Information That You Can Provide Your Accountant for Calculating Your Tax Returns

Your accountants are specialised in making your expense reports, financial audits, and a few other finance-related information. Most of them may operate independently, and generally offer advice to individuals, or sometimes also operate within a business, and perform the bookkeeping duties. 

Some accountants can also act as your tax agents. However, a tax agent can be a specialist who will lodge your tax return after preparing your account details. Also, they can represent you with the ATO (Australian Tax Office) to help you to get your money back from the tax return.

Bleen is one of the well-known Australian directories for all kinds of service providers from where you can also select your accountant or tax agents.

Accountants vs. tax agents

Tax agents are usually TPB (Tax Practitioners Board) registered accountants, and independent Accountant to prepare tax return as previously stated. Tax agents may be appropriate if you require a very easy tax return or simply do not want to complete that yourself. 

If you own a corporation or are a certain individual with large financial assets, however, an accountant may be required to manage these assets. Accountants, on the whole, will consider the future financial status of their clients, whereas tax agents will never do that.

What information is needed by the accountant to prepare a tax return? 

Your accountant will need the following information for preparing your tax return:

  1. Most recent tax returns

The most recent tax return will contain the basic information your accountant requires to prepare the new tax return. This will just offer them a general sense of what they should be looking for or ask you about your new return.

For example, if you claimed your tax deductions for working from home in your previous fiscal year, they may inquire about your current employment situation.

Similarly, they may be able to spot and correct any discrepancies that develop.

  1. Income statements

This will include all your statements for the super fund and also payment summaries obtained from the government in case you receive any allowances.

  1. Foreign income statements

Also, you must provide income statements for any foreign income, e.g., investments or pension.

  1. Fund statements

You must also prepare account statements obtained from your trusts and fund managers. Try to include statements, which will provide information about various investment assets that either you sold or bought within the financial year under consideration.

  1. Rental property records

Any property that you have rented out or sold one, then ensure that you provide all that information to your accountant to enable him to account for your rental income, capital loss, or capital gain.

  1. Bank statements

This must reflect any kind of income that you received from interest within those fiscal years that are under consideration.

You may need to hire a bookkeeper for this job who will maintain all these details in an appropriate manner that is needed for proper bookkeeping.

How to keep all your receipts legible?

You can keep all your receipts readable by keeping a digital copy just by scanning them. They may remain stored in your local drive, or on your smartphone.