The number of people using tax agents has not declined, despite the launch of the new MyTax portal earlier this year allowing for an easier and less complex way of lodging simple returns.
According to the Institute of Public Accountants, registered tax agents are still in high demand with no reduction in the overall number of taxpayers using them.
The MyTax portal is a streamlined tax return system for people with straightforward tax affairs allowing an individual to complete their return on a tablet, smartphone or computer.
It was launched by the government on July 1 and was promoted as an “online and substantially pre-prepared tax return for people without complex tax affairs”.
It was thought that millions of taxpayers would now only need to “review or change” pre-filled information before lodging the return. In October, the ATO encouraged self lodgers to use the new portal to complete their returns with Assistant Commissioner Karen Anstis saying the agency had received “overwhelmingly positive” feedback.
However, the IPA finds that while some individuals who lodged paper returns and who used the traditional E-Tax system have migrated to the MyTax platform, the overall numbers using agents has not declined.
“While the process for lodging simple tax returns is becoming more streamlined with pre-filling, taxpayers are still turning to their tax agent and public accountant to organise their affairs as part of their annual tax health check,” said IPA chief executive officer, Andrew Conway. “Historically more than 70 per cent of the public use a tax agent as their trusted adviser and this remains the case today”.
“Consumers are realising that sound tax planning by a registered tax agent is an integral part of a broader strategic financial plan which can deliver real returns for wealth creation, succession planning or a comfortable retirement.”
