A lot of people claim that they do their own tax return. While this is not exactly rocket science, it raises a lot of concern.
Think of it this way, we all go to dentists, doctors, engineers and attorneys and other professionals to seek their expertise. What makes hiring a Melbourne accountant any different then?
For one, taxation laws change from time to time. A Melbourne accountant specialising in taxation know all the nitty gritty stuff that comes with tax preparations and tax laws. So while you may think preparing your own tax returns instead of hiring a Melbourne accountant can save you money, it may cost you more in the long run.
Most people think after six months their tax return has been reviewed and all is fine; but the truth is that this year’s 2008 returns will not be reviewed for three years! No kidding, 3 years. And when they finally get to that return and something looks out of order, then and only then do they start sending out some sort of audit notice.
So, when this happens in 3 years, are you ready to respond with the correct answers? Have you kept all your documents pertaining to that year? I hate to say it but no, probably not. That is when people start to seek out professionals such as a seasoned Melbourne accountant, and that is when the cost gets high.
Oh, and let’s not forget those of you that do your returns using one of the tax preparation software packages. I have a word of caution; if you do not understand the current tax laws or the forms and schedules that will prove to be most beneficial to you it could cost you big in lost deductions, penalties and interest for mistakes or both.