This is because lodging your tax return too early may mean crucial information is left out – and this is the number one reason why tax returns are delayed, said ATO assistant commissioner Tim Loh.
“We know people are eager to get their hands on their tax refund, as we had over 172,000 individual 2021 tax lodgments on 1 July,” Loh said.
“We understand the rush to get a refund as fast as possible but racing to lodge your return can often lead to easily avoidable mistakes.”
More about Tax 2021:
Before you can send off your tax return, all your income information needs to be filled out and accurate.
And that means most Aussies have to wait for their income statement (also known as payment summary, and used to be called a group certificate).
This will typically land on 14 July, but employers hard-hit by COVID-19 have until 31 July, the ATO advised.
And any other income that isn’t automatically pre-filled has to be included, too.
So it’s a good idea to wait another couple of weeks before filing your tax return, Loh said.
“By allowing more time, your return will be easy, speedy, and importantly, more accurate. By avoiding mistakes, we’ll be able to process your refund faster.”
Exactly when to lodge your tax return
It’s worth waiting until at least mid-July, when your income statement should be available.
But those wanting to be on the safe side should stick it out until the end of the month.
“Waiting until the end of July to lodge allows the ATO to add information into your tax return from employers, banks, private health insurers, and government agencies into your tax return,” said Loh.