QLD Tax Agent Cost Me More than $30,000 in ATO Fines?

[maurice kezic]

Hi, in January this year I received a letter from the ATO advising me that I had until 20 February to submit tax for the years ending 2011/2012/2013, so I engaged a tax firm and gave them all of my stats relevant for those years.

I tried to contact him on at least a dozen occasions unsuccessfully. Then on 1 April, 2 days before Easter, I managed to speak to him and he informed me that the returns were finished and he would call me the very next day with the results... that call never came.

Next, I received an email dated 26 May stating that our agreed price of $249 had risen to $660. I replied and agreed to the price. Then I received an email requesting further information, like income for the years ending 2011 & 2012, plus deductions for truck & trailer repairs.

Tax agent took over 6 months to finalise my tax return, costing me $30,000+ for ATO late payment fines and their own assessments and interest charges..

What can I do? Is the tax agent at fault?

 

[Sophea]

Hi Maurice,
Its difficult to say without detailed information about what actually occurred. I would send your accountant a "please explain" letter and allow them to provide an account of what occurred and why you ended up incurring the inflated charges. Then go from there.

 

[Tiphino]

it is also very inefficient having yourself placed as a middleman in the e-mail/snailmail Correspondence chain. Get your Tax Agent to have himself made the sole means of direct communications with the ATO. Leave things as they are and the Agent can start blaming you for holding up proceedings - if you don't get information passed to him immediately. Also, having the Agent himself at the coalface against the ATO makes him the sole visible slow-point in getting things done. You can also keep a check on him (the Agent) by accessing your ATO correspondence settings, via your MyGov account