Now every individual and business owners in Hobart are at a great relief since ATO has offered a better and improvised tax return because of COVID-19. In general, the pandemic has ushered some good news to the Australian taxpayers – they are to better tax return amounts on different purposes. A few experts hope that the situation is going to forge financial advantages in 2020 for the Australian citizens.
In this section, we have discussed the reasons contributing to such increased numbers of the tax return in Hobart.
Fixed-Rate Deductions Applicable For The Work For Home Employees
More than thousands of Hobart citizens are now working remotely due to Coronavirus. Hence, ATO has made a declaration of special tax returns for this working group. As per the declaration, they could claim flat deductions on the items on which they have to work. These are the following items on which the remote workers can claim their deductions.
• Internet Bills
• Phone, Computer, Tablet, and Such Devices’ Bills
• Every Stationery Item
• Office Furniture
• Cleaning Accessories
• Cost Incurred on Cooling, Heating, and Lighting
Apart from calculating each cost individually, ATO has even recommended a flexible and simple technique through which they can claim 80 cents at their per working hour. But the worker should be of the dedicated working area with all the needed arrangements. Even multiple members working remotely from the same home are allowed to claim these ATO declared deductions.
When they Cannot Claim?
Certain circumstances do not allow to claim the amount of 80% cents in per working hour which include:
• If they are managing the tasks like verifying emails and attending calls, and the related simplified task
• Claiming the unreasonable additional costs on these activities
ATO simultaneously allows using the earlier calculation method of their work proportion which includes the techniques of use and depreciation proportion based on their personal choice.
The Australians Can Expect Reduced Working Hours
The Australian workers could even expect decreased working hours due to the COVID-19. As the number of jobs has declined, so working hours for the Australian workers have even reduced. Hence, more tax deductions can be expected from the employers compared to before. With the help of experienced tax accountants in Hobart, you can easily evaluate the recommended tax deduction through the simple calculating gadget as the ATO has offered.
The Things They Cannot Claim
As stated in the new taxing protocol of ATO, there are particular things on which tax deductions cannot be claimed. Such rule applies to them who both belong and not belong to a particular dedicated area. All these items comprise of occupancy costs and the household items, which include:
• Occupancy Costs: Rents, Rates, and Mortgage Interests and more
• Household Items: Milk, Coffee, Tea and more
At the time of making all these claims, everyone must be aware of negative repercussions related to tax gains. ATO has stated it based on the latest reports. The Australian businesses planning to sell off their properties, they are liable to get a certain portion which the ATO has deducted for the purpose.
A Few Special Deductions To Be Claimed
Some special deductions are included on which they can claim based on specific purposes which include they can claim 66 cents per kilometers on driving their car. Apart from this, they have permission to drive within their home maximum to their office. Being a Work From Home employee, they can claim the 80 cents per working hours for meeting the costs meant for some purposes which include the curtain charges, light fitting charges, and charges for restoring the torn and scruffy carpets.
$1,080 Relief Plan As Propounded By SCOMO
The tax offset sector of Scott Morrison’s government gives a relief aid of $1,080 to the affected workers. It has been proved positive as a result that because of new schemes in increased tax returns as designed by ATO – depends on the amount of their total annual income. They receive $1,080 as the whole amount when their income is within the range of $37,000 to $126,000. Alternatively, if their total income is lesser than $37,000, then they receive $225.
ATO has now eased out the tax returns schemes for the citizens. If you are among the people as discussed in the entire blog, then you might need more information on these matters. You are welcome to take the best assistance from the qualified tax accountants in Hobart to keep everything legal.