Procrastinating Aussies who have held off submitting their 2025-2026 tax returns now have just two weeks left to do so.

The cut-off date for self-lodgers is November 2, the first business day after the usual deadline of October 31.

As workers yet to complete the annual income obligation get their ducks in a row, experts have revealed the common pitfalls and tax traps that must be avoided.

Know the news with the 7NEWS app: Download today

When is the tax dealine?

Taxpayers preparing their own returns have until 11.59pm on Monday, November 2 to submit their paperwork on time.

The normal cut-off is October 31 but given that falls on a Saturday this year, it has been pushed back to the next business day.

That deadline can be extended into next year, potentially May 2027, for those using the services of a registered tax agent.

But you must be on their books before October 31.

“The important thing is not to confuse the two dates,” H&R Block tax communications director Mark Chapman told 7NEWS.com.au.

“Just because the self-lodgement deadline has moved to November 2 doesn’t mean you can wait until then to register with a tax agent and automatically qualify for an extension.”

Be the first to know:

What is the penalty for late submissions?

Aussies who miss the deadline could be in line for a hefty fine, plus interest, from the tax office.

Failure to lodge (FTL) penalties start at $364 for individual taxpayers.

That goes up by the same amount every four weeks but is capped at $1820.

The ATO says it does not generally apply penalties in isolated cases, and will consider your circumstances when deciding what action to take.

H&R Block tax communications director Mark Chapman has advice for Australians who have not lodged their tax return. Credit: H&R Block

Warnings will come by phone or in writing before FTL penalties are applied and a notice to lodge is issued.

“The ATO does have discretion when it comes to imposing penalties. If you’ve got a good lodgement history, you’re only a little late and you’re expecting a refund, there’s a reasonable chance you won’t be penalised,” Chapman said.

“It’s a different story if you’re a repeat offender or you’ve ignored reminders from the ATO.

“The ATO has access to an enormous amount of information from employers, banks, financial institutions and other third parties, so the idea that you can simply avoid lodging and somehow slip under the radar is unrealistic.

“The worst approach is to bury your head in the sand.”

Common mistakes made by self-lodgers under pressure

With the deadline around the corner, taxpayers might now be feeling the pinch.

Gurus say workers scrambling to file their documents tend to make mistakes “in both directions” — overlooking deductions they are entitled to, and simultaneously trying to recoup costs they are not allowed to claim.

“Working from home is a good example. People might forget to claim their home office expenses altogether, or they might claim expenses without keeping the necessary records,” Chapman said.

“The same applies to work-related mobile phone costs, internet expenses, professional subscriptions and union fees.”

Another common mistake is assuming that everything the ATO has pre-filled into (online platform) myTax must be correct.

“The information is generally reliable, but it’s not guaranteed to be complete. Income from a second job, bank interest, dividends, capital gains or a side hustle can sometimes be overlooked,” Chapman said.

He warned to that taxpayers can be caught out claiming the full cost of expenses that have both work and private uses, while others forget to consider investments.

“One mistake I see regularly is people simply copying the deductions they claimed last year without considering whether their circumstances have changed,” he said.

ATO’s golden rules for deductions

Experts say it is vital to resist the temptation to overclaim deductions or inflate expenses.

The ATO has “three golden rules” for claiming a deduction for a work-related expense, which are:

• You must have spent the money yourself and not been reimbursed;
• The expense must directly relate to earning your income;
• You must have a record (usually a receipt, invoice or logbook) to prove it.

Final word

Chapman said it is key to take the time to ensure everything lines up.

“A rushed return could mean missing out on hundreds of dollars in legitimate deductions, or worse, making incorrect claims that attract the ATO’s attention,” he said.

“The ATO doesn’t expect taxpayers to claim less than they’re entitled to, but it does expect them to be able to substantiate what they claim.”

All information in this article is general in nature and does not take into account your personal circumstances. You should always seek independent, professional financial advice from a licensed expert before making any financial decisions.