The Ultimate Guide To Choosing a Tax Accountant

Were you disappointed with this year’s tax refund? Were you expecting to receive more? Do you feel your tax accountant didn’t work hard enough to get you the best possible refund? If you answered yes to any of these questions, then now’s the time to consider hiring or switching tax accountants.

A good tax accountant can make a substantial difference in your tax refund. This is not just for your 2024-2025 tax return but for every tax return they lodge on your behalf. Unless you or your tax accountant are familiar with the current tax regulations, you will likely pay more tax than you need to and receive a smaller tax refund than you’re entitled to. This is why you need not just any tax accountant but a good tax accountant.

Grow Advisory Group is one such tax accountant. Tax returns are our specialty; we are experts in business tax returns and individual tax returns and strive to get you the maximum refund to which you are entitled.

To maximise your 2020-2021 tax refund, continue reading this article. Drawing from my tax experience and expertise, I have compiled this ultimate guide to choosing a tax accountant. Follow these suggestions, and you will surely be thrilled with next year’s tax refund.

Table of Contents

What is a tax accountant?

Before we learn how to choose a tax accountant, let’s look at what a tax accountant is.

A specialist tax accountant focuses on preparing, lodging, and managing tax statements and tax returns. A tax accountant can also provide tax advice and tax planning services to better structure a business or individual for maximum tax efficiency.

Tax accountants aren’t essential. You can manage your own tax statements and lodge your tax returns; however, their expert advice and knowledge of the tax regulations can benefit individuals and businesses. They can claim work expenses you may not know of to maximise your tax refund.

Considerations for hiring a Tax Accountant

If you invest in a tax accountant, it pays to do a little research to ensure you choose the best tax accountant for your needs and/or business.

Is the tax accountant ethical?

It’s one thing to get a massive tax refund but another to get it ethically. You must put your trust in an ethical tax accountant who has your best interests in mind. Will they maintain your confidentiality? Will they keep you informed and provide sound advice that puts your interests first?

Do they specialise in my business field/industry?

If you own a business, it pays to find business tax accountants with experience in your industry. They will be aware of industry-specific deductions, which, in turn, will ensure you get the maximum refund to which you are entitled. Likewise, if you are being audited, you will want a tax accountant who is an audit expert.

Grow Advisory Group has tax accountants with a high level of experience in the aged care, automotive, food & agribusiness, healthcare, hospitality, legal services, manufacturing, professional services, pharmacy, property, retail, and transport & logistics industries. So, you can rest assured that we have the knowledge needed to get you the maximum tax refund for your specific industry.

Do they have the needed experience?

Tax accountants are only human, so some will have more experience and knowledge than others, some better than others. If you have a complex business structure—or have multiple businesses—you’ll want to put your trust in an experienced tax accountant—someone who can offer tax advice to reduce your taxable income and maximise your tax refund.

Are there any red flags?

Before considering your financial position, be cautious of any business tax accountant who promises you an instant or massive tax refund.

An “instant tax refund” sounds enticing, but it probably isn’t the best option. Let me tell you why. Instant tax refunds don’t exist. It’s essentially a short-term loan between you and the tax accounting firm, which has to be repaid once you receive your actual tax refund from the ATO. This is all well and good, except in the case where the ATO withholds a refund. In this case, you must start paying interest on the short-term loan.

Questions to ask a Tax Accountant

Don’t be afraid to put a tax accountant on the spot and ask them questions. Their answers will aid your decision-making process. Request a sit-down meeting to discuss your position and how they will approach your situation.

Below is a list of questions you should seek answers to:

What services do you provide?
What are your qualifications?
How do your fees work?
What kinds of clients do you work with?
Are you a conservative or an aggressive accountant?
How do you handle working with multiple entities?
What is your experience with the [insert your industry] industry?
What online accounting software do you use/support?
How do we communicate, and how often will we communicate?
Will I always deal with you?
Are you available year-round?

Mistakes to Avoid When Choosing a Tax Accountant

Choosing a tax accountant takes time and research, but it’s worth it. It can potentially save you thousands of dollars in unnecessary taxes.

Below are a few common mistakes to avoid:

Don’t hire the first accountant that ranks in Google for ‘tax accountant near me’! This says nothing about their skills, qualifications, experience or ability to get the best tax refund.
Don’t hire a tax accountant purely based on low fees. It may save you a couple of hundred dollars in accounting fees, but it may cost you thousands in unnecessary taxes.
Don’t choose an accounting firm that doesn’t assign a specific accountant to manage your account. You want a dedicated accountant familiar with you and your business to ensure the best results are achieved.
Don’t choose a tax accountant who doesn’t have a broad knowledge of the different areas of their sector. They should be able to advise on more general matters and have answers to all your questions.

Conclusion

If you’re looking to get the maximum tax refund on your 2024-2025 tax return, then it may pay to invest in the professional services of a tax accountant. A tax accountant specialises in tax returns and can offer tax advice and planning strategies to make you or your business more tax-efficient.

However, not all tax accountants are the same. Thus, when choosing a tax accountant, there are many things to consider. Consider factors like the accountant’s ethical standards, expertise in your industry, and experience in managing your account, and be wary of overly promising offers.

Choosing the best tax accountant can only be achieved by working hard. Ask them questions and avoid common pitfalls such as choosing based on location, Google search results, or low fees.

By following this guide, you can make the right decision when choosing a tax accountant, and we hope that decision is us, Grow Advisory Group. Contact us today to book a meeting to discuss your tax accounting needs.