Tax Agent Perth
Tax Agent PerthTax Agent Perth
Completing your tax return might not be the highlight of the year, but mistakes can result in delays, audits, or even penalties. The Australian Taxation Office has outlined the key points in its 2025 checklist, and it’s never more important to steer clear of expensive, avoidable errors that cost both dollars and time. Whether you’re lodging yourself or via a tax return agent, it’s important to know what to look out for.
Here are the common tax return mistakes Australia 2025 to steer clear of, plus tips for correcting tax return errors and keeping in compliance.
The most prevalent tax return error in Australia in 2025 is failing to report all the sources of income. They encompass wages, freelance, interest from bank accounts, dividends, profits from cryptocurrency, and government payments. Most Australians omit side hustles or gig economy income.
Tip: Check your income from all sources before lodging your return. Take advantage of the ATO’s pre-fill service and check records such as PAYG summaries and bank statements to fix tax return.
The ATO has seen more cases of incorrect or excessive claimed deductions. Some common mistakes when filing taxes include not retaining receipts or claiming expenses that are unrelated to income.
A frequent mistake in claiming taxes is writing down the entire amount for a personal vehicle or phone instead of the business component.
Solution: Maintain records in great detail and be aware of what can be claimed. A registered tax agent can help with what can be claimed.
If you’ve moved, changed your name, or updated your bank details and failed to inform the ATO, it could delay your refund or trigger an investigation.
Fix: Log in to your My Gov account and ensure all personal details are current before lodging.
The ATO needs written proof (receipts, invoices, logs) of your claims. One of the biggest tax blunders is that you will never get audited.
Solution: Store receipts in an electronic or paper file throughout the financial year. The ATO app also comes in handy to track expenses.
The majority of individuals error when it comes to claiming the private health insurance rebate or not claiming it at all, particularly if income levels are in question. Similarly, a lack of knowledge about the Medicare Levy Surcharge can generate calculation errors.
Solution: Verify your data on income level and health insurance policy. If in doubt, approach a tax return agent for clarification.
Failure to report a sale of an investment property or shares on capital gains is one of the most significant red flags for the ATO. With advanced data-matching computer programs, the ATO can easily track asset disposals.
Solution: Do report all your capital gains or losses on your tax return. Utilise the ATO’s capital gains calculator if needed.
If you’ve worked overseas, have foreign assets, or gained any income overseas, you have to declare it even if you’ve already been taxed overseas. This remains one of the most frequent tax return mistakes in Perth and throughout Australia.
Solution: Declare any foreign income and claim any offsets available for money already taxed overseas.
Most property investors confuse what is deductible now with what has to be depreciated. Repairs, for instance, are usually deductible, but improvements have to be capitalized.
Solution: Consult registered tax agents or the ATO’s guide to rental properties to properly classify expenses.
Dependent and spouse income influence offsets, family tax offsets, and Medicare levies. Misinformation or a lack of it distorts these figures.
Correct: Obtain accurate income details from your spouse before lodging your tax return. Use all government allowances and investments in the computation.
Though web-based accommodation software makes it tempting to do it yourself, without a professional, you could miss deductions or make some of the worst tax mistakes. That is the reason why most experts recommend steering clear of 10 tax preparation blunders to steer clear of by utilising professional assistance.
Use the services of a tax return agent or registered tax agent to be assured of compliance with new taxation laws and obtain the best refund possible. They can even represent you with the ATO, which is always a great safety net.
We not only provide company tax returns, but we also help with individual Tax solutions. They provide real worth by:
Ensure your agent is registered with the Tax Practitioners Board to be guaranteed a compliant, professional service.
As per the ATO’s Individual Tax Return Instructions 2025, the following must be included:
Getting your taxes sorted out correctly makes all the difference between an easy refund and a feared ATO letter. The tax return mistakes to avoid in 2025 are not dramatically different, but the ATO is getting smarter with data and compliance technology.
As a new taxpayer or an old hand at this game, keeping these 10 tax filing mistakes to avoid will mean your tax return is compliant and accurate.
If unsure or at a loss, get a registered tax agent to assist you with your requirements, receive what is yours, and stay clear of unwelcome penalties.
Read Also: How An Accountant Can Help You With Your Tax Return