6 Reasons for Hiring an Income Tax Accountant

The tax return season is a bit stressful for many small business owners, especially those without financial training. The Australian Taxation Office (ATO) has made things a bit easier in the filing format. But there is still a risk of filing the wrong information if you don't know how to handle this process. Many small business owners are surprised to find they owe huge taxes or they have been fined for wrong filing.  An income tax return accountant comes in handy for several reasons.

Filing the Correct Information

Where do you file your business's income? How do you calculate annual turnover? What is asset depreciation? These are some of the questions that an income tax return accountant can help answer. The accountant knows under which section to file this information. It is very crucial because it is the basis by which your tax liabilities will be calculated.

Lower Tax Liabilities 

An income tax return accountant can take advantage of the various ATO regulation loopholes for your benefit. They know which expenses to claim as deductibles for your business to get the maximum tax write off.

Maximise Tax Refunds and Rebates 

Various ATO guidelines offer a reprieve for small businesses to make the business environment friendlier for them. These come in the form of tax rebates on particular expenditures for specific equipment or raw materials. The ATO offers tax refunds for the taxes that have been applied to these deductible expenses. The income tax return accountant will file your returns for the maximum tax refunds available to your business.

Avoid Legal Complications 

Tax evasion is a serious crime. Under ATO laws, filing false returns attracts a fine or possible jail time. The problem is that you could be breaking the law unknowingly by filing the wrong information. An income tax return accountant helps avoid these costly mistakes. 

Better Financial Insights 

Filing returns offers a good opportunity to understand your business' financials better. An income tax return accountant has to generate a financial statement to know what to file. The financial statement will tell you if the business is performing well or not.  The accountant will help you understand where you are losing or making money. 

You Can Now Concentrate on Your Core Business 

It is unlikely that you have time to learn accounting and tax law. Engaging the services of an income tax return accountant takes this load off your shoulders. You can concentrate on your business while a professional take care of your tax returns. 

Don't struggle to deal with tax issues that you barely understand. Involve an income tax return accountant.