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Bankwest Taxing Times Report 2013

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    I n

    t r o

    d u c

    t i

    o n

    2

    Introduc on

    At least 900 individuals na onwide have been anonymously surveyed to assess their tax return experiencesand expecta ons in the 5th annual Bankwest Taxing Times Report 2013.

    The Bankwest Taxing Times Report assesses aspects such as the amount Australians expect to receive/pay in

    tax this nancial year, the cost involved with lodging a tax return, di cul es comple ng tax returns, and howthey plan on spending any refund they might receive. The research also looks at SME owners and how theydeal with their business tax.

    The research is carried out by CoreData via an online survey sent to Australians aged 18 years and over inMay 2013.

    This research was prepared by:CoreData Consul ng

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    Key Findings

    Economic context

    Despite predic ons by the Federal Government in the past that total tax revenue in Australia would growsubstan ally in nancial year 2011/12, since the 2012-2013 mid-year economic and scal outlook tax receiptshave in fact been revised down by around $60 billion over the four years to 2015-16. The Government reportsthat tax receipts have been signi cantly a ected by weaker than expected nominal GDP growth. This fall incompany tax receipts has been compounded by lower than expected capital gains tax and resource rent taxes(Federal Budget).

    Despite con nued global uncertainty, the Interna onal Monetary Fund s ll predicts Australias GDP will growby 3% in 2013 (IMF 2013 World Economic Outlook).

    According to latest gures available from the ABS, on a seasonally-adjusted basis, na onal total AverageWeekly Earnings increased by 2.7% in the six months to November 2012, with the average Australian earning

    $56,228 per annum and the average full- me worker earning $75,650.

    Research ndings

    The Taxing Times report reveals that overall in Australia the average expected tax return has remained stableat $2,033 FY 2012/2013 from the $2,017 observed last year although this masks some state divergence. Thisis down approximately 12% from 2011 when the average return was $2,317, and approximately 18% on theexpected return in 2010 ($2,473).

    State separa ons appear to largely re ect their rela ve posi ons in the economic cycle sugges ng that theboom for WA and QLD is coming to an end while business condi ons are poten ally beginning to pick up in

    VIC. While respondents from WA expect the greatest increase ($2,291 to $2,691) and largest return comparedto other states, only respondents from VIC expect a smaller income tax return on average this year ($2,348 to$1,950). Largely in line with these previous observa ons around income tax return expecta ons, VICrespondents expected to pay considerably more income tax this year on average ($2,930 to $5,528) while WArespondents expected to pay considerably less addi onal income tax this year compared to last year ($4,468 to$2,985). Interes ngly, QLD respondents also report expec ng to pay much less addi onal income on averagethis year ($4,925 to $2,821). SA respondents had the lowest expecta ons for paying addi onal income tax thisyear ($1,258).

    The propor on of respondents who expect to receive a tax refund has dropped to 64.8% in FY 2012/13 from72.7% last nancial year, while the propor on of people expec ng to break-even has increased to 19.1% from14.1%.

    Over half of respondents (56.5%) who expect to receive a refund in 2013 believe they will receive a refund ofless than $1,000. Two in ve (35.5%) expect to receive a refund between $1,000 and $5,000, and only 8.0%expect to receive a payment of $5,000 or more.

    The majority of respondents (50.3%) pay an accountant to prepare their tax return, while 39.6% do itthemselves. A minority outsource the lodgement of their return to family or friends (6.6%). Filing tax returnsonline is clearly the most popular approach for respondents (87.6%), in line with the past two years.

    K e y

    Fi n

    d i n

    g s

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    Tax Refund/Payment

    While most s ll receive a refund this has been steadily decreasing over the last three years

    While the majority of respondents (70.8%) report receiving a tax refund last year, this has been steadilydeclining since 2011 where this propor on was as high as 81.1%. Conversely there has been an increase in

    those repor ng paying addi onal tax last year (14.5%). While receiving a refund steadily decreased with age,breaking-even is much more likely among the oldest genera ons.

    Did you receive a tax refund or pay addi onal tax last year?

    Expecta ons for this year show increasing propor ons of respondents predic ng they will break even on theirreturns (19.1% up from 12.0% in 2011), with less expec ng a refund (64.8% down from 78.4% in 2011).

    Do you expect to receive a tax refund or pay addi onal tax this year?

    81.1

    10.36.5

    2.2

    76.7

    11.57.9

    3.9

    70.8

    14.59.8

    4.8

    0

    25

    50

    75

    100

    Received refund Paid additional tax Broke even (norefund, no payment)

    Other

    %

    2011 2012 2013

    78.4

    6.212.0

    3.4

    72.7

    9.4 14.13.9

    64.8

    9.6

    19.1

    6.5

    0

    25

    50

    75

    100

    Receive refund Pay additional tax Break even (norefund, no payment)

    Other

    %

    2011 2012 2013

    T a

    xR

    ef

    un

    d

    / P

    a ym

    en

    t

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    Tax return received varies by state

    Actual and expected refunds remain rela vely stable in Australia overall despite some divergence among states

    While overall across Australia there is only a small drop in the average income tax refund received byrespondents from FY 2011/12 to FY 2012/13, focusing in on at the state level shows this varies considerably.

    Respondents from NSW/ACT and QLD report slight increases in income tax refunds while those from WA reporta rela vely large increase of over $400 on average ($2,508 to $2,977). WA respondents also reportconsiderably higher total returns for both years than other states. Meanwhile VIC ($2,439 to $1,969) and SA($1,807 to $1,616) report considerable drops in the average income tax refund received over this period withSA respondents repor ng the smallest returns in both years compared to other states. On average, malestended to receive considerably higher refunds than females ($2,513 vs. $1,602) and also report paying moreaddi onal income tax ($3,839 vs. $1,657).

    How much income tax refund did you get last year?

    Tax return expecta ons

    Looking at Australia overall there is li le change in income tax return expecta ons this year compared to lastyear, remaining stable at just over $2000 ($2,017 to $2,033) - although this tends to mask state baseddi erences. While respondents from WA expect the greatest increase ($2,291 to $2,691) and largest returncompared to other states, only respondents from VIC expect a smaller income tax return on average this year($2,348 to $1,950). As for last years actual returns, on average males tended to expect considerably higherrefunds than females ($2,474 vs. $1,365) and also expected to pay more addi onal income tax ($4,140 vs.$2,419).

    How much income tax refund do you expect to receive this year?

    2,1382,439

    2,0421,807

    2,5082,2302,171

    1,9692,172

    1,616

    2,977

    2,148

    $0

    $1,000

    $2,000

    $3,000

    $4,000

    NSW VIC QLD SA WA Australia

    2012 2013

    1,730

    2,3482,116

    1,630

    2,2912,0171,955 1,950

    2,202

    1,683

    2,691

    2,033

    $0

    $1,000

    $2,000

    $3,000

    $4,000

    NSW VIC QLD SA WA Australia

    2012 2013

    Tax

    R

    un

    P a y m e n

    t

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    Largely in line with these previous observa ons around income tax return expecta ons, VIC respondentsexpected to pay considerably more income tax this year on average ($2,930 to $5,528) while WA respondentsexpected to pay considerably less addi onal income tax this year compared to last year ($4,468 to $2,985).Interes ngly, QLD respondents also report expec ng to pay much less addi onal income on average this year($4,925 to $2,821). SA respondents had the lowest expecta ons for paying addi onal income tax this year($1,258).

    How much addi onal income tax do you expect to pay this year?

    Tax Return Use

    Majority of respondents looking to pay down debt or save

    As found in recent years, the majority of Australians are s ll taking a conserva ve approach to the use of theirtax returns in 2013. For respondents that are expec ng to receive a tax return, over a third (35.6%) plan to usethe money to pay o debt, while 31.5% plan to save their tax return. The results are rela vely stable comparedto 2012, when 38.9% planned to pay o debt, and 30.8% planned to save their refund. Tendency to use thereturn to pay o debt decreased steadily with age (46.9% of Gen X vs. 12.9% of Pre Boomers) and is leastapparent among respondents from QLD (29.9%) while highest among those from NSW (39.0%).

    Less than one in ve (16.8%) plan to buy basic commodi es such as food or rent, while only 12.0% plan to useit for entertainment or going on holidays, which is down slightly from 2012 when 14.9% planned to spend theirreturn on something more exci ng - a likely re ec on of the con nued nega vesen ment towards the economy at present.

