When Should Somebody Start to Use a Tax Agent for Tax Returns?

I'm married and have always done my tax return online. The only difference this financial year is that I've bought an apartment to live in.

Is buying an owner-occupied property significant enough to warrant utilising a tax agent to do my tax return?

Thanks for any advice.

Comments

  • +11 votes

    It's owner occupied, There is nothing to deduct unless you use it as a home office.

    • +1 vote

      Thanks. I do partially use it as a home office, but I did that in my previous dwelling anyway. I was claiming electricity usage which I think would be the same case now, only difference is that it's owner-occupied unless I'm missing something?

      • +1 vote

        Nup all good - should be the same. Just remember if you claiming cents per hour for electricity its gone up to 52cents.

      •  

        See an accountant before you sell. You want to avoid a capital gains tax surprise later on.

        • +1 vote

          Claim running expenses no cgt but if you claim occupancy expenses than you will have to pay cgt when you sell

  • +4 votes

    I started using an agent when my online estimate was saying I would owe money. Went to an agent and they got the amount owing reduced significantly.

    •  

      I did the same, saw an agent and figured out why it had me owing, corrected those and then did my taxes again the years after that.

      I've only started using an agent again last financial year (and FY1819 will be my 2nd consecutive with them) because (foremost) I now work from home full-time and I'd rather have a professional navigate those deductions.

      • -2 votes

        I'd rather have a professional navigate those deductions.

        You are still responsible for the deductions that the agent makes, so "having a professional navigate it" is not an excuse for understanding what deductions can and cannot be claimed for your particular situation. If the agent makes a dodgy claim, you may well end up responsible. Understand what you are signing.

        •  

          Yes, I'm well aware I'm responsible for the end result and it's my signature on the return.

          •  

            @beeawwb:

            Yes, I'm well aware I'm responsible for the end result and it's my signature on the return.

            I'm not saying you aren't - but it's a warning to people who think that using a tax agent just means they can be oblivious to everything that they are claiming.

            •  

              @p1 ama: It actually does provide a layer of plausible deniability which can affect penalties (though probably not interest) down the line. Not fool-proof, but also not nothing. Basically - "this isn't my fault because I went to a professional".

    •  

      In hindsight, given your tax situation, were there lots of complicated deductions etc?

      I like to think my situation is pretty simple (I'm a teacher) and doesn't require a tax agent.

      •  

        As long as you know all the deductions you can claim (ie. prof rego, classroom resources, etc)

  •  

    Is buying an owner-occupied property significant enough to warrant utilising a tax agent to do my tax return?

    There will be no difference in your tax return at all vs. when you were renting.

  • -1 vote

    you probably want to maintain a depreciation schedule for your property

  •  

    IMO they should when their tax return is too complicated to do themselves.

  •  

    I'd see an accountant/agent if 1 of the following apply:

    1. You start working as a contractor
    2. You buy an investment property
    3. You have, or about to have, trust assets.
  • +1 vote

    I would think the moment you start asking yourself this kind of question:

    When Should Somebody Start to Use a Tax Agent for Tax Returns?

    is when you should see one, if only for your peace of mind.

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