Many business owners often miss out on ATO’s tax deadlines because of many reasons. If you think you might not be able to prepare and lodge tax returns on time, don’t panic! Choosing a tax accountant in Melbourne would benefit you. If you think you will miss the deadline for this financial year, then don’t forget to consult tax professionals. Tax professionals are always prepared to offer invaluable advice.
What If You Fail to Lodge Tax Return on Time?
Tax returns, activity statements and other essential documents must be lodged by their due dates. If you fail to lodge by the due date, you should contact the ATO so it can help you reduce the risk of penalty. If you don’t file your tax return on time, a failure to lodge on time penalty may apply.
Final Notice
The ATO issues a final notice if you ignore previous requests to lodge. It is a legal document requiring you to file a tax return by a specific date.
Default Assessment
The ATO assesses your income without your assistance if they don’t get your overdue lodgment. After assessment, it will attract a 75% penalty for the tax-related liability.
Retention of Refund
If you don’t file a return, the ATO may retain your refund until you file your return.
Prosecution Action
It is a criminal offence if you fail to lodge, and once convicted by the court, you may have to pay additional fines and/or imprisonment for up to 12 months.
Is It Worth Getting a Tax Accountant To Do Your Tax?
Every year you need to complete your taxes and it is a complex task for those who are not familiar with the tax lodgment process. This is why it is beneficial to work with small business tax accountants. They will have a good understanding of what you do, what deductions you can claim and what is your financial situation. In addition to this, they also provide business advice.
Extended Deadlines
When you seek help from a tax accountant, you don’t only benefit from business advice, but you also get more time. The deadline for tax lodgment is October 31 if you lodge it on your own, but when you engage a tax accountant, you will benefit from an extended deadline. It will give you more time to find your deductions and speak with your tax accountant.
Saves You Time
When you work with an accountant, everything will become easy for you. Many of you may think of lodging tax return on your own, but it is not easy. Working with a professional tax accountant will make the tax season easy and stress-free for you. When they handle everything on your behalf, it will save you time so you can invest your time in other important things for your company.
Reduces Stress
Tax return lodgment brings a lot of responsibilities on your shoulders. Any mistake made during the application process could cause problems, and you may have to pay penalties for it. Therefore, if tax return lodgment makes you feel nervous, it would be better to seek help from tax agents in Melbourne. Filing tax returns through a tax accountant will ensure that you’ll be complying with the tax laws.
Tax Return Lodgment with Registered Tax Agent
A tax agent is a professional who can help you prepare and file your tax return. Make sure to receive help from an accountant registered with the Tax Practitioners Board (TPB). When using a registered tax agent, discuss the service they offer so you know what you can expect. Before lodging taxes, accountants need to complete the business’s financial records. This is where bookkeepers come to help you. That’s why small business bookkeeping services are crucial.
A tax accountant knows how to manage your taxes so you can get the most out of your tax returns. Accountants know everything about tax deductions and will find the most appropriate options that you didn’t know.
Conclusion
To make sure to complete tax deadlines, it would be worth seeking help from professional tax accountants. You can also get support from our Reliable Melbourne Accountants.