The question many people ask is should I go it alone….or should I hire a professional accountant to do it for me?
Most people who don’t work in the profession have a limited knowledge of tax, so whilst you will pay an accountant a small fee for doing your return, the return of your tax may be much greater. And the cost of seeing your accountant to do your tax return is fully deductible the next year.
Tax Accountants are dedicated to understanding how tax laws work in Australia, how the Australian Tax Office (ATO) regulates the system and what deduction may exist for you as an individual or business. This in itself reduces the risk of accidentally completing your return incorrectly or lodging incorrect claims.
How complicated is your return?
If you have multiple income streams or are self-employed, there is no doubt that working with your accountant will ensure that you lodge an accurate return.
Investments and shares must also be factored into your tax return.
If you have a self-managed super fund (SMSF) things can become even more complicated. Superannuation funds, and money held in pensions are treated differently for tax purposes so it is vitally important to understand how tax may be applied here.
For others, contributions to superannuation, the Medicare levy, private health insurance, capital expenditure, donations to registered charities, uniforms and professional tools also need to be taken into account when completing your return.
Your accountant will need detailed information from you to complete your return, and the onus will be on you to provide the necessary information such as:
- Receipts for expenditure you wish to claim
- Investment related deductions – eg interest earnt or paid, investment property deductions.
- Employment related deductions such as work related expenses, union fees
- Income earned statements, including group certificates, rental income, interest from bank accounts
We can help you understand how to maximise your money under the legal parameters that the ATO set out. We are happy to have a chat with you at any time about completing your return, and will provide guidance on the documentation you need to provide.
For more information don’t hesitate to call us on 5338 7100
Sharp Accounting is a local accounting firm in Ballarat. Sharp Accounting nurture business growth by adding value through collaboration and shared knowledge.