Tax Time Mistakes

As tax time rolls around, it’s tempting to rush through your return in the hope of a quick refund. But according to CPA Australia, the biggest mistake Australians are making right now is lodging their tax returns too early.

The ATO starts receiving data from employers, banks, health funds, and other institutions in July—but this process isn’t always immediate. If you lodge your return before this information is finalised, there’s a high risk you’ll submit an incomplete or incorrect return, which could lead to delays, audits, or even unexpected debts.

“The best tax refund is an accurate one,” says CPA Australia spokesperson Elinor Kasapidis. “If you get it wrong, you’ll be the one left sorting it out.”

So, When Should You Lodge?

For most people, late July or early August is the sweet spot. By then, most third-party data has been pre-filled by the ATO, helping you avoid costly errors and omissions.

What You Can Do Now

Instead of jumping the gun, use the start of the financial year to get organised:

• Gather all your receipts and relevant paperwork
• Track your deductions, including work-related expenses and investment costs
• Check your myGov account for pre-filled information updates
• Consider working with a registered tax agent for guidance

Key Takeaway

Patience pays off at tax time. By waiting until your information is complete and accurate, you’ll save yourself stress—and possibly money—in the long run.

If you’re unsure whether your data is ready or have questions about your deductions, reach out to one of our accountants.   A little caution now can help you lodge with confidence and maximise your return.

Source: CPA Australia