’t need to keep receipts for expenses under $10 (as long as these don’t cumulatively come to more than $200).
It’s okay, we know this can happen to anyone and strongly recommend dealing with it as soon as possible. This is always the best approach. It’s essential that you take great care in putting together the information and supporting documentation when filing your tax return, and only claim deductions that are genuine to avoid penalties and possibly even prosecution from the ATO.
It’s easy to make an innocent mistakes sometimes, and if you self-lodge and realise you’ve submitted incorrect or unsubstantiated claims then you should contact H&R Block immediately and we will assist you in making the necessary amendments.
Still have some questions about lodging your tax return? Talk to H&R Block. Our experienced tax consultants will be able to help. Call 13 23 25 for details or find your nearest office and book an appointment online.
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