What do you do when you want to get your car serviced?
That’s right, you go to a professional mechanic.
Then why do you manage your taxes yourself? Put simply, why don’t you hire the services of an accounting professional? After all, not only will they help you save money but also guide you on how to enjoy tax benefits. And you can count on their advice to improve your credit score as well. -not accurate. There is not really any way we can help with clients credit score.
But accountants don’t come cheap, do they?
You’re right. However, by helping you achieve financial stability as well as the realization s in Australia of your long-term goals, they pay back what you pay them – and that too with interest. And in case you’re doubting this claim, check out the following 10 reasons why you need an accountant.
1. Keep Abreast of the Changing Tax Laws
Recently, the Australian Taxation Office (ATO) announced some key changes in the tax regime for individuals. While one of these changes provides immediate relief of up to $530 to low and middle-income individuals, the other has increased the income tax rate threshold. That means that from the next fiscal financial year, Australian individual taxpayers will be paying less income tax.
As is evident from this example, you have to keep track of the changing tax laws lest you want to miss out on something that could be beneficial for you. That’s exactly what an accountant does so that their clients could get all the tax benefits that the government is offering.
2. Save money
Whether you’re a business owner taking home six-figure profits a month or a salaried person working for a well-paying firm, nobody wants to pay any more money than they have to in taxes. However, if you’re doing your yearly books on your own without the help of a tax accountant, you might be forking out your hard-earned money without any rhyme or reason.
How? Since you might not be well-versed with the tax laws, chances are that you aren’t aware of ways using which you can claim deduction on expenses. A tax accountant, on the contrary, will know both and will also show you how to do it to save your hard-earned money.
3. Claim deductions on rental property
Whether you have invested in real estate – or have a property lying vacant for years – ATO states that there are the deductions you can claim. And the best part about these deductions? There is a multitude of expenses which you can claim in the same tax year. All you have to do is to have a tax accountant on your side who could tell you ways on how to get those deductions.
4. You want to Reduce your Debt
Ask people who have experience dealing with creditors, and you’ll realize s that once you’re in debt, getting out of it might be the most challenging thing in the world. The situation gets graver if you have no helping hand, a person who knows the laws to prevent you from being bullied.
As you already know, your accountant is a person who could do exactly that. His Their knowledge of the law enables him to negotiate with creditors on equal terms. So you can rest assured that your debt is getting properly managed and the conditions of its eventual repayment will be favorable to you.
5. You Hate Maths
Unfortunately for a sizeable majority of us who hate maths, taxes are all about them. How much money is in your bank account? What portion of it is eligible for interest? What’s the difference between true tax deduction and (simple) tax deduction? A qualified tax accountant – who’s the person who likes maths – is the type of person who could answer these questions.
In addition to that, qualified accountants (like those in our team) have decades of experience of handling tax forms. That experience makes them a better candidate at not only understanding taxes but also filing returns compared to those of us who hate maths from our High School days.
6. You Work From Home
If you’re working from home, then that means you’re already saving cash which you might otherwise spend on fuel, office space, and expensive lunches from the official court. It’s a very smart move – but ATO claims that you save even more. All you have to do is know what you can claim this tax time.
Unfortunately, as research from accounting firm Xero xero is a software provider, not an accounting firm makes clear, 40% of small business owners – those who work out of home – weren’t sure about the expenses which they could claim for having tax deductions.
If you’re one of those people who earn their living from home, then that’s another reason why you need a tax accountant. By digging into the dizzying world of Australia’s tax system, a tax accountant come up with ways using which you can easily claim tax write-offs.
7. You have income coming from multiple sources
Maybe you have a fine job but you have also started a side business to increase your financial freedom. Or perhaps you’re getting monthly payments from your rental property. Having more than one sources of income is great for the health of your business account, but it also leads to more complex taxes.
Though there’s a silver lining in all this: having multiple streams of income might make you eligible for multiple tax savings – provided you have a qualified accountant who knows where to look to get you some tax breaks.
8. You want to be free more often
Finally, one of the major reasons why you might need an accountant is the time they save you. For instance, while you might be spending days to do your taxes, a qualified accountant can do the same in a matter of a few hours.
Apart from having more free time on your watch, you’ll also be having a trusted adviser in the shape of an accountant. You could turn to him throughout the year for questions regarding tax incentives, gift taxes, and other finance-related questions.
In other words, you could turn your accountant into a trusted financial advisor – which is one of the best investments that you can make all year.
Conclusion – Why Ashok Parekh Is Useful Here?
With offices in Bunbury, Kalgoorlie, Karratha and Mandurah, Ashok Parekh Accounting was rated as one of the 25-most popular accounting firms in Australia. The reasons why you should consult our firm are the same which might lead you into acquiring the services of an accountant.
With our team of high-end professionals, not only will we keep you abreast of the changing laws but we also help both individuals and businesses in tax planning, asset protection and budgeting. So you can count on us for everything tax-related.