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Ready to make some claims now it’s tax time? Be careful

H&R Block owner and accountant Maree Dahl says to be careful of misconceptions, hidden traps and errors when lodging your tax return.

Ms Dahl said the government had "cracked down enormously" and many people were going to audit and incurring significant tax bills for incorrectly claimed deductions.

She said anyone doing their tax return via e-tax needed to do their research.

"The tax office will access your return and give you your refund," she said.

"But what they then are doing is looking at your occupation and looking at your claims.

"If your claims are outside the realms or the benchmark of that occupation, then you're flagged for a desk audit."

Ms Dahl said this meant you were required to substantiate all of the claims you made with receipts.

"If you can't substantiate them, then you'll have to pay back the tax you avoided," she said.

"Your refund will be negated plus, they will also charge you 9.5% general interest on that right back from the date you lodged your tax return.

"Then they can charge you 25% to 95% as a penalty of the tax that was avoided."

Ms Dahl said key things to watch for were claiming on driving hours and said it was "extremely important" to keep a logbook.

She said work clothing was another one to watch for and said unless it had your work logo on it, you could't claim its purchase.



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