7 Things to Look for When Hiring a Registered Tax Agent in 2025

Are You Looking For a Registered Tax Agent?

You’re in the right place. Let me reveal 7 key things to look for when hiring a registered tax agent. ✅

I don’t think anyone wakes up excited to do their taxes (except maybe, well me). But only because I live in Peru and am lucky enough to work online (ultimate life goal = achieved! 💪).

Let’s be honest—sorting out deductions, dealing with the ATO, and figuring out whether you’re paying too much (or too little) isn’t anyone’s idea of fun.

Cue: sticking pins in your eyes.

Whether you’re a busy professional or a small business owner, you probably have better things to do—like growing your business, spending time with family, or trying to catch up on your favourite Netflix series.

That’s where a tax agent comes in.

A great tax agent can save you hours of frustration, helping you get the most out of your taxes and ensuring you stay on the right side of the law.

But with so many options, how do you choose the right one? What should you look for? And how can you be sure they’ll deliver value?

Let’s break it down so you can make the right choice.

Why You Need a Tax Agent

A tax agent isn’t just someone who lodges your tax return. They bring expertise and insight to help you optimise your finances while ensuring you stay compliant with Australian Taxation Office (ATO) regulations.

Benefits of Hiring a Registered Tax Agent

• Expert Advice: Registered tax agents are experts that understand the intricacies of the tax system and can guide you through complex rules.
• Time-Saving: Preparing your taxes can be time-consuming. A tax agent takes the burden off your shoulders.
• Minimising Errors: Mistakes on your tax return can lead to audits or fines. A professional ensures accuracy.
• Maximising Refunds: Registered tax agents know which deductions and credits you’re eligible for, potentially increasing your refund.
• ATO Representation: If you’re ever audited, your tax agent can liaise with the ATO on your behalf.

What Services Does a Tax Agent Provide?

Registered tax agents offer a wide range of services tailored to individual and business needs. Here’s what they typically handle:

• Tax Return Preparation and Lodgement: They’ll prepare and file your annual tax return accurately and on time.
• Tax Planning: They help you plan ahead to minimise tax liability and maximise savings.
• Business Tax Compliance: For businesses, they manage BAS (Business Activity Statements), GST (Goods and Services Tax), and PAYG (Pay As You Go) obligations.
• Advice on Deductions: They’ll ensure you claim all eligible deductions, from work-related expenses to investment property costs.
• Audit Support: If the ATO audits you, a tax agent can represent you and provide documentation.
• Lodgement Extensions: Registered tax agents can often secure extensions for tax return lodgements.

What to Look for When Hiring a Registered Tax Agent

Finding the right tax agent isn’t just about choosing the closest office or the cheapest option. Here are some key factors to consider:

1. Qualifications and Registration

• Make sure the tax agent is registered with the Tax Practitioners Board (TPB). This ensures they meet professional and ethical standards.
• Look for agents with relevant qualifications, such as a degree in accounting, taxation, or finance.

2. Experience

• Choose a tax agent with experience handling cases similar to yours.
• For individuals, ensure they specialise in personal tax returns. For businesses, find someone familiar with your industry.
• Ask how long they’ve been in practice and whether they’ve dealt with clients of your size or complexity.

3. Local Expertise

• A registered tax agent understands local regulations and industry trends.
• They’re familiar with tax incentives specific to different states, such as small business grants or local tax concessions.

4. Technology and Tools

• Does the tax agent use modern software like Xero, MYOB, or QuickBooks?
• Digital tools make collaboration more efficient and ensure your records are stored securely.

5. Reputation and Reviews

• Look for reviews on Google, Yelp, or other platforms to gauge client satisfaction.
• Ask for referrals from friends or colleagues who’ve had positive experiences with registered tax agents.
• Be cautious of agents with a history of missed deadlines or poor communication.

6. Cost Transparency

• Get a clear understanding of their fee structure upfront.
• Some registered tax agents charge a flat fee for basic services, while others bill hourly or offer packages for businesses.
• Compare prices but avoid choosing solely based on cost—a cheap tax agent may lack the expertise you need.

7. Communication Style

• Find someone who explains complex tax matters in plain English.
• They should be approachable and willing to answer your questions, no matter how basic or detailed.

Questions to Ask Before Hiring a Tax Agent

When you meet with a potential registered tax agent, asking the right questions can help you determine if they’re the right fit. Consider these:

• Are you registered with the Tax Practitioners Board?
  Always verify their registration to ensure they’re authorised to provide tax services.
• What are your areas of expertise?
  Some agents specialise in individual returns, while others focus on business tax.
• What is your fee structure?
  Understand all costs involved, including any hidden fees.
• How do you stay updated on tax laws?
  A good tax agent should be proactive in staying current with ATO regulations and changes.
• What software or tools do you use?
  Ensure their systems align with your needs, especially if you’re already using accounting software.
• Can you provide references?
  Reputable agents should have no issue providing references or testimonials from satisfied clients.

The Cost of Hiring a Registered Tax Agent

The cost of hiring a tax agent varies depending on the complexity of your tax situation and the services you need. Here’s a general idea:

• Individual Tax Returns: $150–$300 for a straightforward return.
• Small Business Tax Returns: $1,000–$5,000 depending on complexity.
• Comprehensive Business Services: $400–$700 per month for ongoing support, including bookkeeping and BAS lodgement.

While these costs may seem high, a skilled tax agent often saves you more money than they charge by maximising deductions and ensuring compliance.

Why Choose an Online Tax Agent?

Australia offers a wealth of tax agents, so working with someone online provides several advantages:

• Online Meetings: It’s easier, faster, and there’s no travelling to an accountant’s office (or getting stuck in traffic).
• Specific Knowledge: By looking online, you can find a registered tax agent who has specialised knowledge (rather than just working with someone local).
• Networking ties: Online tax agents have strong networks within the accounting community, which can be beneficial for referrals or investment advice.

Tips for Working Effectively with Your Registered Tax Agent

Once you’ve hired a tax agent, make the most of the relationship with these tips:

• Keep Records Organised: Maintain clear records of income, expenses, and receipts. This saves time and ensures accuracy.
• Be Transparent: Share all relevant financial details, even if you think they’re minor. Your agent can only help if they have the full picture.
• Ask Questions: Don’t hesitate to ask for clarification on anything you don’t understand.
• Plan Ahead: Meet with your tax agent well before deadlines to avoid last-minute stress.
• Review Reports: Take time to review your tax returns or financial statements to ensure they align with your expectations.

Wrapping Up

Hiring the right tax agent is an investment in your financial health and peace of mind.

Whether you’re filing a simple tax return or navigating complex business structures, the right tax agent will help you save time, reduce stress, and help improve your financial position (very important).

Take the time to research, ask questions, and choose a tax agent who truly understands and aligns with your goals.

Want To Know More?

Looking to hire a registered tax agent? Want the best of the best? Adventure Tax can help. To find out more, book a free call with me here.

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