Tax Return Tips and Consequence of Tax Audit Risks

Have you done your tax return for FY2018, if you have not done it, do you know that the due date to do the tax return by yourself falls on 31 October, if you would like to save tax, see ways to maximize your tax position, or tax refund, you should give us a call, as one of the most professional and trustworthy accountant and tax agent in Ashfield Sydney and Adelaide South Australia, it is our job to help you to do your tax return, see ways to maximize your tax refund, and also to educate you and ensure your tax return is compliance and minimize tax audit risk.

tax audit risk

Tips on how to prepare a good tax return

Remember the tax return or tax lodgement due date of the 2018 tax return was over on 31 October.

However, so many people overlook their tax obligations and never wonder why they find themselves in big trouble when they receive a tax penalty letter from the ATO. This unnecessary hassle can be well-controlled and handled properly before such a scary penalty or even a court prosecution knocks on the door. If you have received a letter from ATO asking you to explain certain issues in the tax return, please do not panic, please pick up the phone and give us a call at 0410-829-900, speak to John and one of our experienced CPA-qualified accountants will be there to help you with the tax audit, and to minimize the tax audit risk.

Working with several panic clients failing to meet their tax obligations, I have learned some of the common naive excuses that can be avoided.

  • Forget to lodge a tax return on time because of a busy schedule
  • Misunderstand deduction rules or apply incorrect deduction method which results in under-claim over-claim of deduction or under-claim of income.
  • Forgot to include foreign income, especially foreign capital gains income
  • If your family overseas gave you money regularly as a living allowance, sometimes it is necessary to include it in the area of target foreign income, remember it is better to over-include than not include it, as it might lead you into tax audit trouble.
  • Assume that a tax return will automatically be resolved by itself over time.

Those excuses will lead taxpayers to a dangerous zone of their tax compliance which attracts either penalty taxes or tax offenses under the Crimes (Taxation Offences) Act 1980.

It is said that “prevention is better than cure”. Do not bury your head in the sand because it will not go away by itself. Taxpayers can contact an accountant to resolve this issue before the matter burns their fingers. Interestingly, with good strategies and experience, I have resolved a tax offense case in which the client was prosecuted with either a $50,000 fine or 2 years of imprisonment caused by assumptions.

If you have any doubts about your tax obligation position, stay away from assumptions and hearsay, and contact a professional accountant who can save your money or even your freedom.

Remember please talk to one of the most professional and trustworthy accountants and tax agents in Ashfield Sydney and Adelaide South Australia to help you to minimize the tax position, maximize the legally entitled tax refund, and at the same time, help you to become compliance, and minimize potential tax audit risk. Please give John a call at 0410-829-900, or email hello@endurego.com