Newsletter
February 2019 Newsletter
90,000 taxpayers tipped to be worse-off after the $3,000 tax advice cap
With the new introduction of the tax cap on tax advisors managing your deductions, it is said to affect over 90,000 taxpayers. It means that individuals and small business who submit their tax returns through tax agents will be affected, potentially causing problems for the amount of profits they can retain.
This cap will have implications on tax advisors who will now be forced to reduce costs or claims from $3,000+ to less than that amount. A drawback from the tax cap becoming $3,000, will result in tax payers not willing to spend money on paying a tax accountant and running the risk of doing it on their own to try and get more back from their tax return.
A simple blanket limit of $3,000 that can be claimed back from doing your return at tax advisors is simply not appropriate as each claim should be evaluated individually for each tax payer or business.
Source – Read the full article at Accountants Daily: https://www.accountantsdaily.com.au/tax-compliance/12534-90-000-taxpayers-tipped-to-be-worse-off-in-outrageous-3k-tax-advice-cap