    Among those who are planning to save their tax return, bank savings accounts are the most popular method ofsavings, nominated by 64.0% of respondents, despite the popularity of this savings vehicle decreasing slightlycompared to last year (69.2%). However, bank accounts are considerably more popular among females thanmales (72.2% vs. 58.0%) as they are with Gen Y (80.6%) compared to older genera ons. Respondents from SAalso showed some predilec on for using savings accounts over those from other states. Preference for termdeposit accounts have remained stable compared to FY 2011/12 (11.5% vs. 10.8%), while shares and otherinvestments have bounced back somewhat (10.2% vs. 6.1%). This likely re ects the growing ow of investor

    assets from cash to equi es as economies slowly recover from the last GFC.

    3,4132,930

    4,925

    1,814

    4,468

    3,5473,968

    5,528

    2,821

    1,258

    2,985

    3,539

    $0

    $1,500

    $3,000

    $4,500

    $6,000

    NSW VIC QLD SA WA Australia

    2012 2013

    T a

    xR

    e t u

    rn

    U s

    e

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    Of those planning to pay down debt, the number looking to pay down credit cards has decreased since FY2011/12 (53.5% vs. 62.7%), while the number looking to pay o mortgages has increased (40.3% vs. 33.5%),sugges ng a shi in focus from short term to long term debt reduc on a reversal of the trend observedlast year. While females are more likely than males to pay down debt on their credit cards (57.5% vs. 50.7%),males are more likely to pay o their mortgage (43.5% vs. 35.6%).

    The spenders, on the other hand have become slightly less likely to spend their tax return on a holiday(65.0% vs. 68.5%) or electronic goods (29.2% vs. 31.5%), and slightly more likely to spend it on entertainment(22.5% vs. 20.3%) and home improvements (18.3% vs. 15.4%). While males tended to prefer spending onelectronic goods (32.4% vs. 25.0%), females had a clear preference over males for clothes/accessories etc.(30.8% vs. 11.8%) and pampering themselves (17.3% vs. 0%). Gen Y are also much more likely to spend onentertainment (33.3%), clothes/accessories etc. (40.0%), and pampering (23.3%) than older genera ons.

    How is your income tax return likely to be used?

    35.6

    31.5

    16.8

    12.0

    5.2

    1.1

    4.6

    38.9

    30.8

    19.1

    14.9

    4.9

    1.0

    11.9

    42.2

    31.3

    15.8

    17.7

    5.3

    1.3

    0.0

    0 10 20 30 40 50

    It will be used to pay off debt

    It will be saved

    It will be spent on basiccommodities

    It will be spent on something moreexciting

    It will be spent on things neededfor work

    It will be donated to charity

    Other

    % Yes

    2013

    2012

    2011

    R

    U s e

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    If you intend to save it - what type of account/product will you deposit it into?

    If you intend to use it to pay o debt - what type of debts will these be?

    64.0

    13.7

    11.5

    10.2

    3.8

    3.2

    8.0

    69.2

    13.6

    10.8

    6.1

    2.4

    3.1

    3.7

    57.0

    14.1

    16.8

    11.7

    5.1

    4.7

    0.0

    0 25 50 75

    Bank savings account

    Transaction account

    Term deposit account

    Shares or other investments

    Voluntary contribution tosuperannuation fund

    First home savings account

    Other

    % Yes

    2013

    2012

    2011

    53.5

    40.3

    9.0

    5.1

    4.2

    3.1

    0.6

    3.7

    62.7

    33.5

    9.1

    5.6

    7.8

    4.0

    1.9

    4.0

    50.1

    47.0

    10.1

    2.3

    4.6

    2.9

    1.2

    0.0

    0 25 50 75

    Credit card debt/s

    Mortgage

    Personal loan/s

    Car Loan

    Pay back money to friend/family

    Domestic purchase financing

    Student loan

    Other

    % Yes

    2013

    2012

    2011

    T a

    xR

    e t u

    rn

    U s

    e

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    Which (if any) of the following deduc ons did you claim last year/intend to claim this year for your tax return?

    However, despite the popularity of various sources of deduc ons observed previously, it is interestdeduc ons ($8,066) and non-employer sponsored super contribu ons ($7,538) that garner the greatestamount of actual dollars claimed by individuals on average far outweighing other sources. However, theaverage claim from both of these sources has dropped considerably from last year, par cularly fornon-employer sponsored super contribu ons (dropping by $2,465).

    55.5

    39.4

    36.9

    32.2

    28.5

    20.8

    19.4

    19.4

    18.4

    5.2

    2.6

    0.3

    0.3

    0.2

    0.1

    11.7

    13.1

    58.5

    41.5

    36.4

    33.0

    29.1

    20.6

    17.0

    17.3

    17.9

    4.5

    2.7

    0.4

    0.3

    0.4

    0.2

    11.9

    11.70 25 50 75

    Gifts or donations

    Cost of managing tax affairs

    Other work related expenses (i.e. mealexpenses, seminars, etc.)

    Work related uniform/clothingexpenses

    Work related car expenses

    Work related travel expenses

    Work related self-education expenses

    Interest deductions

    Dividend deductions

    Non-employer sponsored super contributions

    Low value pool deduction

    Deduction for project pool

    Election expenses

    Forestry managed investment schemededuction

    Deductible amount UPP of foreignpension/annuity

    Other deductions

    None of the above

    % Yes

    Deductions this year

    Deductions last year

    D e d u c t

    i o

    n s

    O f f s

    e t s

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    Please tell us the approximate value you claimed for each deduc on last year/intend to claim for this year.

    O sets

    The most common types of o sets respondents report include franking credits, low income and medicalexpenses despite all decreasing marginally from last year

    The most common types of o sets respondents report include franking credits (30.3%), low income (15.3%)and medical expenses (14.3%) despite all decreasing marginally from last year. Low income tax o sets clearlydraw the largest o sets on average ($3,259 rising extremely from last years average of $1,432). Notably, theo sets drawn from Senior Australians tax o sets ($2,850) have increased more than three mes since lastyear ($838). Males tendency for greater exposure to equi es is re ected in considerably more claiming forfranking credits than females. As might be expected claims for franking credits, medical expenses and thesenior Australians tax o set increased considerably in the older genera ons.

    $8,066

    $7,538

    $1,887

    $1,846

    $1,686

    $1,056

    $799

    $688

    $539

    $457

    $190

    $5,690

    $8,860

    $10,003

    $1,702

    $2,183

    $804

    $1,584

    $935

    $939

    $511

    $432

    $217

    $5,110

    0 5,000 10,000 15,000

    Interest deductions

    Non-employer sponsored super contributions

    Dividend deductions

    Work related car expenses

    Work related travel expenses

    Low value pool deduction

    Work related self-education expenses

    Other work related expenses (i.e.meal expenses, seminars, etc.)

    Gifts or donations

    Cost of managing tax affairs

    Work related uniform/clothingexpenses

    Other deductions

    $

    Amount this year

    Amount last year

    Off s e

    t s

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    Which (if any) of the following o sets/rebates did you claim last year/intend to claim for this year?

    Please tell us the approximate value you claimed for each o set last year/intend to claim for this year.

    30.3

    15.3

    14.3

    8.0

    6.7

    6.5

    4.4

    2.6

    1.1

    44.0

    31.1

    17.0

    17.0

    8.6

    6.8

    6.4

    4.8

    3.2

    1.5

    39.8

    0 10 20 30 40 50

    Franking credits

    Low income tax offset

    Medical expenses tax offset

    Spouse tax offset

    Senior Australians tax offset

    Mature age workers tax offset

    Education Tax Refund

    Zone or overseas forces tax offset

    Entrepreneurs' tax offset

    None of the above

    % Yes

    Offsets this year

    Offsets last year

    O f f

    s e t s

    $3,259

    $2,850

    $1,779

    $1,514

    $1,333

    $1,226

    $1,164

    $1,026

    $436

    $1,432

    $838

    $1,737

    $1,503

    $1,152

    $1,270

    $830

    $642

    $362

    0 2,000 4,000 6,000

    Low income tax offset

    Senior Australians tax offset

    Franking credits

    Medical expenses tax offset

    Spouse tax offset

    Zone or overseas forces tax offset

    Entrepreneurs' tax offset

    Education Tax Refund

    Mature age workers tax offset

    $

    Amount this year

    Amount last year

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    Managing Taxes

    The majority of respondents report that they do not rely on their tax return

    Online returns dominate

    Opinion is somewhat divided around whether tax returns have become easier or harder over the years,although more believe it is becoming easier

    As in past years the majority of respondents report that they do not rely on their tax return (73.5%), howeverthis is increasing slightly overall from past years and while more report not expec ng to get much, less arerepor ng it is even useful to them. Decreasing from last year, fewer report needing the return when it comesin (despite not planning around it) or actually making nancial plans around it (14.0% and 8.5% respec vely).

