What are my tax options?
Every year, it is possible for you to engage the services of a tax accountant to help you complete your tax return. You should ensure that the accountant you use is a registered tax agent – you can search the Tax Practitioners’ Board register of registered tax and business activity statement agents at the Tax Practitioners’ Board website tpb.gov.au. It is mandatory for anyone receiving a reward of fee for completing tax returns to be a registered tax agent with the Tax Practitioners’ Board. Most consumer accountants, particularly shopfront and suburban practises, are able to offer tax return services.
However, if you do not have particularly complex finances, you may prefer to use one of the do it yourself tax return options that are offered by the Australian Taxation Office (ATO). My Tax is a website that was first offered by the Australian Taxation Office in the year two thousand and fourteen for the use of people with simple financial affairs. Anyone who has only earned income from employment, interest, dividends, and government benefits, and only wants to make deductions from a limited number of categories such as work expenses and charitable contributions can use My Tax for their taxes, subject to the other eligibility criteria set out by the Australian Taxation Office. People with more complex financial affairs who still prefer to handle their own tax return can use e Tax, the older downloadable tax return computer application. It is worth remembering, though, that the cost of managing your tax affairs, including the cost of hiring an accountant, can be deducted from your tax payable.
Some accountants may also hold an Australian Financial Services licence, or represent a business that is a licensee, and are therefore also able to assist you with Sydney financial planning services. A good accountant will help you grow your money and increase your wealth.
A financial planner can help advise you on how to minimise your tax contribution within the scope of tax law. A reputable financial adviser will not tie up your money in complex tax minimisation arrangements or get rich quick schemes, but will rather provide advice along the lines of suggesting tax deductions that you appear to be entitled to but are not claiming. Some people require ongoing advice from a financial adviser, whereas other people only need once off financial advice. It is important to consider your own situation and think about whether you need advice on an ongoing basis or not. Don’t pay for advice that you don’t need.
This article should not be read for any purpose other than general interest. Independent professional financial advice is available and should be sought prior to making any financial decision. Do not use this article as the basis for any financial decision, as the contents may be inaccurate and are not necessarily fit for any purpose.