Should I use a tax agent?
With tax time rolling around again this year, a question that is often asked is;
Should I attempt to complete my tax return myself this year?
While doing your own tax return may seem like an easy task, knowing what you can and can't claim can often cause headaches and may result in you short-changing yourself.
Here we go through the advantages of using a registered tax agent to assist you in preparing your tax return;
LODGE CORRECTLY THE FIRST TIME
By lodging your tax return yourself, the responsibility for any mistakes falls squarely on your shoulders. This could lead to time consuming audits and dealing with the ATO to rectify any issues.
Having a tax agent prepare your tax return can ensure that your return is done right the first time. Fees paid to a tax agent to assist in preparing your tax return are also 100% deductible.
Even if you have filed a return by yourself and have made a mistake, your tax agent can amend your lodgement and can check that you have claimed all of your entitlements.
ENSURING YOU ARE COMPLIANT
Tax laws are frequently changing and unless you know what to look for, it’s easy to miss new rules and regulations. By using a tax agent, we ensure your tax return complies with the latest tax laws as well as ensuring you are claiming the correct deductions for your occupation.
TIME SAVER
Knowing what you can and cant claim or spending hours of research to find any information on what deductions you are entitled to is a time consuming exercise. By seeking the advice of a tax agent you could save yourself the time and hassle.
Tax agents are professionals for a reason. They know exactly what to look for. By contacting us prior to you appointment we can run through exactly what you need to bring with you and while each tax return is different, you’d be surprised at how painless the process with a tax agent can be.
HAVE I INCLUDED ALL MY INCOME
Tax returns aren’t just made up of your salary and wage income. There are many other forms of income that need to be declared when lodging your tax return such as share and dividend income, bank interest, trust income and foreign investments.
Specific rules and regulations apply when working out if income you have received is assessable. A tax agent understands what to look for, how your total income is calculated and what needs to be declared.
DEADLINES
If you lodge your own tax return, you only have until the 31st October to do so. If you haven’t got all your affairs in order or find the task to overwhelming, you may be penalised for lodging your tax late if you go over the deadline. By using a tax agent, you receive an extension which can give you the additional time to ensure you have got all the necessary information to complete your return correctly.
LONG LASTING RELATIONSHIP
While you may start out as an individual tax return client, by forming a long term relationship with your tax agent, you can gain a valuable resource when it comes to other financial matters. Whether it be starting a business, investing in the share market, buying a house or even updating your will. Mulcahy & Co is your hub for professional accounting, taxation, financial planning, legal, loans & finance, information technology and marketing services.
There are many benefits to using a registered tax agent to prepare your tax return, contact us today at Mulcahy & Co to see how we can assist you.
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