Can you claim a tax deduction for tax agent fees?

You can claim for:

• costs associated with preparing and lodging your tax return and activity statements, which includes:    

- lodging your tax return through a registered tax agent

- getting tax advice from a recognised tax adviser (a registered tax agent, barrister or solicitor)

- dealing with the ATO about your tax affairs

- buying software that allows you to prepare and lodge your tax return (you can only claim a portion of the cost if you also use the software for other purposes)

- buying tax reference material

- tax return preparation courses

• travel costs to get tax advice – such as the travel costs of attending a meeting with a recognised tax adviser
• litigation costs, including court and Administrative Appeals Tribunal fees, and solicitor, barrister and other legal costs
• the cost of a valuation for a deductible gift or donation of property, or for a deduction for entering into a conservation covenant
• a deduction for certain interest the ATO imposes or charges
• some fees you incur when you pay your tax obligations by card, such as:

- credit and debit card fees for a business tax liability – for example, GST
- debit card fees when paying an individual tax liability

• costs to comply with your legal obligations for another person's (or other entity's) tax affairs.

If you receive a single invoice for preparing your tax returns and the tax return is also for your spouse, you will need to split the fees you incur. In addition, you must also:

• be able to show how you work out the cost for each
• keep evidence to support the deduction you claim.

How we can help

If you pre-pay for your tax return before the 30th of June, you can claim the deduction this financial year and don't have to wait until the next year to do it.

Contact us today on 1300 513 332 or email us here and we’ll be glad to help with all of your tax, accounting, bookkeeping and payroll needs.

Date published 22 May 2024 | Last updated 22 May 2024

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.