    How much do you usually rely on your tax return each year?

    Preferred payment methods for tax returns changed li le from past years, although the most popular directdebit method is slightly down from last year (now on par with 2011 at 72.5%). It is however apparent thatyounger genera ons are much more likely to prefer direct debit (Y and X, 89.8% and 83.6% respec vely)while older genera ons had a greater propor on of respondents op ng for cheques(Baby boomers, 20.6% and Pre boomers 22.9%).

    Which payment method do you prefer to receive your tax return?

    26.5

    42.3

    17.2

    11.9

    2.1

    29.6

    38.7

    18.0

    11.3

    2.4

    38.335.2

    14.0

    8.5

    3.9

    0

    10

    20

    30

    40

    50

    Dont usually

    expect to getmuch/anything

    so dont relyon it

    Tax return is

    useful butusually dont

    rely on it at all

    Dont make plans

    around it butusually endingup needing it

    when it comes in

    Usually make

    financial plansthat count on

    the return

    Other

    %

    2011 2012 2013

    72.5

    20.7

    4.5 2.3

    76.0

    14.96.8

    2.3

    72.5

    15.19.2

    3.10

    25

    50

    75

    100

    Direct debit Cheque Dont usually get atax return payment

    Other

    %

    2011 2012 2013

    M

    n

    g

    ng

    T a x e s

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    Filing tax returns online is clearly the most popular approach for respondents (87.6%), in line with the past twoyears. However, use of this method declined for baby boomers (82.3%) and pre boomers (76.9%) genera ons.While most popular in SA (94.3%) it is least popular in QLD (82.4%). The most common approach of prepar-ing tax return is to pay an accountant (50.3%, slightly down from 53.9% last year). This is followed by doingit themselves (39.6%, slightly up from 37.1%). Gen Y respondents are more likely to prepare their tax returnsthemselves than older genera ons (50.3%) and much less likely to pay an accountant to do it (34.0%) presum-ably because their income is smaller and nancial a airs less complicated. Those respondents from VIC are themost likely to pay an accountant (57.4%) and the least likely to do it themselves (32.3%). Conversely those fromSA are the least likely to pay an accountant (43.0%) and the most likely to do it themselves (46.5%).

    Who usually prepares your tax return? | Do you le your tax return online?

    Opinion is somewhat divided around whether tax returns have become easier or harder over the years withnearly half (45.6%) thinking they are easier, nearly a quarter (23.3%) thinking they are in fact harder and the

    remaining 31.2% repor ng no change. Changing li le from past years, most respondents felt thatmaintaining all the required documents and records is a bit resome but not too hard (46.8%) or is not toohard at all (31.8%). Only 6.5% found this very hard and arduous. These tasks appeared to get appreciably easierwith age although there is no marked gender di erences observed.

    Do you think that comple ng tax returns has become easier over the years?

    55.1

    38.5

    2.3 2.4 1.6

    86.0

    53.9

    37.1

    4.1 2.9 2.0

    87.9

    50.3

    39.6

    3.5 3.1 3.5

    87.6

    0

    25

    50

    75

    100

    I pay anaccountant

    to do it

    I do it myself Family or frienddoes it

    Family or friendwho arequalified

    accountants

    Other Do you file your tax return

    online?

    Who usually prepares your tax return? .

    %

    2011 2012 2013

    Yes, mucheasier 20.8%

    Yes, a biteasier 24.8%

    No change31.2%

    No, a bitharder

    12.9%

    No, muchharder 10.3%

    M an

    a g

    i n

    g

    T ax

    e s

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    How hard do you nd it to maintain all the documents and records you need to ful ll your taxobliga ons each year?

    Predictably, the majority of respondents agreed that they love ge ng money back from the government(83.6%) and hate having to pay addi onal tax a er making their return (69.0%). At least half think tax jargon

    is too complicated and confusing (52.9%) and that the system is too complicated (51.3%). Furthermore manyare always uncertain about what they are allowed to claim (43.6%), feel it is a hassle having to nd all thedocuments/receipts required (37.7%) or worry about commi ng legally to the nal gures (32.3%). Whilefemales are more likely than males to love ge ng money from the government, they are also more likely tofeel the system is complicated, worry about commi ng to nal gures and feel uncertainty as to what theycan claim. Respondents from QLD are the most likely to think it s a hassle dealing with accountants and thattax jargon is too complicated and confusing.

    Please tell us how much you agree with the following statements using a 0-10 scale, where 10 isstrongly agree and 0 is strongly disagree.

    36.2 35.2 31.8

    44.1 45.7 46.8

    13.9 13.7 15.3

    5.7 5.4 6.0

    0

    25

    50

    75

    100

    2011 2012 2013

    %

    Very hard and arduous

    Hard but doable

    A bit tiresome but not toohard

    Not hard at all

    11.0

    19.2

    20.1

    27.6

    36.2

    39.5

    49.8

    13.1

    20.0

    28.0

    28.7

    28.8

    26.1

    28.2

    27.6

    83.6

    69.0

    52.9

    51.3

    43.6

    37.7

    32.3

    22.6

    0 25 50 75 100

    I love getting money back from thegovernment

    I hate having to pay additional tax after making my tax return

    The tax jargon is too complicated andconfusing

    The system is too complicated

    I am always uncertain about what I amallowed to claim

    It is a hassle having to find all thedocuments and receipts for things I want

    to claim for

    When I commit to the final figures Iworry about committing myself legally to

    them

    It is a hassle to have to deal with theaccountant

    %

    Disagree (0-3) Neutral (4-6) Agree (7-10)

    M

    n

    g

    ng

    T a x e s

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    Return Prepara on

    Many nd comple ng tax returns too di cult

    The average cost among respondents for paying someone to prepare their tax return is reported at $357, downfrom last year ($422) but s ll up from 2011 ($301). Amount paid clearly increased with age and is signi cantly

    higher on average for males, presumably in line with the complexity of nancial a airs requiring a en on.Interes ngly WA and QLD respondents paid over $100 more per year on average than those from other states.

    While over half consider preparing a tax return OK if following instruc ons (57.9%), at least 22.2% believe it istoo di cult to complete. Of those that feel it is too di cult, most cite di cul es in calcula ng deduc ons(70.5% similar to last year), followed by unclear explana ons (38.9%) and di cul es lling out the form(35.3%), both up from last year. However, most respondents would s ll prefer to ll in a tax return(63.9% despite decreasing from last year) than receive a standard tax rebate (30.6% despite increasing fromlast year). While standard tax rebates are most popular among baby boomers (36.1%) lling in a tax return ismost popular among Gen Y (72.8%) and Gen X (68.9%). Geographically, NSW respondents are the most likelyto prefer to ll in a tax return (70.4%) while those from QLD are the most likely to prefer a standard tax rebate(37.2%).

    For those that do prepare their own return, nearly half (46.7%) take less than a day to do this while 17.7% takea day and a further 14.0% take at least two days, which is quite consistent with past years. Males tended totake slightly longer to complete their tax returns as did those from older genera ons (up un l re rement age).

    If someone prepares your tax return, how much does it cost?

    Would you consider preparing a tax return to be:

    $301

    $422

    $357

    0

    100

    200

    300

    400

    500

    2011 2012 2013

    $

    23.8

    52.9

    23.223.8

    55.4

    20.920.0

    57.9

    22.2

    0

    25

    50

    75

    Straightforward Ok if following

    instructions

    Too difficult to

    complete

    %

    2011 2012 2013

    R e t u r

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    What are the reasons why you consider preparing your tax return too di cult to complete?

    Would you prefer to receive a standard tax rebate or ll in a tax return?

    How long does it take you to prepare your tax return?

    70.5

    38.9

    35.3

    13.7

    69.0

    37.5

    21.5

    20.0

    23.0

    75.6

    54.8

    37.1

    24.9

    15.4

    0 25 50 75 100

    Items such as deductions are too difficult tocalculate

    Explanations of questions are unclear

    Filling out the form is too hard

    Record keeping is too hard

    Other

    % Yes

    2011

    2012

    2013

    68.0

    27.8

    4.3

    67.8

    27.8

    4.4

    63.9

    30.6

    5.5

    0

    20

    40

    60

    80

    I would prefer to fillin a tax return

    I would prefer astandard tax rebate

    Other

    %

    2011 2012 2013

    45.6

    18.913.6

    11.2 10.6

    46.5

    18.613.7

    9.9 11.4

    46.7

    17.714.0 12.1

    9.4

    0

    20

    40

    60

    Less than 1 day 1 day 2 days 3-5 days More than 5 days

    %

    2011 2012 2013

    R

    u

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    P r e p a r a t

    i o n

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    When given a choice between comple ng a tax return and other arduous ac vi es, comple ng a tax return didnot do as badly as may have been expected with respondents nearly evenly split between comple ng a returncompared and cleaning the en re house, working on the weekend and being stuck in a tra c jam.Furthermore, the majority of respondents would prefer to complete a tax return than do a big businesspresenta on, do a year 12 math exam or run a marathon.

