How to Lodge Your First Tax Return Using myTax

Who Needs to Lodge a Tax Return

You must lodge a tax return with the Australian Taxation Office if any of the following applied during the 2025-26 income year, which ran from 1 July 2025 to 30 June 2026:

• You had tax withheld from any payments, including salary, wages, government payments, or investment income.
• You are an Australian resident and your taxable income was above the tax-free threshold of $18,200.
• You operated a business as a sole trader or had side-hustle income.
• You had investment income, including bank interest, dividends, or rental income.
• You sold assets such as shares, cryptocurrency, or property.
• You received government payments that are taxable.
• The ATO asked you to lodge.

If none of these apply and you are certain you do not need to lodge, you must still submit a non-lodgment advice to the ATO. Doing nothing is not an option and can trigger a follow-up from the ATO.

Step 1: Create a myGov Account and Link the ATO

If you do not already have a myGov account, go to my.gov.au and create one. You will need a valid email address, a mobile phone number, and two identity documents such as a driver licence and Medicare card.

Once your myGov account is active, link it to the Australian Taxation Office. Select "Link a service" from your myGov dashboard, then choose the ATO. The linking process asks you to verify your identity using information the ATO holds, such as your tax file number, a bank account number from a previous return, or your superannuation account details. If you have never lodged a tax return before, you may need to call the ATO to complete the link.

Step 2: Wait for Pre-Fill Data to Be Ready

The ATO pre-fills your return with information from employers, banks, share registries, Centrelink, and health funds. This data starts flowing into myTax from late July. Most pre-fill information is available by mid-August.

Do not lodge too early. If you lodge before your income statements are marked "tax ready," you risk missing income or claiming the wrong tax withheld, which often forces an amendment later. The ATO recommends waiting until late July, when most employer income statements have been finalised through Single Touch Payroll.

You can check whether your pre-fill data is ready by logging in to myGov, selecting the ATO, and choosing "Manage tax returns." Any income statements that are not yet tax ready will be flagged.

Step 3: Start Your Return in myTax

Log in to myGov, select the ATO, then select "Manage tax returns" and choose the 2025-26 financial year. Click "Lodge" to start your return.

The first screen shows your pre-filled income. Review it carefully. The ATO pre-fills salary and wages from your employer, interest from banks, dividends from share registries, and government payments from Centrelink. You are legally responsible for the accuracy of your return, so verify every entry against your own records before proceeding.

If an income statement is missing or incorrect, add the missing income manually. Do not assume that the ATO has everything. Common gaps include freelance or side-hustle income, interest from a new bank account, or dividends from a share portfolio that is not registered with a major share registry.

Step 4: Claim Your Deductions

This is the section that determines how much refund you can claim. The ATO accepts deductions for expenses you paid yourself, that directly relate to earning your income, and that you have records to prove.

Common deductions for first-time lodgers include:

• Work-related expenses, including tools, professional memberships, and union fees.
• Work-from-home expenses, using either the fixed rate method or the actual cost method.
• Self-education expenses that directly relate to your current job.
• Car expenses for travel between job sites or when carrying bulky equipment that cannot be stored at work. Home-to-work travel is generally not deductible.
• Donations to registered charities.

If your total work-related deductions exceed $300, you must have written evidence such as receipts or invoices to support every claim. For claims of $300 or less, a spreadsheet or calendar record showing how you calculated the amount is sufficient.

Step 5: Review Offsets, Medicare, and Private Health Insurance

After entering your deductions, myTax shows a summary of your estimated refund or tax payable. Review the following items:

• Medicare levy: Generally 2 percent of your taxable income. If your income is below a certain threshold, you may be exempt.
• Medicare levy surcharge: Applies if your income is above $105,000 for singles or $210,000 for families in 2026-27 and you do not hold appropriate private hospital cover.
• Private health insurance rebate: If you have private health insurance, myTax will calculate any rebate or surcharge that applies.
• HECS or HELP repayments: If you have a HELP, HECS, or other study loan, myTax calculates your compulsory repayment based on your repayment income. The threshold for 2026-27 is $69,528.

If any of these items look wrong, stop and correct them before submitting. Errors in Medicare or HELP calculations are common and can result in an unexpected tax bill or a smaller refund.

Step 6: Submit and Keep Your Records

Review your entire return one last time. Confirm that all income is declared, all deductions are supported by records, and all offsets and surcharges are correct. When you are satisfied, submit your return electronically through myTax.

Most refunds are processed within two weeks if there are no issues. Refunds are paid by direct deposit to the bank account you nominated in myTax. Returns selected for additional review can take four to eight weeks.

Keep all records related to your tax return for five years from the date you lodge. This includes income statements, receipts, bank statements, and logbooks. The ATO may audit your return during that period, and you must be able to produce evidence to support every deduction you claimed.