How to lodge late or previous year tax returns
If you are an individual lodging your tax return yourself online, the deadline to lodge in 2017 was 31 October. If you were to use a registered tax agent the deadline may be brought forward to 16 May 2018.
Most people generally lodge their returns every year, however some may have been busy, overseas or get too overwhelmed by the process and put it off.
Having outstanding tax returns that are overdue can lead to penalties from the ATO. Regardless of why you have lodged late or didn’t lodge in the first place, getting up to date can give you peace of mind.
WILL I GET PENALISED FOR NOT LODGING MY TAX RETURN?
There may be a “failure to lodge on time” penalty. The standard penalty is $180 for every 28 day period or part thereof that the return is outstanding. This happens until the penalty reaches a maximum of $900.
If you continue to fail to lodge, the ATO may issue a formal default assessment warning letter. This will contain an estimate of your income for the missing year which the ATO may then use to issue you with a default assessment. The figures estimated by the ATO will almost certainly be higher than your true position – for a start, they won’t include most deductions you’re entitled to. As a last resort, the ATO can even prosecute you for not lodging.
WILL THE ATO WAIVE PENALTIES?
Sometimes, the ATO will waive penalties. Generally, the ATO is more likely to apply a penalty if:
- you have more than one return outstanding
- you have a poor lodgement history
- you are non-compliant with other tax matters
CAN I STILL SUBMIT A LATE RETURN?
The first step to lodging a late return is to visit Bottrell Business Consultants.
With your consent, Bottrell can help by checking your lodgement status with the ATO. They can find out which years are outstanding and what exactly needs to be reported.
Bottrell will work with you to determine what your income was for the year in question. Sometimes, this is available straight from the ATO from employers and others who report this information each year.
BOTTERLL WILL WORK OUT WHICH DEDUCTIONS YOU’RE ENTITLED TO
As always, the more information you can provide the easier everything will be. With the help of a tax professional this will not be a stressful or daunting task. Simply bring in receipts, bank statements and income information you can find at home or work the more, the better. If you can’t find receipts for some deductions don’t worry. If you’re claiming deductions which total less than $300, you don’t need receipts to claim.
HOW DO I LODGE A LATE RETURN?
Bottrell can help you with outstanding tax returns. Booking an appointment at our East Maitland or Newcastle office is the best way to get your taxes in order, quickly and stress free without judgement.
If for some reason you might not have been required to lodge a return, Bottrell can submit a non-lodgement advice form to the ATO so they know you’re up to date with everything.
Once you are up to date with your tax returns, Bottrell can help you stay on top of your taxes. Download our App for your mobile phone are tablet and you will be able to keep track of and records you need to keep for future lodgements as well as access valuable information and key dates to remember. You will never fall behind again!
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