    Males are more likely than females to prefer running a marathon, working on the weekend, doing a year 12math exam and preparing a big business presenta on while females are more likely to prefer cleaning thewholehouse. Gen Y also tended to embrace running a marathon, cleaning the en re house and doing a year 12 mathexam than older genera ons.

    Please indicate which of the following ac vi es you would do.

    Completea tax

    return

    Completea tax

    return

    Completea tax

    return

    Completea tax

    return

    Completea tax

    return

    Completea tax

    return

    0 25 50 75 100

    Clean the entirehouse

    Work on theweekend

    Be stuck in atraffic jam

    Do a bigbusiness

    presentation

    Do a year 12math exam

    Run a marathon

    0255075100

    %

    50.5%

    49.6%

    47.0%

    33.8%

    27.5%

    20.2%

    49.5%

    50.4%

    53.0%

    66.2%

    72.5%

    79.8%

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    Small Business

    SME owners are increasingly priori sing using returns for personal purposes over inves ng back in theirbusiness

    Around one in ten respondents are owners of a SME, and this year they tended to increasingly priori se using

    returns for personal purposes over inves ng back in the business. Increasingly, these respondents seek topay o personal debt with their business return (25.7% up from 16.2% last year). This is followed by inves ngback in the business (21.0% although this decreased somewhat from last year at 26.9%), paying o businessdebt (14.3% down from 25.4%), personal savings and personal expenditure (14.3% and 12.3% respec velyboth up from last year). Interes ngly, males are much less likely than females to use their business return toinvest back in the business (13.2% vs. 35.1%), and more likely to use it for personal expenditure(16.2% vs. 5.4%) and paying o personal debt (27.9% vs. 21.6%). Gen Y, perhaps unexpectedly given theirtendency for short term focus, are actually more likely to invest back in their business (50.0%) than oldergenera ons this might be due to the nancial setup demands of more edgling start up SMEs among Gen Y.

    A considerable propor on of SME respondents make voluntary super payments for themselves as owners(36.2%), prepay business expenses (22.9%) and nega vely gear property to minimise tax liabili es. As wouldbe expected those approaching or at re rement (i.e. the Baby Boomer genera on) are much more likely tobe making voluntary super payments to minimise their liability (49.2%) while Gen Y are the most likely toprepay expenses to reduce taxable income (37.5%). Males are more likely than females to nega vely gearinvestment property (23.5% vs. 16.2%).

    Are you a small to medium size enterprise owner?

    12.813.6

    10.5

    0

    5

    10

    15

    2011 2012 2013

    % Yes

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    If you are a Small to Medium Sized Enterprise (SME) owner, how do you plan to use your businessreturn?

    Do you do any of the following to minimise your tax liability?

    S m a

    l l

    B u s

    i n

    e s s

    25.7

    21.0

    14.3

    14.3

    12.4

    7.6

    19.0

    16.2

    26.9

    25.4

    12.3

    7.7

    13.1

    13.1

    15.2

    31.4

    18.1

    21.0

    8.6

    13.3

    0 10 20 30 40

    Paying off personal debt

    Invest back in the business e.g.capital expenditure, staff

    development

    Pay off business debt

    Personal savings

    Personal expenditure

    Savings earmarked for the business

    Other

    % Yes

    2013

    2012

    2011

    36.2

    22.9

    21.0

    3.8

    34.6

    39.2

    26.2

    26.9

    40.0

    41.9

    21.9

    0 10 20 30 40 50

    Make voluntary superannuation paymentsfor yourself as owner/director

    Prepay expenses eg seminars, conferences,materials (to reduce your business taxable

    income)

    Purchase investment property which youcan then negatively gear

    Other

    % Yes

    2013

    2012

    2011

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    How much income tax refund/payment do you expect to receive this year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersIncome tax refund to receive thisyear $1,365 $2,474 $1,765 $1,947 $2,237 $1,721

    Additional income tax to pay thisyear $2,419 $4,140 $1,633 $2,273 $4,551 $2,728

    StateAustralia

    NSW VIC QLD SA WA

    Income tax refund to receive thisyear $1,955 $1,950 $2,202 $1,683 $2,691 $2,033

    Additional income tax to pay thisyear $3,968 $5,528 $2,821 $1,258 $2,985 $3,539

    How is your income tax return likely to be used?

    Gender Generation

    Female Male Gen Y Gen XBaby

    BoomersPre-

    Boomers

    It will be saved 32.4% 30.8% 42.2% 26.4% 31.0% 35.7%

    It will be used to pay off debt 35.6% 35.6% 44.2% 46.9% 28.6% 12.9%

    It will be spent on basiccommodities e.g. rent, food etc 17.3% 16.4% 17.7% 18.9% 14.7% 18.6%

    It will be spent on things neededfor work e.g. clothes, equipmentetc

    3.9% 6.1% 10.9% 4.7% 4.1% 2.9%

    It will be spent on somethingmore exciting e.g. entertainment,new television, holiday etc.

    12.7% 11.6% 20.4% 11.9% 9.7% 10.0%

    It will be donated to charity 0.7% 1.4% 0.7% 0.6% 1.1% 4.3%Other 4.4% 4.8% 3.4% 4.7% 5.0% 4.3%

    Not applicable 10.0% 10.9% 2.0% 7.2% 13.9% 21.4%

    StateAustralia

    NSW VIC QLD SA WA It will be saved 32.3% 25.9% 29.9% 29.8% 34.1% 31.5%

    It will be used to pay off debt 39.0% 37.8% 29.9% 37.7% 34.1% 35.6%

    It will be spent on basiccommodities e.g. rent, food etc 15.7% 17.1% 26.2% 12.3% 14.8% 16.8%

    It will be spent on things neededfor work e.g. clothes, equipmentetc

    4.5% 7.2% 1.8% 8.8% 4.5% 5.2%

    It will be spent on somethingmore exciting e.g. entertainment,new television, holiday etc.

    10.8% 13.1% 7.3% 20.2% 13.1% 12.0%

    It will be donated to charity 0.9% 0.8% 1.2% 1.1% 1.1%

    Other 3.1% 4.0% 3.0% 7.0% 6.8% 4.6%

    Not applicable 10.3% 10.8% 13.4% 11.4% 9.7% 10.5%

    *Multiple answers allowed

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    If you intend to save it - what type of account/product will you deposit it into?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersBank savings account 72.2% 58.0% 80.6% 65.5% 55.9% 64.0%

    First home savings account 3.0% 3.3% 6.5% 3.6% 2.1% 0.0%

    Term deposit account 9.0% 13.3% 6.5% 6.0% 16.8% 12.0%

    Transaction account 12.8% 14.4% 16.1% 13.1% 13.3% 12.0%Voluntary contribution to superan-nuation fund 3.8% 3.9% 3.2% 2.4% 4.2% 8.0%

    Shares or other investments 3.8% 14.9% 4.8% 13.1% 10.5% 12.0%

    Other 6.0% 9.4% 11.3% 11.9% 4.2% 8.0%

    StateAustralia

    NSW VIC QLD SA WA

    Bank savings account 62.5% 64.6% 57.1% 76.5% 63.3% 64.0%

    First home savings account 2.8% 1.5% 11.5% 5.9% 5.0% 3.2%

    Term deposit account 8.3% 16.9% 12.2% 17.6% 5.0% 11.5%

    Transaction account 22.2% 13.8% 6.1% 11.8% 15.0% 13.7%

    Voluntary contribution to superan-nuation fund 5.6% 4.6% 4.1% 5.9% 1.7% 3.8%

    Shares or other investments 8.3% 9.2% 10.2% 5.9% 15.0% 10.2%

    Other 6.9% 1.5% 10.2% 2.9% 16.7% 8.0%

    *Multiple answers allowed

    If you intend to use it to pay off debt - what type of debts will these be?

