How to Lodge Your First Australian Tax Return
Your first Australian tax return feels bigger than it is. Most first-time lodgers have one or two jobs, a bank account and perhaps a handful of work expenses, and the online system already knows much of that. The real work is checking what has been pre-filled, adding what hasn't, and keeping the records that back it up.
Key takeaways
- The Australian financial year runs from 1 July to 30 June, and your return reports income and deductions for that year.
- Most people lodge online through myTax, which you reach by linking the ATO to a myGov account.
- Pre-filled information from employers, banks and government agencies saves time, but you are still responsible for checking it and adding anything missing.
- Self-lodgers have a fixed due date each year; a registered tax agent can give you access to later lodgment dates if you engage them before that date.
- Even if you think you don't need to lodge, you may need to tell the ATO by lodging a non-lodgment advice.
Before you start: the three things you need
First, a tax file number (TFN). You probably already gave it to your employer when you started work. If you never applied for one, that comes first, and the ATO explains how at ato.gov.au/individuals-and-families.
Second, a myGov account linked to the ATO. myGov is the government's sign-in service; linking it to the ATO lets you see your tax records and use myTax. You set this up at my.gov.au. When you link, the ATO asks identity questions, which is why having an old payslip or bank details on hand helps.
Third, your records. For a first return this is usually short: your income statement (which employers who use Single Touch Payroll report directly to the ATO), any bank interest, and receipts for anything you plan to claim as a deduction.
Understanding the financial year and the due date
Australia's tax year is not the calendar year. It runs from 1 July to 30 June, and your return covers that full period. If you started your first job in March, your first return covers only the months from March to the end of June.
If you lodge yourself, the ATO sets a due date for individual returns a few months after the year ends. The exact date, and what happens if it falls on a weekend, is published on the ATO's lodgment pages each year, so check there rather than relying on what a friend remembers. If you use a registered tax agent and become their client before the self-lodgment due date, they can usually lodge later under their lodgment program.
Lodging early is not always better. Employers and banks report information to the ATO after the year ends, and your income statement should show as tax ready in myGov before you rely on it. Lodging before that risks missing income, which can lead to an amended assessment later.
Lodging through myTax, step by step
- Sign in to myGov and open the ATO service. Choose the option to lodge a tax return for the relevant year.
- Check your personal details. Confirm your address, bank account for any refund, and contact details. A wrong bank account is one of the most common reasons refunds are delayed.
- Review the pre-filled income. Salary and wages from employers, interest from banks, and some government payments appear automatically. Compare each item against your own records.
- Add anything missing. Income from a second job that hasn't reported yet, cash work, tips, gig-economy income and foreign income all need to be included.
- Enter deductions you can support. Only claim expenses you paid yourself, that relate directly to earning your income, and that you have a record for.
- Answer the Medicare and private health questions. These affect the Medicare levy and whether the Medicare levy surcharge applies. Health insurers usually report your policy details to the ATO.
- Check the estimate, then lodge. myTax shows an estimate of your refund or amount payable. It is only an estimate until the ATO issues a notice of assessment.
Choosing how to lodge
There are three common ways to lodge. The right one depends less on how much you earn and more on how complicated your year was.
| Option | Best suited to | Watch out for |
|---|---|---|
| myTax (online, yourself) | Employees with straightforward income and a few deductions | You carry full responsibility for what you claim; the pre-fill is a starting point, not a guarantee |
| Registered tax agent | Anyone with business income, rental property, capital gains, foreign income or uncertainty about deductions | Check the agent is on the Tax Practitioners Board register; their fee for preparing your return may itself be deductible in the following year |
| Paper return | People who cannot use online services | Slower to process; you need the current year's instructions and form from the ATO |
Commercial apps that lodge on your behalf generally do so through a registered tax agent. If you use one, it is worth knowing who that agent is and checking their registration at tpb.gov.au.
Common first-return mistakes
Missing a job. If you had two employers, both income statements should appear. If you changed jobs mid-year and one is missing, wait until it is tax ready or add it manually from your final payslip.
Claiming the tax-free threshold twice. This happens on the TFN declaration you give employers rather than on the return itself, but it shows up at tax time. If two employers both applied the threshold, too little tax was withheld across the year and you may have a bill.
Over-claiming deductions. Ordinary clothes, travel from home to your usual workplace, and expenses your employer reimbursed are common examples of things that generally can't be claimed. Our explainer on the three golden rules for work deductions covers the tests.
Forgetting bank interest. Interest is income, even on a small savings account, and it is usually pre-filled. Don't delete it.
The pre-filled data in myTax is a convenience, not a certificate. If it is wrong or incomplete, the return is still yours, and so is the correction.
After you lodge
The ATO processes the return and issues a notice of assessment, which appears in your myGov inbox. It sets out your taxable income, the tax worked out on it, the tax already withheld, and the result: a refund, a nil result or an amount to pay. Keep it with your records.
If you later realise you made a mistake, you can lodge an amendment through myTax. The ATO limits how long after an assessment you can amend, with different periods for different situations; check the current rules on the ATO website before you rely on being able to fix something later.
If you owe money, the due date for payment appears on the notice. If you can't pay in full, the ATO offers payment plans, and contacting them early is far better than ignoring the debt.
Do you even need to lodge?
Not everyone has to lodge a return every year. If your income was low and no tax was withheld, you may not need one, but in many cases you still need to tell the ATO by lodging a non-lodgment advice. And if tax was withheld from your pay, lodging is how you get back any amount withheld beyond what you actually owe. The ATO has an interactive tool to help you decide; search for it from the individuals section of ato.gov.au.
Frequently asked questions
Can I lodge my tax return before my income statement is tax ready?
You can, but it is risky. If your employer finalises different figures after you lodge, your return may need to be amended. Waiting until the income statement is marked tax ready in myGov is the safer approach.
How long does a refund take?
The ATO publishes its typical processing times on its website. Online returns are generally processed faster than paper ones, and returns with errors or missing information take longer.
Is the fee for a tax agent deductible?
Generally, the cost of managing your tax affairs, including a registered agent's fee, can be claimed as a deduction in the income year you pay it. Check the ATO's guidance on the cost of managing tax affairs for the conditions.
What if I lodge late?
The ATO can apply penalties for late lodgment, and interest can apply to amounts owing. If you are going to be late, contact the ATO or a registered tax agent as early as possible.
Verdict: If your first year was a single job, some bank interest and a couple of receipts, myTax is designed for you: wait until your income statement is tax ready, check every pre-filled line, and claim only what you can prove. When to see a registered tax agent: if you had a side business, an ABN, foreign income, a rental property, shares you sold, or you simply aren't sure whether something is income or deductible, a registered agent is worth it for the first year, and you can confirm their registration with the Tax Practitioners Board before you hand over anything.