Tax season doesn’t need to be stressful. With a little organisation throughout the year, you can save time, avoid headaches, and ensure you’re claiming everything you’re entitled to. Here’s how:
- Keep Digital Records
Don’t wait until June to dig through drawers and shoeboxes. Save digital copies of your receipts as you go—paper receipts often fade or deteriorate, and missing documentation could mean missing out on deductions.
- Use ATO Tools Like myDeductions
The ATO’s myDeductions tool (available via the ATO app) makes it easy to track work-related expenses and receipts in real time. It’s a convenient, secure way to stay organised year-round.
- Keep the Right Evidence
Not all records are created equal. Bank or credit card statements alone usually aren’t enough. Make sure your records include:
- Cost of the item or service
- Purchase date
- Supplier name
- Nature of the expense
- Date the record was generated
Whether digital or paper-based, acceptable formats include invoices, receipts, spreadsheets, timesheets, logbooks, employment contracts, and employer letters.
Find more guidance on what records to keep at: ato.gov.au/keepingrecords
How Long Do You Need to Keep Records?
Generally, the Australian Tax Office (ATO) requires individuals to keep tax records for five years from the date you lodge your return. This includes receipts, invoices, and logbooks.
If you’re claiming deductions for depreciating assets, hold onto those records for five years from the end of the year you claim the final deduction.
Stay Compliant
The ATO is increasingly using digital tools like AI, data matching from banks and rental benchmarking to audit property investors.
On the ATO website, please refer to the Rental Properties Guide 2025 and Tax Time Toolkit for Investors. These resources cover how to:
- Accurately report rental income
- Distinguish between repairs and capital improvements
- Allocate deductions for private vs. income-producing use
- Maintain thorough records
Further Resources
Helpful tools and resources include:
- myDeductions app
- ATO website
- Real estate tax guidance: ato.gov.au/realestate
- Records checklist
- Work-related deduction tips
Disclaimer: Time Conti Sheffield is an industry leading real estate firm specialising in bespoke property management and is not a tax advisor. Please refer to your tax consultant for more information.
