Being self employed can sometimes make it difficult to apply for a loan. The banks in most cases will want to see a full two years of consistent income before they can approve your loan, but how about those who have had great performance within their companies and cannot wait to lodge their last financial year tax returns?
Luckily, the Australian Taxation Office will let you lodge your tax returns as soon as the 1st of July (if they can be prepared by then of course!).
Also, the good news is that some banks will look at your most recent financial year in isolation if they can see that there is likely to be consistent earnings ongoing. This means if you had a lower income in 2017 and there are reasons of why your 2018 tax year is a better representation of your ongoing income, there may be a lender option for you.
Will my 2017 tax returns still be accepted?
Yes! There are a few lenders that will accept 2017 financials and tax returns until 01st of March next year, and there can be some exceptions to use them beyond this date as well!
Some banks will also consider 2018 interim financial statements prepared by an accountant as prove of current’s company performance even if the 2018 returns are not yet available!
If you have any questions around any of the terms within this email, please give us a call.
