14 Oct Avoid a tax time shock

Individual taxpayers can take the following steps right now to ensure the correct amount of tax is being put aside throughout the year:

• let their employer know if they have a study or training support loan, such as a HECS or HELP debt;
• check they are only claiming the tax-free threshold from one employer;
• consider whether the Medicare Levy Surcharge may affect them this financial year (i.e., whether they have the appropriate private health insurance);
• check their income tier is correct for their private health insurance rebate; and
• consider voluntarily entering PAYG instalments and pre-paying tax throughout the year to avoid a large tax bill at tax time for investment or business income.

Editor: If you would like to discuss or implement any of these steps and strategies in more detail, please feel free to contact our office.