Tax Return Amendments: How and When You Should Amend Your Tax Returns
Are you among the numerous people who make mistakes on your tax return and are afraid to amend it? Well, you are in luck as this is a guide that will help you make amendments to your tax return. While you may not be aware, you have a window of two years to amend your tax return, from the time of lodgment. If you are not sure if you filed the correct tax return, talk to our friendly experts and we will be able to correct it.
The Australian Taxation Office, better known as the ATO, appreciates that life is quite demanding and people can make mistakes. Some of the common mistakes that people make in their tax returns include:
As soon as you realize that you have made a mistake in the annual income tax return, you can lodge an amendment. Amendments should apply both to tax deductions as well as disclosure of income earned. When you lodge an amendment with the ATO, you will have your tax affairs streamlined. Our professional advice is that you should file for an amendment as soon as you realize that there is a mistake in your tax return.
How to Amend a Tax Return
If you have realized that there was a mistake in your tax return and you want to amend it, there a number of ways to do it. One of the best ways is through the online option, which we will be glad to take you through.
Online Tax Amendment
As mentioned, online amendments are easier and quicker. Generally, the ATO takes up to 20 days to process online tax amendments. It is important to note that you can always request an online amendment, irrespective of how the original tax return was filed.
In order to use the online platform, you will need to have the myGOv account linked to the Australian Tax Office. We have tax experts who can help you create your account. Once you have access to the online portal, you will gain access to the tax return that you are interested in. You can add or delete the amount in question and then use the calculator to get the new tax refund or amount due.
Tax Amendment in Writing
If for whatever reason, you cannot amend your tax online, there is an option to use the manual forms and request an amendment in writing. Once you have filled out the form, you should fax it and post it with the necessary attachments.
This manual option takes up to 50 business days for the amendment to be completed. If you choose to write a letter, and not use the ATO forms, your letter should include all the relevant information, including your name, tax file number, address, contact, year of the tax return and the reason for the amendment.
Contact Us- We Are Here to Help
It is best to get an amendment done from a professional tax agent as amendments require a close scrutiny of your tax return before it can be lodged. You do not want to be committing another mistake and doing a second amendment which lead to more scrutiny by ATO.
At Accurate Business and Accounting Services we will thoroughly review the prior return again and the amendments required before submitting it to ATO.
We will also discuss with you possible actions that the ATO could take after an amendments lodged such as fines, demand for evidence and documentation for claims made, interest charge on new payables as a results of amendment etc.
Amending your tax return is not a difficult process as long as you can clearly explain the problem that needs to be corrected. If you are not sure how to go about it, our experts at Accurate Business and Accounting Services will be happy to help you out. You should never underpay your taxes as this could amount to tax evasion. You also need to ensure that your tax refund is adequate.
Get in touch with us and we will be glad to assist you in lodging a tax amendment.