Avoid these five common mistakes this End of Tax Year

Avoid these five common mistakes and keep your tax season on track.

Mistake #1 – Neglecting your home office details

If you’re claiming home office expenses, accuracy is key.  You might have started the year tracking everything diligently, but it’s easy to let those habits slide.  Now’s the time to catch up — don’t leave it until the last minute.  Gather your utility bills, rates, phone plans, and other relevant expenses, and plug them into your home office expense chart.

Mistake #2 – Forgetting asset invoices

Have you bought a new vehicle, tractor, or other equipment this year?  Save those invoices!  We need them to update your asset register and calculate accurate depreciation claims.

Mistake #3 – Skipping your odometer reading

Do you use a vehicle for work?  Record your odometer reading on 31st March to track your total business and personal kilometres for the year.  This is especially crucial if you’ve driven more than 14,000km, where Inland Revenue’s Tier 2 rates apply.

Mistake #4 – Not flagging Xero/MYOB uploads with your accountant

If you upload invoices into Xero or MYOB, let us know.  This simple step can streamline the process and potentially reduce your accounting fees.

Mistake #5 – Confusing deductible expenses

Food, drinks, travel — what’s deductible and what’s not?  The rules vary depending on whether you’re self-employed, a shareholder, or trading as a company.  Check Inland Revenue’s guide on entertainment expenses to avoid surprises.