An Outline for Tax Returns in Australia
In Australia, the due for tax returns is usually scheduled to be on every 31st of October and the financial year usually runs from 1st July to 30th June. In US the due for tax returns is different and its fiscal year is usually from 1st October to 30th September. There are due date extensions in Australia so that people are able to pay their taxes without necessarily being punished for paying late.
The due date extensions are usually intended for those who pay their taxes through tax agents and these taxes are paid through electronic or post method using the ATO e-Tax software. The Australian Tax office plays a veryvital role for the Australian Government because it assists the government in collecting revenue and in fact it is the principal tax collection body In Australia.
Sometimes it can be difficult to understand the tax system in Australia because it is quite complicated. It is difficult in Australia for most people to prepare their own tax returns hence the need to look for tax agents who have experience and expertise in preparing them. It is around 80 % of people in Australia who hire these services and that is the reason why there are due tax extensions. It is a requirement for any business in Australia whether small or big to settle its taxes to the Government because failure to do so attracts a penalty of a certain percentage depending on your tax.
Taxes can be local, federal or even of state level. The role of these taxes is to cover certain things in the public service delivery including hospital system and road maintenance. Australia has a very strong tax law with stringent requirements governing tax returns and tax refund. The way returns are submitted differ from one country or continent to the other and in Australia they are submitted using the business structure and the operating conditions of that business.
The income tax was imposed by the Australian Federal Government with the aim of managing the tax returns. Usually the income tax is the same across all the states. Before the introduction of the WW2 it was the role of the state to impose income tax on the people. This type of tax is very important to any government because it is the one that has the greatest contribution as far the public’s revenue are concerned. Companies need to lodge their returns and it is essential to note that the income tax of a company and that of an individual differ by far. The net income of a company is usually the income amount minus the deductions allowed.view more of their news at http://www.news.com.au/finance/money/tax/tax-deductions-on-the-chopping-block/news-story/da799b9892b7896cc18af9be11ba5e16
The Trust on the other hand also needs to lodge their tax returns in order to specify their income. In this case deductions and expenses are not included. Any sort of income or benefit that has been acquired wrongly should be reported by the trust beneficiaries. Some of these benefits and incomes include the rental income, income from the wages and also dividends.