If you've recently arrived in Australia with the intent of taking up residence, you may have a lot of expenditure to consider. You've got to find a place to live and put down a deposit, sort out a set of wheels so that you can get from point to point, hook up your utilities and so much more. Consequently, you will have to keep an eye on your budget to make sure that you don't run out of money and will need to look for savings wherever possible. While you will certainly need to register and pay taxes, you can nevertheless get some assistance from the ATO during that first year. You will need to make some careful calculations, however, to determine how much of this tax-free money you may be entitled to, so how should you proceed?
Any Australian resident (for tax purposes) is able to take advantage of a tax-free threshold and typically, they won't pay any tax at all on the first $18,200 of their annual income. For the purposes of calculation, the financial year runs from 1 July until 30 June, and in order to determine your actual amount, you may need to apportion.
In any case, you will be entitled to $13,464 as a "flat" amount but may also be eligible to get an additional sum based on the number of months you were actually in Australia during that year. Don't forget that you are also able to include the month that you actually arrived.
You may also be able to lodge your tax return online as an easier or more secure way for you to handle your tax affairs. The government gives you some time to do this, and so long as your information is returned by 31 October following the end of the tax year, you will be fine. The government will also give you an incentive to do this, and if you are eligible for a tax refund, they will process this payment much faster than normal. You should be able to see that amount in your bank within a couple of weeks of submission.
Using a Platform
To get the ball rolling, look for an online tax return platform. For a small fee, you will be able to enter all the figures, cross-check your deductions and make sure that everything is correct before sending the return into the government.Share
24 July 2019
Hi, my name is Robert. For many years I worked for a large corporation, and my employer paid tax on my behalf. I knew that my tax money helped to keep the streets clean and roads repaired, but beyond that, I never gave it a second thought. However, a few years ago, I started work as a freelance graphic artist. I really enjoyed the freedom of being my own boss and setting my own hours, but I didn't like having to fill out my tax returns. I spent many hours learning about how the tax system works and the correct way of filing my tax returns and applying for rebates. I decided to start this blog so I could pass on my knowledge to other self-employed people who are confused by the tax system.