How to Prepare Your Individual Tax Return Early in the New Year (Avoid the July Rush)

Preparing your individual tax return early in the year is one of the simplest ways to reduce stress, avoid the July lodgement rush, and ensure your financial information is organised before the busy tax season begins. For many Australians, the period between January and March is the perfect time to review income, gather documents, and get professional support if needed. Starting early also gives you more time to correct errors, maximise deductions, and ensure full ATO compliance.

Early preparation is especially beneficial if you work with a tax accountant, as they can review your details without the mid-year pressure that typically begins from July onwards. When managed correctly, early planning not only speeds up the lodgement process but also improves the accuracy and quality of your tax return.

Why Prepare Early in the New Year?

January is usually a quieter financial period for most people. Work routines stabilise after the holidays, and it becomes easier to review your previous year’s financial activity. Preparing early helps you identify missing statements, clarify income sources, and organise deductible expenses before the bulk of Australians start contacting tax agents in July.

Additionally, when you start early, you can plan ahead for any tax payable, avoid surprises, and structure your financial decisions more strategically with help from a professional tax accountant in Perth.

Step 1: Review Your Income Sources

The first step is to list out all income streams for the financial year. Depending on your situation, this may include:

• Salary or wages

• Centrelink payments

• Investment returns

• Dividends or managed fund income

• Cryptocurrency gains

• Business or freelance earnings

Many Australians forget secondary income streams, which can lead to amended returns or ATO reviews. Documenting everything early ensures your tax return in Perth is accurate from the beginning.

If you are unsure what counts as taxable income, a registered tax agent in Perth can help you identify what must be declared.

Step 2: Organise Receipts and Deductible Expenses

Deductions reduce your taxable income, but only if you can substantiate them. Start gathering:

• Work-related expenses

• Car and travel records

• Self-education costs

• Home-office logs

• Protective clothing and equipment

• Mobile and internet usage percentage

• Charitable donations

If you claim work-related deductions, ensure they directly relate to your job and meet ATO’s criteria. A registered tax return accountant Perth can guide you on what is claimable and what may be flagged by the ATO.

Keeping digital copies of receipts through the ATO myDeductions app or cloud storage makes early preparation much smoother.

Step 3: Check Your Superannuation and Private Health Insurance

Many Australians overlook super contributions and private health declarations when lodging their individual tax return. Reviewing this information early ensures:

• Correct reporting

• Potential tax offsets

• Reduced risk of missing statements

If you made personal super contributions, keep evidence from your super fund. Early preparation gives you time to request missing documentation if needed.

Step 4: Gather Your ATO Information

Although some information pre-fills only become available closer to July, many documents can be collected early:

• Last year’s notice of assessment

• PAYG summaries

• Bank interest statements

• Rental property statements from your agent

When you start organising in January–March, you avoid last-minute stress and can easily update missing details once the ATO pre-fill becomes available.

Working with a professional tax accountant Perth ensures the pre-fill data is checked thoroughly, reducing the chance of errors.

Step 5: Identify Tax Changes for the New Financial Year

Every year, the ATO updates tax rules, thresholds, deductions, and compliance requirements. Preparing early helps you understand:

• If any deductions have changed

• Whether working-from-home rates have been updated

• New reporting requirements for investments or digital assets

• Adjustments to your tax bracket or thresholds

A qualified tax agent Perth stays updated with ATO regulations, ensuring your tax return remains compliant and maximised.

Step 6: Consult a Professional Early

Most people wait until July to contact a tax return accountant Perth, which leads to delays and limited appointment availability. Reaching out in the first quarter of the year offers:

• More personalised guidance

• More time to correct issues

• More opportunities to claim every eligible deduction

• Early identification of tax obligations

A professional can also help you with tax planning for the upcoming financial year so you’re not just preparing your return—you’re strengthening your financial position.

Benefits of Preparing Your Tax Return Early

• Reduced stress during peak July–October period

• Faster lodgement and fewer errors

• Better organisation of receipts, statements, and deductions

• More time for corrective adjustments

• Improved clarity about potential refund or tax payable

• Opportunity for forward-planning with a tax accountant

Starting early puts you in control of your financial information instead of rushing at the end.

Also read: How to File a Non-Resident Tax Return in Australia

Final Thoughts

Preparing your individual tax return early in the year is one of the most effective ways to stay organised, compliant, and financially confident. With careful planning, proper documentation, and support from a reliable tax accountant in Perth, you can avoid the July rush and ensure your tax return is lodged accurately and on time.

If you want a smooth, stress-free process, beginning in the first quarter of the year is the smartest step you can take.