    Gender Generation

    Female Male Gen Y Gen X Baby

    Boomers

    Pre-

    BoomersCredit card debt/s 57.5% 50.7% 55.4% 59.1% 44.7% 77.8%

    Mortgage 35.6% 43.5% 35.4% 40.3% 44.7% 11.1%

    Car Loan 3.4% 6.2% 13.8% 2.7% 3.8% 0.0%

    Domestic purchase nancing 2.7% 3.3% 3.1% 4.0% 2.3% 0.0%

    Personal loan/s 7.5% 10.0% 12.3% 10.7% 4.5% 22.2%

    Student loan 0.0% 1.0% 3.1% 0.0% 0.0% 0.0%

    Pay back money to friend/family 8.2% 1.4% 6.2% 3.4% 4.5% 0.0%

    Other 4.1% 3.3% 6.2% 2.0% 4.5% 0.0%

    StateAustralia

    NSW VIC QLD SA WA

    Credit card debt/s 50.6% 53.7% 49.0% 55.8% 55.0% 53.5%

    Mortgage 43.7% 42.1% 38.8% 34.9% 38.3% 40.3%

    Car Loan 5.7% 4.2% 2.0% 2.3% 11.7% 5.1%

    Domestic purchase nancing 2.3% 2.1% 4.1% 2.3% 6.7% 3.1%

    Personal loan/s 8.0% 8.4% 16.3% 4.7% 6.7% 9.0%

    Student loan 1.1% 1.1% 0.0% 0.0% 0.0% 0.6%

    Pay back money to friend/family 5.7% 5.3% 2.0% 2.3% 1.7% 4.2%

    Other 2.3% 4.2% 4.1% 9.3% 1.7% 3.7%

    *Multiple answers allowed

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    If you intend to spend it on something more exciting - what do you think you might spend it on?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersElectronic goods - TV, computers,kitchen appliances etc 25.0% 32.4% 26.7% 39.5% 22.2% 28.6%

    Entertainment - Eating out,movies, socialising etc 25.0% 20.6% 33.3% 23.7% 13.3% 28.6%

    Clothes, accessories or jewellery 30.8% 11.8% 40.0% 13.2% 13.3% 14.3%Pamper myself - Beauty therapy,massage etc 17.3% 0.0% 23.3% 2.6% 2.2% 0.0%

    Holidays 61.5% 67.6% 60.0% 60.5% 73.3% 57.1%

    Hobbies, boats and sportingpursuits 9.6% 13.2% 10.0% 10.5% 13.3% 14.3%

    Home improvements 23.1% 14.7% 23.3% 15.8% 17.8% 14.3%

    Car improvements 7.7% 4.4% 10.0% 2.6% 6.7% 0.0%

    Other 1.9% 0.0% 0.0% 0.0% 2.2% 0.0%

    State AustraliaNSW VIC QLD SA WA

    Electronic goods - TV, computers,kitchen appliances etc 25.0% 24.2% 41.7% 39.1% 30.4% 29.2%

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    Which (if any) of the following deductions did you claim last year for your tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersWork related car expenses 22.9% 33.4% 34.0% 33.0% 26.8% 15.7%

    Work related travel expenses 16.1% 23.7% 20.4% 22.0% 20.6% 14.3%

    Work related uniform/clothingexpenses 28.3% 36.3% 40.1% 35.8% 31.2% 17.1%

    Work related self-educationexpenses 18.0% 16.2% 23.1% 22.3% 12.8% 7.1%

    Other work related expenses(i.e. overtime meal expenses,professional seminars, referencebooks/journals/trade magazines,protective gear)

    32.4% 39.2% 37.4% 39.3% 35.5% 27.1%

    Deduction for project pool 0.2% 0.5% 0.7% 0.3% 0.4% 0.0%

    Low value pool deduction 1.0% 3.9% 4.1% 3.8% 1.7% 1.4%

    Interest deductions 11.7% 21.1% 10.9% 15.1% 21.4% 12.9%

    Dividend deductions 13.9% 20.6% 6.8% 13.2% 21.9% 35.7%

    Gifts or donations 61.2% 56.6% 54.4% 59.7% 59.1% 57.1%Cost of managing tax affairs 37.8% 44.1% 23.8% 43.7% 45.7% 41.4%

    Australian lm industry incentives 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

    Deductible amount UPP of foreignpension/annuity 0.2% 0.2% 0.0% 0.0% 0.0% 2.9%

    Non-employer sponsored supercontributions 3.7% 5.1% 0.0% 2.5% 7.1% 5.7%

    Election expenses 0.0% 0.5% 0.7% 0.3% 0.0% 1.4%

    Forestry managed investmentscheme deduction 0.0% 0.7% 0.0% 0.6% 0.4% 0.0%

    Other deductions 10.2% 13.1% 10.9% 8.8% 15.2% 7.1%

    None of the above 13.7% 10.4% 5.4% 8.8% 13.6% 25.7%

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    StateAustralia

    NSW VIC QLD SA WA

    Work related car expenses 28.7% 30.7% 26.2% 25.4% 29.5% 29.1%

    Work related travel expenses 25.1% 25.9% 15.2% 15.8% 15.9% 20.6%

    Work related uniform/clothingexpenses 35.0% 27.9% 42.1% 31.6% 29.5% 33.0%

    Work related self-educationexpenses 20.2% 17.9% 14.6% 10.5% 20.5% 17.0%

    Other work related expenses (i.e.overtime meal expenses,professional seminars, referencebooks/journals/trade magazines,protective gear)

    43.0% 37.1% 32.3% 35.1% 31.8% 36.4%

    Deduction for project pool 1.3% 0.4% 0.0% 0.0% 0.0% 0.4%

    Low value pool deduction 2.7% 3.6% 3.7% 0.9% 1.7% 2.7%

    Interest deductions 19.3% 17.9% 17.1% 9.6% 21.0% 17.3%

    Dividend deductions 18.4% 17.9% 19.5% 12.3% 21.0% 17.9%

    Gifts or donations 56.1% 57.0% 64.6% 50.9% 58.5% 58.5%Cost of managing tax affairs 43.0% 42.6% 45.1% 33.3% 42.6% 41.5%

    Australian lm industry incentives 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

    Deductible amount UPP of foreignpension/annuity 0.0% 0.4% 0.6% 0.0% 0.0% 0.2%

    Non-employer sponsored supercontributions 4.0% 6.4% 3.7% 4.4% 4.0% 4.5%

    Election expenses 0.9% 0.4% 0.0% 0.0% 0.0% 0.0%

    Forestry managed investmentscheme deduction 1.3% 0.0% 0.0% 0.9% 0.0% 0.4%

    Other deductions 11.7% 13.9% 10.4% 14.0% 9.1% 11.9%

    None of the above 10.8% 13.9% 11.6% 14.0% 11.4% 11.7%

    *Multiple answers allowed

    Which (if any) of the following deductions did you claim last year for your tax return?

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    Which (if any) of the following deductions do you intend to claim in your tax return this year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersWork related car expenses 22.2% 32.9% 31.3% 33.3% 26.2% 15.7%

    Work related travel expenses 17.1% 23.3% 20.4% 24.8% 19.3% 12.9%

    Work related uniform/clothingexpenses 28.5% 34.8% 37.4% 35.8% 30.7% 14.3%

    Work related self-educationexpenses 20.0% 18.9% 27.2% 24.2% 15.8% 4.3%

    Other work related expenses(i.e. overtime meal expenses,professional seminars, referencebooks/journals/trade magazines,protective gear)

    31.2% 40.9% 38.8% 40.6% 36.6% 18.6%

    Deduction for project pool 0.2% 0.3% 0.7% 0.0% 0.4% 0.0%

    Low value pool deduction 0.7% 3.9% 3.4% 3.8% 1.7% 1.4%

    Interest deductions 13.4% 23.5% 16.3% 16.4% 22.7% 17.1%

    Dividend deductions 15.6% 20.3% 8.8% 12.9% 22.9% 32.9%

    Gifts or donations 56.1% 55.0% 47.6% 55.3% 58.7% 51.4%Cost of managing tax affairs 38.3% 40.2% 23.8% 38.7% 45.5% 35.7%

    Australian lm industry incentives 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

    Deductible amount UPP of foreignpension/annuity 0.0% 0.2% 0.0% 0.0% 0.0% 1.4%

    Non-employer sponsored supercontributions 4.9% 5.5% 1.4% 3.1% 8.0% 4.3%

    Election expenses 0.0% 0.5% 0.0% 0.3% 0.2% 1.4%

    Forestry managed investmentscheme deduction 0.0% 0.3% 0.0% 0.3% 0.2% 0.0%

    Other deductions 10.7% 12.4% 8.8% 8.2% 15.8% 7.1%

    None of the above 15.9% 11.2% 10.2% 10.1% 13.6% 30.0%

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    StateAustralia

    NSW VIC QLD SA WA

    Work related car expenses 28.7% 31.1% 25.6% 28.9% 25.0% 28.5%

    Work related travel expenses 26.5% 23.1% 14.6% 18.4% 18.2% 20.8%

    Work related uniform/clothingexpenses 36.8% 27.5% 38.4% 30.7% 27.3% 32.2%

    Work related self-educationexpenses 22.9% 20.3% 15.9% 17.5% 21.0% 19.4%

    Other work related expenses (i.e.overtime meal expenses,professional seminars, referencebooks/journals/trade magazines,protective gear)

