Preparing for Tax Time

How can you keep the process as painless as possible?

Gather all your documents in one place, as the more organised you are, the less stressful the process will be.

Generally, preparing your tax documents is the time consuming part of the process. With accurate records and receipts you will be able to make the most out of your deductions.

Forming a cloud file storage for your tax documents will ensure your documents are centralised and easy to gather at tax time. You can use solutions such as Dropbox or Google Drive, which allow you to upload your documents on the go. 

Knowing the documents you need to put together can help streamline this process.

Below is a general guideline on what your accountant requires to prepare your income tax return. These documents do not uniformly apply to everyone.

Income

• Payment summaries for any jobs you have had over the year
• Bank interest statements showing interest received
• Allowances
• Dividend statements
• Foreign income
• Rental property income
• Business income
• Any other income earned

Work Related Expenses

• Motor vehicle expenses  (estimation of kilometres if no logbook is kept, otherwise logbook and expense details)
• Travel (fares and accommodation)
• Uniforms/work-wear
• Self-education and professional development
• Union fees, registrations, subscriptions, memberships
• Home office costs
• Telephone, computer, internet fees
• Details of asset purchases (with the portion of personal and work usage)

Other Expenses

• Income protection Insurance
• Investment expenses
• Rental property expenses
• Cost of maintaining tax affairs

 
If you require any further information on what tax documentation to prepare for your tax return, please contact the team at Networth Accounting.