Have you ever realized that there are issues in your previous tax returns after the lodgment? Have you ever pondered at the question as to whether your tax return is really being maximized, or you did not get the maximum refund as your deserve.
When we see an accountant to do the tax return, most of us would be happy to see there are some refund, especially if it is more than last year. However, what if someone told you that you would be able to get additional three to four thousand dollars back legally by adding some additional figures in the tax return which your accountant had completely missed.
The key questions are how would you know which figures to add, and whether it is possible to change the prior tax returns, and by how many years.
Good news, it is possible that you can reverse your mistakes and get more tax refund by requesting an amended return. Simply follow the process as stated by ATO and you can get the maximum tax refund for prior year tax returns which you deserve.
If you are wondering what time frame is applicable to you and whether you are eligible to apply for tax amendments, the most trusted source to refer to Income Tax Assessment Act 1936 Section 170.
According to ITAA 1936 Sect 170, tax amendments can be made within 2 to 4 years after the day on which the taxpayer was given notice of assessment. However, there are legislations in the tax act, and if you find an accountants or tax agents who are tax expert in Sydney or Adelaide, and know what they are doing, then they would be able to write to the commissioner of Taxation and request amendments to be done outside to the 2 or 4 years time frame. We as the tax agent and accountant in Ashfield Sydney and Adelaide pride ourselves as the leading tax expert in the area, and we would try to maximise the tax refund for our client and under most cases, we would be able to write in to the Commissioner of Taxation and get amendments to be approved for prior years. However, it is vital that you see a tax expert in Sydney and/or Adelaide to ensure the objection process is done properly, as if it is done wrong, you will blow that chances of getting the amendments for prior years to get those extra refund back.
Let us share with you a real example. A client called Trump approached us a few weeks ago, asking us to complete the FY2016 tax return, when we had finalized his tax return, we noticed that Trump does not have a depreciation report for the investment property near New Castle, we then analyzed the prior tax returns and noticed that that there were no depreciation expense for the rental property as well. We asked the questions to Trump, and Trump’s reply was such that the prior accountant said it was not necessary, as the building is old, and there will be no much depreciation, hence it will be completely a waste of money. As Trump is not a tax expert, he just followed the advice of the then accountant.
Upon hearing this, we then engaged a professional Quantitative Surveyor and before Trump engaged the firm to do the depreciation report, the Quantitative Surveyor was professional enough to give us an estimate, and the result really surprises the client.
The Quantitative Surveyor was able to produce around $5,000 for FY2013, $5000 for Fy2014, $5000 for Fy2015 and $5000 for Fy2016.
As you can see from the table, by including the depreciation expense for the Fy2015 and Fy2016, TRUMP would be able to get a total additional refund of $2,752, that is on top of the existing refund of $6,706.
However, given that the Fy2013 and Fy2014 are outside of the amendment period of 2 years, then normally the client will lost around $2,826 of more tax refund in those periods.
In this circumstances, if you had found a tax expert in Sydney who is well versed in the tax legislation, then he will be able to apply certain legislation in the tax act and write in an objection based on reasonable basis to the Commissioner of Taxation and amend the tax returns for Fy2013 and Fy2014, and by doing that you would be able to get those additional $2,826 more refund. Won’t you be happy with that.
There are other ways in which a tax expert in Sydney and Adelaide would be able to help you to maximize the refund, for example, in our experience, we as the tax agent and accountant in Ashfield Sydney and Adelaide had helped clients to identify that the Quantitative Surveyor Report was done wrong, and by engaging a new Quantitative Surveyor we would be able to get more depreciation expense, and thus more refund for the current financial year and prior years.
In other instance, we as the tax agent in Ashfield Sydney and Adelaide had helped a small business operator to claim more deductible business expense for prior financial years up to $10,000 each year, and across the board, he was getting all together $7,000 more refund for the 4 years period, not a bad achievement for changing the tax agent to EndureGo Tax, the tax expert in Adelaide and Sydney.
Our aim is simple to help you to maximize your refund now and even for the past lodged prior tax returns.
Hence if you always have the doubt that your prior tax returns weren’t being maximized, please give us a call on 0410-829-900 or visit us at our online booking form at https://www.endurego.com/online-booking/, hence we can take 15 to 20 minutes to review your prior year tax returns, and see ways to maximize your tax refund even for the past periods. We would love to see your smiling and happy face after the 15 minutes consult, hence please pick the phone up and call us on 0410-829-900.