We know it’s not the most thrilling topic and we’d rather talk about anything else! But when July comes around, tax time comes around with it.

So, here’s your rundown of the basics to make your tax time a little bit easier.

What is tax time?

In Australia, tax time is from 1 July to 31 October. It’s the period time that you have to sort out your tax return for the previous financial year. All tax-paying Australians must sort out their tax returns in this time^*.

How do I 'do my taxes’?

‘Doing your taxes’ basically means lodging a tax return with the Australian Tax Office (ATO). You just have to lodge your tax return between 1 July and 31 October to get your taxes done*.

How do I lodge a tax return?

It’s simple, there are three ways to go about this:

• Online: An effective way to do this online is via the myGov website. It’s quick and you can do it all from your phone. It’s that convenient.

• Paper: You can lodge your tax return by mail. Just keep in mind this method takes about 50 business days to turnaround.

• Tax agent: You can opt to have a registered tax agent lodge your taxes for you but this doesn’t come for free. They will usually charge a fee which varies from tax agent to tax agent.

For more information on how to lodge your tax return, visit the Australian Tax Office website.

Will I get a refund?

It depends! Tax returns vary from person to person. They can range from having extra money come your way because you overpaid tax in the previous financial year to having to pay a tax bill because you owe more than what has already been taken out. We wish we could tell you whether you will be making money this tax time or spending it, but we can’t. It’s unique to your taxable income, deductions and other factors.

What are these tax cuts I keep hearing about?

You may have heard that next financial year will bring with it tax cuts for all tax-paying Australians but what does that mean? If you’re getting taxed less, not as much money will be taken out for tax and as a result, more may end up in your bank account as your net salary. Sounds great right?

How much extra money will I get?

This depends on how much you earn. The table below will give you a general idea of how much extra you may be taking home next financial year because of these tax cuts.

^{Source: all figures calculated using https://taxcuts.gov.au/calculator}

If you want to see how much extra money you may be taking home next year, have a look at the tax cut calculator.

• Savings challenge: It’s really tempting to go on a mini splurge when you know extra money is coming your way. And that’s okay! But in times like this where your sushi lunch is nearly $20 and everything seems to be getting pricier, consider setting yourself a savings challenge to bank 50% (you pick the percentage) of your return for that rainy day. Who knows when the extra savings will come in handy and you’ll thank yourself.

*The 31 October deadline can be extended if you go through a tax agent. Speak directly to your tax agent to see if that is the case.