This kind of homeowner is targeted now,
Landlords are being warned to accurately file their tax returns. Sophisticated software will reveal any unreported income, raising concerns.
Moreover, investors who have yet to submit their taxes this year are encouraged to ensure their information is correct. A prominent property organization is leading this initiative.
The Real Estate Institute of Western Australia has informed investors about potential unwanted calls from the tax office. These calls may concern unreported rental income, which could trigger alarms at ATO headquarters.
Furthermore, the REIWA states that new “data matching software” makes it easier for the ATO to spot discrepancies. This software compares data from property management systems that report rent and expenses to landlords’ tax returns.
In addition, the ATO cross-references this information with rental data from banks and insurance companies. They also check data from rental bond authorities and sharing economy platforms to identify inconsistencies.
Consequently, if you have undeclared income, the ATO will likely discover it quickly. They will then reach out to you for clarification.
This warning arises as federal tax officials consider possible changes to negative gearing regulations. Australians seem open to adjusting these rules to reduce tax benefits for rental property owners.
However, only a small number advocate for completely eliminating the scheme, as reported by the Sydney Morning Herald.
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Exclusive polling conducted by Resolve Political Monitor has provided insightful data for the Sydney Morning Herald. This research was carried out by Resolve Strategic.
The results show that 17 percent of voters wish to maintain negative gearing in its current form. Conversely, 15 percent of voters prefer to eliminate it entirely.
Additionally, a significant 46 percent of voters support keeping negative gearing, but they advocate for implementing changes. This indicates a strong desire for reform among the electorate.