    44.8% 35.5% 32.9% 33.3% 33.5% 36.9%

    Deduction for project pool 0.9% 0.0% 0.0% 0.0% 0.0% 0.3%

    Low value pool deduction 2.7% 2.4% 3.0% 0.9% 2.8% 2.6%

    Interest deductions 21.5% 19.5% 17.7% 14.0% 21.6% 19.4%

    Dividend deductions 17.0% 22.3% 18.3% 14.0% 20.5% 18.4%

    Gifts or donations 55.2% 51.4% 62.2% 48.2% 56.3% 55.5%

    Cost of managing tax affairs 42.6% 37.5% 43.3% 34.2% 39.8% 39.4%

    Australian lm industry incentives 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

    Deductible amount UPP of foreignpension/annuity 0.0% 0.0% 0.6% 0.0% 0.0% 0.1%

    Non-employer sponsored supercontributions 4.5% 6.0% 5.5% 6.1% 5.1% 5.2%

    Election expenses 0.4% 0.4% 0.0% 0.0% 0.6% 0.3%

    Forestry managed investmentscheme deduction 0.4% 0.0% 0.0% 0.9% 0.0% 0.2%

    Other deductions 12.6% 12.0% 11.6% 11.4% 9.7% 11.7%

    None of the above 11.7% 13.9% 14.0% 15.8% 14.8% 13.1%*Multiple answers allowed

    Which (if any) of the following deductions do you intend to claim in your tax return this year?

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    Which (if any) of the following offsets/rebates did you claim last year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersFranking credits 23.7% 36.3% 9.5% 26.1% 38.5% 50.0%

    Spouse tax offset 3.9% 11.9% 4.1% 8.2% 8.7% 20.0%

    Zone or overseas forces tax offset 1.7% 4.3% 2.7% 3.8% 2.8% 4.3%

    Medical expenses tax offset 17.1% 16.9% 8.2% 13.8% 21.0% 22.9%

    Senior Australians tax offset 5.9% 7.5% 0.0% 0.0% 8.2% 42.9%

    Low income tax offset 20.7% 14.3% 17.7% 13.5% 18.6% 20.0%

    Mature age workers tax offset 5.6% 7.0% 0.0% 0.0% 11.3% 17.1%

    Entrepreneurs tax offset 1.7% 1.4% 2.0% 1.9% 1.1% 1.4%

    Education Tax Refund 5.4% 4.4% 0.0% 10.4% 2.8% 2.9%

    None of the above 43.2% 37.5% 61.9% 42.5% 33.3% 24.3%

    StateAustralia

    NSW VIC QLD SA WA

    Franking credits 31.8% 31.1% 36.6% 24.6% 31.3% 31.1%Spouse tax offset 7.2% 7.2% 11.0% 12.3% 8.0% 8.6%

    Zone or overseas forces tax offset 0.4% 0.4% 7.3% 2.6% 5.7% 3.2%

    Medical expenses tax offset 18.4% 17.9% 17.1% 16.7% 15.3% 17.0%

    Senior Australians tax offset 4.9% 6.0% 10.4% 5.3% 10.2% 6.8%

    Low income tax offset 10.3% 21.9% 20.1% 21.9% 13.6% 17.0%

    Mature age workers tax offset 3.6% 7.6% 7.9% 3.5% 8.5% 6.4%

    Entrepreneurs tax offset 1.8% 1.2% 1.8% 0.9% 2.3% 1.5%

    Education Tax Refund 4.9% 4.8% 4.3% 4.4% 5.1% 4.8%

    None of the above 43.9% 38.2% 35.4% 41.2% 39.8% 39.8%

    *Multiple answers allowed

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    Which (if any) of the following offsets/rebates do you intend to claim this year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersFranking credits 23.7% 34.9% 10.2% 25.2% 37.7% 47.1%

    Spouse tax offset 3.9% 10.9% 5.4% 7.9% 7.4% 18.6%

    Zone or overseas forces tax offset 1.7% 3.2% 2.0% 2.5% 2.8% 2.9%

    Medical expenses tax offset 14.9% 14.0% 8.2% 10.7% 18.4% 17.1%

    Senior Australians tax offset 5.1% 7.8% 0.7% 0.0% 8.0% 41.4%

    Low income tax offset 18.3% 13.3% 11.6% 12.9% 17.3% 21.4%

    Mature age workers tax offset 6.3% 6.6% 0.0% 0.0% 11.7% 15.7%

    Entrepreneurs tax offset 1.2% 1.0% 1.4% 0.6% 1.3% 1.4%

    Education Tax Refund 5.1% 3.9% 1.4% 8.2% 3.2% 1.4%

    None of the above 48.0% 41.2% 66.0% 46.9% 37.9% 25.7%

    StateAustralia

    NSW VIC QLD SA WA

    Franking credits 31.4% 29.9% 34.8% 26.3% 30.1% 30.3%Spouse tax offset 5.8% 7.2% 9.8% 8.8% 9.1% 8.0%

    Zone or overseas forces tax offset 0.4% 0.0% 6.1% 0.0% 5.7% 2.6%

    Medical expenses tax offset 14.8% 15.9% 13.4% 13.2% 14.2% 14.3%

    Senior Australians tax offset 3.6% 7.2% 10.4% 4.4% 9.7% 6.7%

    Low income tax offset 9.4% 18.3% 14.6% 20.2% 17.0% 15.3%

    Mature age workers tax offset 4.0% 7.2% 7.3% 3.5% 9.7% 6.5%

    Entrepreneurs tax offset 1.3% 0.8% 1.2% 0.9% 1.7% 1.1%

    Education Tax Refund 5.4% 4.4% 2.4% 4.4% 4.0% 4.4%

    None of the above 48.0% 43.4% 40.2% 48.2% 41.5% 44.0%

    *Multiple answers allowed

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    How much do you usually rely on your tax return each year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersDont usually expect to get much/anything so dont rely on it 36.8% 39.4% 35.4% 35.2% 41.1% 40.0%

    Tax return is useful but usuallydont rely on it at all 31.5% 37.8% 38.1% 36.2% 34.6% 28.6%

    Dont make plans around it butusually ending up needing it 17.3% 11.8% 17.0% 17.0% 11.9% 8.6%

    Usually make nancial plans thatcount on the return 10.2% 7.3% 8.8% 10.1% 7.6% 7.1%

    Other 4.1% 3.7% 0.7% 1.6% 4.8% 15.7%

    StateAustralia

    NSW VIC QLD SA WA

    Dont usually expect to get much/anything so dont rely on it 34.1% 38.6% 43.3% 38.6% 40.3% 38.3%

    Tax return is useful but usually

    dont rely on it at all37.7% 35.1% 28.0% 38.6% 33.0% 35.2%

    Dont make plans around it butusually ending up needing it 15.7% 12.4% 17.1% 12.3% 11.9% 14.0%

    Usually make nancial plans thatcount on the return 9.4% 8.0% 7.9% 7.9% 10.8% 8.5%

    Other 3.1% 6.0% 3.7% 2.6% 4.0% 3.9%

    Which payment method do you prefer to receive your tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Cheque 12.4% 17.0% 7.5% 9.1% 20.6% 22.9%Direct debit 74.9% 70.9% 89.8% 83.6% 62.8% 50.0%

    Dont usually get a tax returnpayment 9.8% 8.9% 2.7% 6.0% 12.6% 15.7%

    Other 2.9% 3.2% 0.0% 1.3% 4.1% 11.4%

    StateAustralia

    NSW VIC QLD SA WACheque 16.6% 17.5% 11.0% 15.8% 14.2% 15.1%

    Direct debit 71.3% 71.3% 75.6% 65.8% 73.3% 72.5%

    Dont usually get a tax returnpayment 9.0% 7.6% 9.8% 14.0% 10.8% 9.2%

    Other 3.1% 3.6% 3.7% 4.4% 1.7% 3.1%

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    Who usually prepares your tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersI do it myself 38.0% 40.7% 50.3% 43.1% 34.2% 37.1%

    Family or friend does it 4.9% 2.6% 10.2% 2.8% 2.4% 0.0%

    Family or friend does it (but theyare quali ed accountants 1.7% 4.1% 4.8% 4.4% 1.9% 1.4%

