A registered tax agent is the only one that can charge fees in preparing and lodging a tax return. They can lodge an income tax return later than 31 October because they have special lodgment schedules. However, if it is your first time or you’re using a different agent, contact him or her before the last day of October. Finding a registered tax agent is easily done in Northcity Accountants.
Pros of Hiring Tax Agents
If you’re in Victoria, consider a tax agent South Morang has who is a qualified accountant who does Taxation services.
- This way you will have consumer protection courtesy of an experienced professional who follows the Code of Professional Conduct.
- Tax is at the least confusing, and is always stressful because in Australia, the responsibility for the completeness and accuracy of information, is on the taxpayer. This stress gets magnified if the taxpayer has many sources of income. Taxpayers who incorrectly report income tax returns face penalties and interest charges.
Taxpayers are even advised to keep up to five years of tax records because the ATO (Australian Taxation Office) may ask for them. Failure to produce these records may lead to denial of deductions or payment of 200 percent of the shortfall.
- An agent’s fee gets deducted in the following year’s return.
- Typical tax returns get done in an hour.
- You’ll have until 16 May of next year to lodge your tax return.
- Going to the same agent year after year, results to his or her understanding of your financial setup, which leads to good tax advice that includes deductions you may claim and tax breaks you may get.
- If you also forgot something, or you did not get a refund, a tax agent helps lodge an amendment.
What if I Forgot to Lodge a Tax Return?
If it is the first time, the ATO imposes a Failure To Lodge (FTL) penalty. From the 1 July 2017, that penalty is $210. This gets calculated as one penalty for every 28 days. A maximum of five penalty units gets imposed for a total of $1,050. Penalties get automatically applied.
However, if a taxpayer continuously fails in lodging a return for several years, he or she gets issued with default assessments which is an estimate of the taxpayer’s income, based on the data the ATO has. Because these are estimates, they are usually smaller than what the taxpayer really owes.
Taxpayers, however, get to appeal a default assessment.
The ATO may prosecute. Maximum penalty is $8,500 or imprisonment of up to a year.
So, if you’re late with one or more tax returns, get them updated with the expert help of a tax agent. A South Morang tax agent will help make a case if penalties can get remitted and they’ll also help with missing income information.
Not all CPAs or Certified Public Accountants are experts when it comes to income taxes. It is important to look for a CPA experienced in this area. The greatest plus of an accountant experienced in taxes is you get extra help with a number of financial situations.
To find the best tax agent South Morang has, visit http://northcityaccountants.com.au/.