Not every tax mistake starts with a scam. Sometimes, it starts with information that simply isn’t correct.
Most Australians know to be cautious when they receive an unexpected text message, email or phone call claiming to be from the ATO or myGov. But scams aren’t the only online threat during tax time.
The ATO is also warning taxpayers about the growing risk of tax misinformation appearing in Google search results, social media, websites and AI-generated answers.
Just Because It’s Online Doesn’t Mean It’s Correct
Tax information can be surprisingly complicated, and general advice found online doesn’t always take your individual circumstances into account.
A social media post might claim that a particular expense is “100% tax deductible”. An AI chatbot might provide an answer that sounds confident but leaves out an important exception. A website might offer a tax tip that was accurate several years ago but no longer reflects current rules.
Even information that appears at the top of a search result isn’t necessarily relevant or correct for your situation.
The result? You could make a decision about your tax return, deductions, tax obligations or superannuation based on information that is incomplete, outdated or simply wrong.
Tax Time Is a Prime Target
Tax time creates the perfect environment for both scams and misinformation.
Scammers may impersonate the ATO or myGov and send messages about supposed refunds, outstanding tax debts or urgent account issues. At the same time, taxpayers are searching online for ways to increase their deductions, reduce their tax bill or understand changes to the tax system.
It’s important to remember that popular advice isn’t necessarily accurate advice.
Before acting on something you’ve seen online, consider:
- Can the information be verified through an official source?
- Is the information current for the relevant financial year?
- Does it actually apply to your personal circumstances?
- Is the source qualified to provide tax advice?
- Does the claim sound unusually generous or “too good to be true”?
Taking a few minutes to check the information could prevent a much more expensive problem later.
When In Doubt, Ask Before You Act
Tax rules are rarely as simple as a headline, social media post or AI-generated answer might make them appear. Whether an expense is deductible, how much you can claim, or how a particular tax or super rule applies can depend on your individual circumstances.
If you’ve seen something online about tax deductions, refunds, tax strategies or superannuation and you’re not sure whether it’s correct, talk to us before acting on it.
A quick conversation with Dymond Foulds & Vaughan now could save you significant time, money and stress later.