Hi all,
This is not so much a specific question but more about sharing individual experiences.
I have always lodged tax returns myself and have NEVER used an accountant. So far, I have 3 investment properties and even sold 1 so I did the complex CGT lodgement myself as well.
But with my portfolio growing, I think I’ll need to see an accountant soon as its slowly taking up more of my time.
However, I was always procastinated and mainly becoz of fear. Fear of going to a qualified accountant and finding out all the bad / wrong things I have done in the past. And having spoken to some of my pals who lodge tax returns themselves, its surprisingly not that uncommon !
In fact, I think its like going to the dentist after skipping the visit for many years and fearing there’s going to be something really bad.
So please share your thoughts / opinions …
– Are you are scared to see an accountant ? Why ?
– What was it like meeting up with an accountant for the 1st time ?
– Was it a really tough experience finding out all the wrong things you have been doing and now having to fix it ?
– Disappointed in losing all the “invalid” deductions you have been giving yourselves ?
– etcpeace, bennido
Hi Bennido,
I found it hard to make myself spend the money on a good accountant but my portfolio was growing and getting very complex so I decided to go ahead with it.
I am glad that I did go to a property specialist accountant because he has helped me soooo much. Just because he knows property, tax law and legal tax minimisation strategies so well I know that I am getting the best ethical return possible. Have you seen how thick the folders of tax law are? How can us mere mortals ever hope to keep up with all that stuff ?
I say overcome your fear and reap the positive benefits.
All the best…
Todd Burns
http://www.freepropertyhelp.com.auMy experience was the opposite with investment property accountant in Sydney (6 years ago). Accountant was referred to us ( after first return, he passed our portfolio to underling accountants in the office) to do our 1x property investment then 2 when we moved overseas. I owned 1% of no. 1 property and 50% of number 2, but thought I had a tax free threshold.
Decided to do my tax 2 years ago and found out no tax free threshold with being non-resident. Had to lodge 3 x previous returns for myself as my husband’s was the only lodgement the accountant had prepared. Then I had to back pay with interest (no fine as yet!)
Now do tax myself. I tried to ‘have it out’ with the accountant but it’s hard when you are just talking on the phone from o/s.
Yes, it’s time consuming, very!I don’t know where you find a great one, maybe the people on this site can help you. IMO, you should request/tell them never to pass your tax portfolio onto another accountant in the office.
Or maybe get yourself some good software. The US has some awesome tax software, so maybe some Oz companies are developing some or have. I am going to follow this up later, so I’ll let you know if I find some. Or if anyone knows of any good Australian tax property investment software to buy, then give us a holla!
As I’m not a huge investor, I can’t offer any other advice.
Good luck.Originally posted by bennido:However, I was always procastinated and mainly becoz of fear. Fear of going to a qualified accountant and finding out all the bad / wrong things I have done in the past. And having spoken to some of my pals who lodge tax returns themselves, its surprisingly not that uncommon !
– Was it a really tough experience finding out all the wrong things you have been doing and now having to fix it ?
– Disappointed in losing all the “invalid” deductions you have been giving yourselves ?Hi Bennido,
Don’t disillusion yourself – just because the ATO has paid the refund it does not mean that all your claimed deductions have been approved.
In effect the ATO currently uses a process whereby they pay out refunds as per a lodgement and then the returns goes to the back room where some are perused (and some a little more closely).
I would suggest that making erroneous claims is fine until……….
And that is why I always use a good accountant. They know what I am doing, where I am going and can assist me to maximise my legal deductions while still fulfilling my obligations to the community.
Tax minimisation is fine – tax avoidance is not.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113
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