If you have just started your first job or have never lodged a tax return before, the process is simpler than it might seem. Most first-time lodgers use the ATO’s free myTax tool and complete the process in under an hour. Here is everything you need to know.
Do You Need to Lodge?
You generally need to lodge a tax return if:
- You earned more than $18,200 in wages during the financial year, or
- You had tax withheld from your wages (even below $18,200), or
- You received a government payment (JobSeeker, Youth Allowance, etc.), or
- You had any investment income (bank interest, dividends, capital gains)
If you only worked a few weeks and earned very little, you may not need to lodge — but lodging often results in a refund of any tax that was withheld.
Use the ATO’s “Do I need to lodge?” tool at ato.gov.au to confirm.
Tax-Free Threshold — Claim It at Your Main Job
When you start a job in Australia, your employer asks you to complete a Tax File Number (TFN) Declaration. This form asks, among other things, whether you want to claim the tax-free threshold.
Claim the tax-free threshold at your primary job (the one where you earn the most) if:
- You are an Australian resident
- This is your main source of income
Claiming the threshold means your employer does not withhold tax on the first $18,200 of your annual income — reducing the tax deducted from each pay.
If you have a second job, do not claim the threshold there.
Setting Up myGov and Linking the ATO
To lodge via myTax, you need a myGov account linked to the ATO.
- Go to my.gov.au and create an account (you need an email address and a government ID — Medicare card, driver’s licence, or passport)
- Once logged in, go to Services → ATO → Link
- Follow the linking steps — the ATO will ask you to verify your identity with details from a past tax return or your TFN (usually provided on your TFN letter)
Once linked, you can access myTax through the ATO section of myGov.
When to Lodge
The Australian financial year runs 1 July to 30 June. The tax return for FY2025–26 covers income earned from 1 July 2025 to 30 June 2026.
You can lodge from late July onwards (the ATO opens myTax once income statements are ready). The deadline for self-lodgers is 31 October.
Wait until your employer marks your income statement as “Tax ready” before lodging — usually after 14 August. This avoids having to amend your return.
What Your First Return Will Include
Income:
- Wages from all employers during the year (pre-filled from your income statement)
- Any bank interest earned (pre-filled)
- Government payments if any (pre-filled)
Deductions you might be able to claim:
- Work-from-home expenses (if you worked from home — keep a diary of hours)
- Uniform or work clothing (occupation-specific only — everyday clothes are not deductible)
- Work-related phone use (the portion related to work)
- Any tools or equipment you bought for work (under $300 — immediate deduction)
- Union fees or professional memberships
HECS-HELP: If you have a HECS-HELP debt, notify your employer via the TFN Declaration so the correct withholding applies. The ATO calculates your compulsory repayment in your return. If you graduated recently, make sure your employer has you set up correctly.
What to Expect — Your First Refund
Many first-time lodgers receive a refund. This happens because:
- Tax was withheld at a standard rate but your actual income for the year was lower (perhaps you only worked for part of the year)
- You are eligible for the Low Income Tax Offset (LITO) which reduces your liability
- Deductions reduce your taxable income
Refunds are paid into your nominated bank account, typically within two weeks.
Common First-Time Mistakes
| Mistake | How to avoid |
|---|---|
| Claiming tax-free threshold at two jobs | Only claim it at your primary job |
| Not declaring all income | Include every employer’s income, all bank interest, any government payments |
| Not lodging at all | Even a small refund may be waiting — lodging costs nothing via myTax |
| Missing simple deductions | Check whether you can claim WFH, phone, or work-related expenses |
| Lodging before income statement is finalised | Wait until the income statement shows “Tax ready” (after 14 August) |
Frequently Asked Questions
How do I know what my TFN is? Your tax file number was issued when you applied for one (usually when starting work in Australia for the first time). Check your ATO correspondence letters or look it up through myGov once your ATO account is linked.
Do students need to lodge a tax return? If you earned income above $18,200, had tax withheld, or received Youth Allowance or Austudy, you generally need to lodge. Many students get a refund because their annual income is lower than the withholding assumed.
What if I worked for only part of the year? Your employer withheld tax based on an annualised projection of your income. If you only worked a few months, the annual income was lower than assumed, and you are likely owed a refund of over-withheld tax.
Can I lodge on my phone? Yes. The myGov app or the myGov browser on a mobile device works for lodging. The process is the same as on a desktop.
This article provides general tax information. For advice tailored to your situation, speak with a registered tax agent. Find one through the Tax Practitioners Board register.