    I pay an accountant to do it 50.2% 50.3% 34.0% 48.1% 57.6% 45.7%

    Other 5.1% 2.4% 0.7% 1.6% 3.9% 15.7%

    StateAustralia

    NSW VIC QLD SA WA

    I do it myself 39.9% 32.3% 41.5% 46.5% 36.9% 39.6%

    Family or friend does it 4.9% 2.8% 4.9% 2.6% 2.3% 3.5%

    Family or friend does it (but theyare quali ed accountants 2.2% 3.6% 1.8% 4.4% 4.0% 3.1%

    I pay an accountant to do it 48.0% 57.4% 49.4% 43.0% 54.0% 50.3%

    Other 4.9% 4.0% 2.4% 3.5% 2.8% 3.5%

    Do you le your tax return online?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersYes 88.5% 87.0% 91.9% 93.4% 82.3% 76.9%

    No 11.5% 13.0% 8.1% 6.6% 17.7% 23.1%

    StateAustralia

    NSW VIC QLD SA WAYes 86.5% 90.1% 82.4% 94.3% 84.6% 87.6%

    No 13.5% 9.9% 17.6% 5.7% 15.4% 12.4%

    Do you think that completing tax returns has become easier over the years?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Yes, much easier 22.2% 19.8% 19.7% 23.6% 18.6% 24.3%

    Yes, a bit easier 22.7% 26.2% 34.0% 25.8% 21.9% 20.0%

    No, change 32.7% 30.2% 37.4% 34.0% 27.5% 30.0%

    No, a bit harder 11.2% 14.1% 6.1% 11.0% 16.9% 10.0%

    No, much harder 11.2% 9.7% 2.7% 5.7% 15.2% 15.7%

    StateAustralia

    NSW VIC QLD SA WAYes, much easier 20.2% 20.7% 20.1% 21.1% 19.3% 20.8%

    Yes, a bit easier 28.3% 24.3% 22.6% 28.1% 21.6% 24.8%

    No, change 30.9% 32.3% 28.0% 28.9% 34.7% 31.2%

    No, a bit harder 13.0% 11.2% 15.2% 11.4% 13.1% 12.9%

    No, much harder 7.6% 11.6% 14.0% 10.5% 11.4% 10.3%

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    How hard do you nd it to maintain all the documents and records you need to ful ll your tax

    obligations each year?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersNot hard at all 33.2% 30.8% 22.4% 28.9% 35.1% 42.9%

    A bit tiresome but not too hard 44.6% 48.4% 58.5% 47.8% 43.3% 41.4%

    Hard but doable 15.4% 15.3% 13.6% 17.6% 15.2% 10.0%

    Very hard and arduous 6.8% 5.5% 5.4% 5.7% 6.5% 5.7%

    StateAustralia

    NSW VIC QLD SA WA

    Not hard at all 32.3% 33.1% 31.1% 27.2% 30.7% 31.8%

    A bit tiresome but not too hard 43.9% 45.4% 46.3% 50.9% 48.3% 46.8%

    Hard but doable 16.6% 13.1% 18.9% 16.7% 15.9% 15.3%

    Very hard and arduous 7.2% 8.4% 3.7% 5.3% 5.1% 6.0%

    Please tell us how much you agree with the following statements using a 0-10 scale, where 10 is strongly agreeand 0 is strongly disagree.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersIt is a hassle having to nd all thedocuments and receipts for thingsI want to claim for

    38.5% 37.1% 49.0% 41.8% 31.8% 34.3%

    It is a hassle to have to deal withthe accountant 23.4% 22.0% 20.4% 25.8% 22.1% 15.7%

    I hate having to pay additional taxafter making my tax return 70.5% 68.0% 69.4% 69.8% 70.8% 52.9%

    The tax jargon is too complicatedand confusing 51.7% 53.7% 57.8% 53.1% 51.9% 47.1%

    I am always uncertain about whatI am allowed to claim 47.6% 40.9% 55.8% 44.0% 41.3% 31.4%

    When I commit to the nal guresI worry about committing myselflegally to them

    35.6% 30.0% 43.5% 38.1% 27.5% 14.3%

    The system is too complicated 48.8% 53.0% 45.6% 51.6% 55.2% 35.7%

    I love getting money back fromthe government 87.6% 80.7% 87.1% 84.0% 84.4% 68.6%

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    StateAustralia

    NSW VIC QLD SA WAIt is a hassle having to nd all thedocuments and receipts for thingsI want to claim for

    41.7% 39.4% 38.4% 37.7% 30.1% 37.7%

    It is a hassle to have to deal with

    the accountant22.9% 23.5% 27.4% 19.3% 21.6% 22.6%

    I hate having to pay additional taxafter making my tax return 70.9% 66.5% 72.6% 67.5% 72.2% 69.0%

    The tax jargon is too complicatedand confusing 48.9% 53.0% 59.8% 53.5% 50.0% 52.9%

    I am always uncertain about whatI am allowed to claim 43.5% 45.4% 45.7% 43.9% 42.0% 43.6%

    When I commit to the nal guresI worry about committing myselflegally to them

    35.0% 33.1% 29.3% 32.5% 32.4% 32.3%

    The system is too complicated 49.8% 53.0% 54.9% 49.1% 53.4% 51.3%

    I love getting money back from the

    government81.2% 83.7% 83.5% 90.4% 85.8% 83.6%

    *% Agree (7-10)

    Please tell us how much you agree with the following statements using a 0-10 scale, where 10 is strongly agree and0 is strongly disagree.

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    Are you a small to medium size enterprise owner?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersYes 9.0% 11.6% 5.4% 8.2% 13.2% 14.3%

    No 91.0% 88.4% 94.6% 91.8% 86.8% 85.7%

    State AustraliaNSW VIC QLD SA WA

    Yes 9.9% 10.0% 9.8% 9.6% 15.3% 10.5%

    No 90.1% 90.0% 90.2% 90.4% 84.7% 89.5%

    If you are a Small to Medium Sized Enterprise (SME) owner, how do you plan to use your business return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Invest back in the business e.g.capital expenditure, staff

    development

    35.1% 13.2% 50.0% 19.2% 18.0% 20.0%

    Pay off business debt 13.5% 14.7% 25.0% 15.4% 13.1% 10.0%

    Savings earmarked for thebusiness 2.7% 10.3% 25.0% 3.8% 6.6% 10.0%

    Personal expenditure 5.4% 16.2% 0.0% 11.5% 14.8% 10.0%

    Personal savings 16.2% 13.2% 12.5% 11.5% 14.8% 20.0%

    Paying off personal debt 21.6% 27.9% 25.0% 42.3% 21.3% 10.0%

    Other 16.2% 20.6% 0.0% 11.5% 23.0% 30.0%

    StateAustralia

    NSW VIC QLD SA WAInvest back in the business e.g.capital expenditure, staffdevelopment

    13.6% 20.0% 31.3% 9.1% 25.9% 21.0%

    Pay off business debt 13.6% 12.0% 0.0% 45.5% 14.8% 14.3%

    Savings earmarked for thebusiness 18.2% 4.0% 6.3% 0.0% 3.7% 7.6%

    Personal expenditure 4.5% 12.0% 18.8% 18.2% 14.8% 12.4%

    Personal savings 13.6% 20.0% 18.8% 9.1% 11.1% 14.3%

    Paying off personal debt 31.8% 32.0% 31.3% 18.2% 14.8% 25.7%

    Other 13.6% 20.0% 12.5% 9.1% 29.6% 19.0%

    *Multiple answers allowed

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    Do you do any of the following to minimise your tax liability?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersMake voluntary superannuationpayments for yourself as owner/director

    37.8% 35.3% 0.0% 19.2% 49.2% 30.0%

    Purchase investment property

    which you can then negativelygear 16.2% 23.5% 12.5% 19.2% 21.3% 30.0%

    Prepay expenses eg seminars,conferences, materials (to reduceyour business taxable income)

    24.3% 22.1% 37.5% 26.9% 19.7% 20.0%

    Other 5.6% 2.9% 0.0% 0.0% 3.3% 20.0%

    StateAustralia

    NSW VIC QLD SA WA

    Make voluntary superannuationpayments for yourself as owner/director

    31.8% 36.0% 56.3% 27.3% 29.6% 36.2%

    Purchase investment propertywhich you can then negativelygear

    40.9% 20.0% 18.8% 18.2% 11.1% 21.0%

    Prepay expenses eg seminars,conferences, materials (to reduceyour business taxable income)

