Tax return 2023-24 – How to make sense of tax time

Now: what is a tax return?

If you've earned any money in Australia throughout the financial year (1 July to 30 June) you need to declare this at tax time. If you've paid too much tax throughout the year you'll get some back in the form of a return. If you've underpaid, you'll owe some tax.

Your tax return is also a chance to declare work-related expenses as deductions, to boost your return.

If you're after a bit of help with your tax return, an Australian tax agent can help you correctly lodge your tax return.

"In the second year of doing my tax return as a non-permanent resident I realised that I could claim the taxes I had paid in the year for Medicare as I am not eligible for it. Once my accountant told me this, all I had to do was fill a form which was submitted with my tax return. I was even able to submit one for my first year when I didn't claim it. Depending on how much you are earning it can be upwards of $2000!"

Juan Peña

Finder crew member

All the changes from 1 July, 2024

These are not just related to your income tax – we're also sharing changes that could change your income:

Stage 3 tax cuts: The Australian government has announced changes to the proposed stage 3 cuts, planned to come into effect from July 1 this year.

• The lowest tax rate (for people earning $45,000 or less) will fall from 19% to 16%.
• The 32.5% tax rate will fall to 30% as previously planned, but will now cut off at $135,000.
• Anyone earning over $135,000 will be taxed at 37% (this bracket currently starts at $120,000).
• The top tax bracket of 45% will now kick in at $190,000 (instead of $200,000).

Minimum wage: Australia's minimum wage and award wages will increase by 3.75% from July 1, according to the Fair Work Commission.

• The decision will see the national minimum wage increase from $23.23 per hour to $24.10 per hour.
• This equals $882.80 per week to $915.91 per week, based on a full-time, 38-hour working week.

Paid Parental Leave: The government's Paid Parental Leave is changing. Right now, eligible parents can access up to 100 days of paid leave, or 20 weeks based on a 5 day work week.

• From 1 July 2024, you'll be eligible for 110 days, or 22 weeks based on a 5 day work week. This increases to 120 days (24 weeks) in July 2025, and 130 days (26 weeks) in July 2026.
• The rate of paid parental leave will increase in line with minimum wage to $915.91 per week.

Superannuation: The Super Guarantee is increasing to 11.5% on 1 July. It will then increase by a further 0.5% on 1 July 2025 to 12%.

• The before-tax contribution cap in 2024-25 is $30,000, which is up from $27,500 in 2023-24.
• The after-tax contribution cap in 2024-25 is $120,000, which is up from $110,000 in 2023-24.

Finder survey: How many Australians think they pay too much tax?

How to lodge your tax return

• Step 1. Decide which way to lodge - online yourself or with a tax agent. Online through the ATO is free and simple; you just need records of your deductible expenses. If you use a tax agent they can manage the process for you and help you claim for items you may not have realised you could claim.
• Step 2. Either way: You'll need to gather the info and documents you need to support your claims. Receipts, invoices, bank statements: these will all help you verify your claims, if you ever get audited.
• Step 3. Set aside a couple of hours to lodge your tax return via the ATO's online portal, inside MyGov. Often, information like your income and any bank interest you've earned is already listed, if you give your MyGov account permission to collect data from your employer and the bank. If you don't want to dive into it yourself, you can hand all your docs over to your tax agent to do it for you.
• Step 4. Lodge your return with the ATO. The earliest you can do this is around mid-July, as the government gives banks and employers a couple of weeks to get all of their information filed and up to date before you lodge.

For a more detailed overview on each of these steps, read our longer guide on how to complete your tax return.

ATO Tax return deadlines

If you're doing your tax return yourself online, you have until 31 October 2024 to submit your tax return.

If you're using a registered tax professional you have until mid-May 2025.

Make sure you lodge you tax return ahead of the deadline set by the ATO each financial year, or you risk getting a penalty.

Should you do your tax return yourself, or get professional support?

You can complete your tax return yourself online for free using the ATO's tool myTax, or you can seek support from a registered tax agent.

An accountant or tax agent can help you maximise your deductions and is especially useful if you have a complex tax situation (multiple income streams or investments, you run a business etc).

More helpful tax guides

• The pros and cons of tax agents and DIY
• Choosing the right tax agent
• How to maximise your tax deductions

Expert insight: Why your tax return actually helps you

"Most people earning an income in Australia will need to lodge a tax return, and while this comes with some administration work, it also comes with an opportunity. When you use the rules to your advantage, you'll keep more of your hard-earned income and get ahead faster. Like anything worthwhile, tax planning is a skill set you build over time, and building your knowledge is the first step. "

Ben Nash

Financial adviser & founder, Pivot Wealth

Expert insight: Remember to think about capital gains

"When deciding if you need to lodge a tax return, it's important to consider whether you have capital gains or foreign income. Even if your taxable income is below the tax-free threshold, you must still lodge a return if you've realised any capital gains (such as from selling shares, cryptocurrency, or property) or received foreign income. This is crucial because the ATO requires you to report these types of income, and their reporting capabilities are continuously improving. Failing to declare can result in significant fines and penalties"

Nicole Kelly

CEO & founder, TaxTank

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DISCLAIMER: Many of the comments in this article are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information applicability to their own particular circumstances.

Written by

Sarah Megginson

Head of editorial

As an authority on all things personal finance, Sarah Megginson is passionate about helping you save money and make money. She is an editor and money expert with 20 years’ experience and an extensive background in property and finance journalism. Sarah holds ASIC RG146-compliant Tier 1 Generic Knowledge certification, and she's a regular media commentator, appearing weekly on TV (Sunrise, Channel 7 news, Nine news), radio (KIIS FM, Triple M, 3AW, 2GB, 6PR) and in digital and print media. See full bio

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