Can I still apply for a home loan if my tax returns are not up to date?

Quick answer: Yes – in Australia, it is still possible to be approved for a home loan if your tax returns are not up to date. For many self-employed Australians, this is done through a low doc home loan, where the lender looks at your income using alternative documents such as BAS statements, business bank statements, accountant declarations, and profit and loss reports to understand your position.

Why do lenders usually ask for tax returns?

Tax returns are commonly used to give lenders a clear view of your business income over time. However, for some business owners, freelancers and contractors, tax returns may not always be up to date at the time of application.

Many self employed Australians might assume that without up-to-date tax returns, applying for a home loan simply isn’t an option. While it’s an understandable concern, it doesn’t have to mean the end of the road.

How can I get a home loan if my tax returns are not up to date?

In 2026, lenders are placing greater emphasis on understanding genuine earning capacity and there are several ways borrowers can show exactly that. Some of the alternative income documents lenders may accept include:

BAS (Business Activity Statements)

BAS statements show GST turnover and evidence of ongoing business activity.

Key point: Consistent BAS lodgement can help show that your business is trading reliably.

Business Bank Statements (3–12 Months)

Business bank statements allow lenders to see how money flows through your business over time.

Key point: Clear, consistent deposits can help paint a stronger picture of cash flow.

Accountant’s Declaration

An accountant’s declaration outlines your income position based on business records and professional insight.

Key point: An accountant’s letter can help explain income that isn’t always straightforward.

Profit-and-Loss Statements

Profit-and-loss statements summarise how your business earns and spends money over a recent period.

Key point: Up‑to-date financials help lenders understand how your business operates day to day.