    31.8% 16.0% 18.8% 0.0% 33.3% 22.9%

    Other 4.5% 4.2% 0.0% 0.0% 7.4% 3.8%

    *Multiple answers allowed

    If someone prepares your tax return, how much does it cost?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers$100 or less 18.4% 18.0% 21.3% 22.6% 14.6% 18.4%

    $101 to $150 31.1% 21.5% 36.0% 29.8% 21.7% 13.2%

    $151 to $200 17.2% 11.9% 16.0% 13.5% 14.6% 10.5%

    $201 to $300 15.4% 13.3% 16.0% 12.5% 13.9% 21.1%

    $301 to $500 8.2% 16.2% 9.3% 11.5% 15.5% 5.3%

    $501 to $1,000 6.0% 11.9% 1.3% 6.7% 12.1% 18.4%

    More than $1,000 3.7% 7.2% 0.0% 3.4% 7.7% 13.2%

    Average $293 $403 $185 $278 $435 $475

    StateAustralia

    NSW VIC QLD SA WA

    $100 or less 20.0% 22.4% 19.0% 13.2% 11.0% 18.2%

    $101 to $150 26.9% 32.2% 21.9% 20.6% 19.5% 25.5%

    $151 to $200 13.8% 13.2% 12.4% 19.1% 15.3% 14.1%

    $201 to $300 13.8% 10.3% 14.3% 16.2% 15.3% 14.1%

    $301 to $500 14.5% 8.0% 9.5% 17.6% 18.6% 12.9%

    $501 to $1,000 8.3% 8.6% 12.4% 10.3% 11.0% 9.5%

    More than $1,000 2.8% 5.2% 10.5% 2.9% 9.3% 5.7%

    Average $313 $313 $434 $311 $473 $357

    *Banded free numeric answers T a b

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    Would you consider preparing a tax return to be:

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersStraightforward 19.8% 20.1% 19.0% 22.6% 18.8% 17.1%

    Ok if following instructions 57.3% 58.3% 68.7% 60.4% 53.0% 55.7%Too dif cult to complete 22.9% 21.6% 12.2% 17.0% 28.1% 27.1%

    StateAustralia

    NSW VIC QLD SA WAStraightforward 20.2% 19.9% 17.7% 19.3% 18.8% 20.0%

    Ok if following instructions 57.0% 58.6% 54.3% 62.3% 58.0% 57.9%Too dif cult to complete 22.9% 21.5% 28.0% 18.4% 23.3% 22.2%

    What are the reasons why you consider preparing your tax return too dif cult to complete?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersFilling out the form is too hard 38.3% 36.2% 33.3% 44.4% 35.4% 31.6%

    Explanations of questions areunclear 50.0% 58.3% 66.7% 63.0% 49.2% 57.9%

    Items such as deductions are toodif cult to calculate 73.4% 77.2% 72.2% 81.5% 75.4% 63.2%

    Record keeping is too hard 24.5% 25.2% 33.3% 24.1% 24.6% 21.1%

    Other 11.7% 18.1% 11.1% 11.1% 16.9% 21.1%

    StateAustralia

    NSW VIC QLD SA WA

    Filling out the form is too hard 35.3% 38.9% 41.3% 42.9% 29.3% 37.1%Explanations of questions areunclear 51.0% 59.3% 54.3% 52.4% 53.7% 54.8%

    Items such as deductions are toodif cult to calculate 82.4% 72.2% 69.6% 76.2% 78.0% 75.6%

    Record keeping is too hard 27.5% 20.4% 21.7% 42.9% 22.0% 24.9%

    Other 17.6% 18.5% 13.0% 14.3% 14.6% 15.4%

    *Multiple answers allowed

    Would you prefer to receive a standard tax rebate or ll in a tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersI would prefer a standard taxrebate 29.8% 31.2% 23.8% 26.7% 36.1% 25.7%

    I would prefer to ll in a tax return 63.4% 64.2% 72.8% 68.9% 58.7% 57.1%

    Other 6.8% 4.6% 3.4% 4.4% 5.2% 17.1%

    StateAustralia

    NSW VIC QLD SA WA

    I would prefer a standard taxrebate 26.9% 29.5% 37.2% 31.6% 30.1% 30.6%

    I would prefer to ll in a tax return 70.4% 63.3% 57.9% 63.2% 63.1% 63.9%

    Other 2.7% 7.2% 4.9% 5.3% 6.8% 5.5%

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    How long does it take you to prepare your tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersLess than 1 day 51.0% 43.8% 50.3% 44.0% 47.2% 48.6%

    1 day 15.9% 18.9% 15.6% 23.0% 13.6% 24.3%

    2 days 13.7% 14.3% 16.3% 13.8% 14.1% 10.0%

    3 days 6.1% 8.0% 9.5% 6.3% 7.4% 5.7%

    4 days 1.5% 2.2% 2.0% 1.3% 2.6% 0.0%

    5 days 2.0% 3.7% 0.7% 2.5% 3.9% 4.3%

    More than 5 days 10.0% 9.0% 5.4% 9.1% 11.3% 7.1%

    StateAustralia

    NSW VIC QLD SA WA

    Less than 1 day 43.9% 45.4% 48.2% 48.2% 47.7% 46.7%

    1 day 21.5% 16.3% 16.5% 15.8% 16.5% 17.7%

    2 days 13.5% 13.9% 15.2% 14.9% 12.5% 14.0%

    3 days 7.6% 6.8% 7.3% 7.0% 8.0% 7.2%

    4 days 1.8% 1.2% 1.8% 1.8% 2.8% 1.9%

    5 days 2.7% 4.8% 2.4% 0.9% 4.0% 3.0%

    More than 5 days 9.0% 11.6% 8.5% 11.4% 8.5% 9.4%

    Would you rather do the following activities than complete a tax return?

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Run a marathon 16.8% 22.5% 28.6% 19.2% 19.3% 12.9%

    Complete a tax return 83.2% 77.5% 71.4% 80.8% 80.7% 87.1%

    StateAustralia

    NSW VIC QLD SA WA

    Run a marathon 21.5% 19.5% 21.3% 17.5% 21.0% 20.2%

    Complete a tax return 78.5% 80.5% 78.7% 82.5% 79.0% 79.8%

    Please indicate which of the following activities you would do.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Clean the entire house 54.9% 47.4% 56.5% 54.4% 47.6% 38.6%Complete a tax return 45.1% 52.6% 43.5% 45.6% 52.4% 61.4%

    StateAustralia

    NSW VIC QLD SA WA

    Clean the entire house 52.9% 50.2% 51.2% 50.9% 51.7% 50.5%

    Complete a tax return 47.1% 49.8% 48.8% 49.1% 48.3% 49.5%

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    Please indicate which of the following activities you would do.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersWork on the weekend 46.1% 52.1% 46.3% 44.7% 53.9% 51.4%

    Complete a tax return 53.9% 47.9% 53.7% 55.3% 46.1% 48.6%

    State AustraliaNSW VIC QLD SA WA

    Work on the weekend 52.5% 51.8% 51.8% 48.2% 47.2% 49.6%

    Complete a tax return 47.5% 48.2% 48.2% 51.8% 52.8% 50.4%

    Please indicate which of the following activities you would do.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Do a year 12 math exam 22.2% 31.2% 38.1% 30.2% 23.4% 20.0%

    Complete a tax return 77.8% 68.8% 61.9% 69.8% 76.6% 80.0%

    StateAustralia

    NSW VIC QLD SA WA

    Do a year 12 math exam 30.5% 24.7% 27.4% 27.2% 30.1% 27.5%

    Complete a tax return 69.5% 75.3% 72.6% 72.8% 69.9% 72.5%

    Please indicate which of the following activities you would do.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    Boomers

    Do a big business presentation 25.4% 39.7% 32.7% 35.8% 33.1% 31.4%Complete a tax return 74.6% 60.3% 67.3% 64.2% 66.9% 68.6%

    StateAustralia

    NSW VIC QLD SA WA

    Do a big business presentation 30.9% 35.5% 34.1% 33.3% 34.7% 33.8%

    Complete a tax return 69.1% 64.5% 65.9% 66.7% 65.3% 66.2%

    Please indicate which of the following activities you would do.

    Gender Generation

    Female Male Gen Y Gen X BabyBoomersPre-

    BoomersBe stuck in a traf c jam 49.0% 45.7% 43.5% 49.1% 48.3% 37.1%

    Complete a tax return 51.0% 54.3% 56.5% 50.9% 51.7% 62.9%

    StateAustralia

    NSW VIC QLD SA WABe stuck in a traf c jam 50.2% 51.0% 39.6% 49.1% 44.9% 47.0%

    Complete a tax return 49.8% 49.0% 60.4% 50.9% 55.1% 53.0%


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