Complimentary Tax Return Advisory is possible now with Accountants Sydney

We all today live a comfortable lifestyle, earn some handsome salaries, plan nice holidays and look forward to living our life comfortably without any fuss. The world, today, is earning loads of money in order to live a rich and comfortable life.

The world is also developing at a high speed today. With loads of earnings in the hands of a person, the expenses incurred by him have also been raised to a certain extent. These incomes and expenses of a person directly affect the monetary or financial planning of any country. Thus, the government requires a person to pay some amount of money that could accentuate the financial planning of the country.

This sum of money so paid by a person demanded by the government, for public purposes are known as tax. Thus, the tax is nothing but a mandatory contribution to the revenue of the state that is imposed by the government of a country on the income of a worker, as well as his business-profits. They are also added to the cost of goods, services or transaction of a worker. It is a kind of fee charged by the government to any person who is working for money on his income or any activity related to money. The main purpose of taxing is to finance the expenditure if the government, which, as a result, accelerates the financial position of the country. The taxes so paid by the people are used to finance all the public services, and hence they improve the living-condition of a person, especially the poor. The paying of tax by person working for income is mandatory.

There are various kinds of taxes imposed and payable by a person today, namely income tax, service tax, sales tax, and various other tariffs. Further, these are also distinguished into business as well as personal taxes. Thus, it is compulsory for a person to pay all kinds of taxes to the government through the submitting of Tax Return Sydney. Taxes should always be paid on time. The non-payment of taxes leads to several problems on the part of a person. Several tax penalties are imposed on a person if he fails to pay taxes that are mandatory. Thus, a person should always deal carefully as far as paying the taxes are concerned.

The amount of tax to be paid by a person depends upon the amount of income he earns. Thus, if a person is rich and earns a good amount of money he is liable to pay more amount of money as a tax than the person who is not so rich and earns a limited amount of income. However, it has often been noticed that a person always tries and look forward to paying the minimum possible taxes. Nobody wishes to pay a huge amount of tax due to one reason or the other. A person always welcomes the payment of the limited amount of tax. Therefore, you must know the ways and means by which you can minimize your taxes without disturbing your incomes and expenditures.

How to minimize taxes?

Minimize your taxes is not considered as a rocket-science anymore. You just need to follow the below listed pattern and thus, you can easily minimize the amount of taxes payable by you.

• First of all, the most important step is to make sure that you have all the receipts, records, pay-bills etc. of your income and expenses. In case if you fail to maintain a proper said record you must live up to the following listed ideas:-

You should always consider and consult with a registered tax-agent or Accountant Sydney in order to decide the payment of the taxes. You should therefore get your tax done with the help of a registered tax-agent since such agents are aware of all the tips and tricks of minimizing your tax-liability. These agents, thus can suggest you well and can also help you in planning your next financial year as to save yourself from all the fuss of paying the taxes. They can easily help you in preparing guidelines for the next financial year and also lay down several important strategies that would be beneficial to you as well as to your business. Thus, keeping a tax accountant or tax agent would help you a lot and would serve you with all the strategies for minimizing your tax-liability.

• claiming the car-usage is another handy trick that would minimize your tax-liability. You often use your car for all the business activities that are essential to you in earning your income. Thus, you can easily claim your car usage in this regard. There are four methods to claim, you can follow any of the below listed methods and can easily claim your car-usage:

Method 1- cents per kilometer.

Method 2- 12 percent of the original value.

Method 3- one-third of the actual expenses.

Method 4- logbook.

If the distance of your traveling is less than 5000 kilometers per financial year, you can go for method 1 or 4 and can claim the car-usage. And if you travel more than 5000 kilometers only for business purpose, you can use any or all of the four methods in claiming your car-usage. However, you should always choose the method that provides you the best results. You must keep the appropriate records of every step you take.

• Keeping receipts is however considered as the best and the most convenient way by which you can save yourself from paying a huge amount of taxes. A receipt acts as a major evidence that provides the proper record of the income and the expenses incurred by you. A receipt is a very important factor in minimizing your tax-liability since you can prepare your tax return with the help of a receipt. Maintaining the receipts also ensures that you are capable of claiming all your entitlements, which legally and effectively minimizes your tax-liability. Thus, maintaining receipts is a must.
• various deductions can also be claimed to minimize your payment of taxes. A legitimate deduction could be claimed out of your business-related expenses. You can thus easily claim deductions for most of the expenses that you incur solely in the running of your business in the same income year and thus reduce or minimize the payment of taxes. If all the expenses that you incur are necessary for you in running out your business, then in actual sense it is considered as a cost to your business and, therefore, you can claim deductions out of it.

Thus, minimizing the payment of the taxes can become very easy and convenient if you religiously follow the above listed ways and means. However, taxes should always be paid on time. Contact your accountant Sydney to get a professional assistance with your tax return now!