Individual Tax Returns
Under professional guidance, a client recouped over $6,000 in tax refunds
Background: Mary, a private school teacher, managed two investment properties on her own and handled her annual tax returns. Seemingly straightforward, she believed she could complete them independently. However, in 2020, she received an inquiry letter from the ATO questioning an expense for one of her investment properties listed in her tax return for the past two years.
Challenge: Having never dealt with the ATO before, Mary was perplexed. She had always reported all income and expenses accurately, so why was she under scrutiny? Doubting whether she might have inadvertently entered incorrect information, she decided to seek professional tax agents for assistance and guidance.
Our Approach: Referred by a friend, Mary turned to us. After a careful review of her tax returns for the past two years, we discovered that in the "sundry expenses" section, Mary had mistakenly included several thousand dollars of depreciation expenses without specific notes. This amount exceeded the ATO's normal acceptance range and was therefore questioned. Further comparison with the depreciation report revealed that due to her unfamiliarity with its content, she had used incorrect figures (which actually should have been higher).
Outcome: We corrected Mary's tax returns for 2018-2020, rectified the depreciation expenses, and promptly responded to the ATO's inquiries. As a result of the adjusted depreciation amount being higher, Mary received an additional tax refund of $6,739.51 from the correction over three years.
Conclusion: At Standard Accounting Firm, we are committed to providing precise and professional tax services to ensure our clients receive every penny they're entitled to. This success story reaffirms our dedication to serving our clients' interests, preventing unnecessary complications, and offering robust support for their financial security.
