A Finance blog by Paul Bennion.
Figures produced by the Australian Taxation Office (ATO) show that in the 2010/11 financial year individual taxpayers received $24.7 billion in tax refunds.
This is slightly higher compared to the 2009/2010 financial year when tax refunds to individuals totalled $23.5 billion.
The ATO figures contained in its 2010/11 Annual Report also show that $132.7 billion in taxes was collected from individuals last financial year. This was an increase of over $12 billion compared to the previous financial year.
Overall, individuals accounted for nearly half of all direct tax collections during 2010/2011.
Individual taxpayers who received the $24.7 billion in tax refunds last financial year qualified for these refunds by using legitimate tax deductions such as the depreciation tax benefits associated with buying an investment property.
Experts from Australia’s leading property depreciation company, DEPPRO, believe these overall tax refunds could be even higher if more property investors understood the financial advantages of tax depreciation and fully claimed their entitlements using the services of a professional tax depreciation company.
Tax benefits obtained through legitimate property depreciation can be equivalent to 60% of the total purchase price of an investment property if claimed correctly.
Each year hundreds of millions of dollars in tax benefits are lost every year by property investors who do not claim their legitimate entitlements.
With the new tax year approaching, investors are encouraged to seek out the services of a professional tax depreciation company to ensure their claim their maximum property depreciation entitlements and make the most from their investment.
Net collections by revenue type (2009/10 and 2010/11)