Expert Tips to Pay Less Tax and Keep More Money in Your Wallet

An unexpected tax bill can ruin your day! Would you like to reduce your tax bills? I have good news for you! There are several ways to reduce your tax bills or increase your tax refund. As a leading tax law firm in Perth, we’ve compiled a few tips that help you pay less tax and save more money.

Tip #1

Maintain Good Tax Records

Did you know thousands of people miss deductions they could have claimed, every year? That’s millions and millions of dollars! To make tax deduction claims, you need receipts that you can show to ATO. So, keep track of your deductions, and this will save more time and money at the end of the financial year.

Tip #2

Charitable Donations

Every donation over $2 that you make to a registered charity is tax-deductible. Yes, the amount you donate to a charity is claimable on your tax return. One thing that you must take into account is that the charitable amount must be subtracted from your taxable income to get a percentage back.

Tip #3

Make as Much Tax Deduction Claims as Possible

If you spend money on anything that relates to tax deduction, make sure you claim it. Not sure if you can claim a particular item? Keep the receipt and ask your tax lawyer in Perth to get an idea whether you can claim for the item or not.

Tip #4

Make Necessary Investments

Making an investment can help you reduce your tax, and this depends on your individual finances. Speak to your taxation lawyer in Perth to see if they can advise you on making certain investments that can benefit you.

Tip #5

Pay Off Your Mortgage

Did you know you are taxed on your savings? Yes, the interest income you earn on savings brings you a hefty tax bill at the end of each year. But, if you are paying off your mortgage, you are no longer taxed on that money, and the overpayment is usually still accessible as a re-draw.

The Bottom Line

Tax planning may sound complex. But, it’s the tiny details that matter! Contact your tax law firm in Perth to come up with a strategy that helps you secure more tax return.

The author of this article is a leading tax lawyer in Perth with over a decade of experience in tax planning. In this article, he lists a few tips that help you reduce your tax payments. Visit https://www.munrodoig.com.au for more information.

Founded in 2002, by its directors Colin Munro and Ron Doig, Munro Doig Lawyers is a leading law firm based in Perth, Western Australia.