When do I need an accountant vs DIY tax in Australia (2026)

The Finance Desk · Editorial team, accountants + mortgage brokers + financial planners + conveyancers · Updated 6 June 2026 · How we rank · Editorial standards

MyTax is fine for simple PAYG salary returns. You need an accountant once you have investment property, share trading, business income, trust structures, foreign income, or major life events like starting a business or divorce. The fee usually pays for itself via deductions you would otherwise miss or misclaim.

★Key takeaways

  • ✓MyTax handles simple PAYG returns competently and for free.
  • ✓You need an accountant when you have: investment property, share trading, business income, trust structures, foreign income, or major life events.
  • ✓Typical accountant fees ($150-$600 for individual) are usually offset by missed deductions in DIY returns.
  • ✓Online services (Etax, H&R Block) sit between MyTax and full accountant.
  • ✓Trigger events that justify switching to an accountant: starting business, buying property, divorce, inheritance, retirement planning.

The honest DIY test

Use MyTax (free, ATO) if ALL of these apply:

  • Single PAYG employer (or simple multiple PAYG employers)
  • No investment properties
  • No share trading or significant dividend income
  • No business or side hustle income
  • No trust distributions or partnership income
  • No foreign income
  • No major one-off events (capital gains, inheritance, business sale)
  • You are comfortable with basic work-related deduction rules

If even one of these does not apply, an accountant becomes worth considering. Use the trigger events list below as a check.

When you genuinely need an accountant

These situations have enough complexity that DIY is materially more expensive than an accountant fee (in lost deductions, incorrect lodgement, or ATO disputes):

Investment property

Depreciation schedules, repair vs capital improvement distinction, interest deductibility on offset accounts, negative gearing optimisation, CGT main residence exemption rules. Easy to miss thousands in legitimate deductions or claim impermissible items. Accountant fee ($300-$500) typically pays back 5-10x in correct deduction handling.

Share trading and CGT

Average cost base calculations across multiple parcels, franking credits, foreign income on international shares, employee share schemes, dividend reinvestment plan tracking. CGT is complex and DIY errors here are common ATO audit triggers.

Small business or side hustle

Once you cross the GST threshold ($75,000 turnover for most businesses), BAS lodgement and quarterly compliance become a real workload. Even sub-threshold side businesses benefit from professional categorisation of business expenses, depreciation schedules, and home office claims.

Trust or company structure

Discretionary trusts, family trusts, Pty Ltd entities have their own tax returns plus beneficiary distributions or director taxation. The compliance work alone justifies professional help; the strategy work (distribution decisions, dividend planning, structure optimisation) can save tens of thousands annually.

Foreign income or assets

Foreign tax credits, FIF (foreign investment fund) rules, currency conversion, foreign superannuation, double tax agreements. Specialist territory where DIY is dangerous.

Major life events

  • Buying first investment property. Get depreciation schedule + professional first return.
  • Starting a business. Structure choice, GST registration, BAS rhythm setup.
  • Divorce or separation. Asset transfers, CGT events, family law implications.
  • Inheritance. Trust establishment, CGT cost base resets, distribution planning.
  • Leaving or arriving in Australia. Residency status changes, foreign income implications, pre-departure tax planning.
  • Receiving share options or RSUs. Employee share scheme rules, vesting tax events.
  • Setting up a SMSF. Complex compliance requirements; specialist SMSF accountant essential.
  • Approaching retirement. Transition-to-retirement, super contribution caps, pension strategies.

DIY pitfalls that cost real money

  • Missing work-from-home claims. Most employees can claim something; calculation method choice matters.
  • Incorrect motor vehicle deduction method. Logbook vs cents-per-km choice depends on usage pattern; the wrong choice costs hundreds.
  • Missing investment property depreciation. Quantity surveyor report ($600-$900) typically returns $10,000+ in deductions across the holding period.
  • Misclassifying capital vs revenue. Renovating a rental property vs maintaining it has very different tax treatment.
  • Forgetting franking credits. Particularly for retirees on low income, franking refunds can be substantial.
  • Wrong CGT method. Discount method vs indexation method, applicable based on holding period and asset type.
  • Missing deductible super contributions. Personal deductible contributions up to the concessional contribution cap reduce taxable income immediately — see ATO concessional contributions cap for the current limit.

When online services (Etax, H&R Block) make sense

Middle ground for people who want some professional review without full accountant fees. Typical pricing: $30-$120 for individual return. Suitable when:

  • Your return is more complex than MyTax handles well, but not extremely complex
  • You want a deduction review without a full advisory relationship
  • You are first-time-self-employed and want guidance through the process
  • You moved between employers or had a change in circumstance

Online services are NOT suitable for: trust structures, multi-property investors, share traders with significant volume, foreign income, business with substantial expenses. For those, use a proper CPA or CA.

Cost-benefit framework

For an accountant to pay for themselves, they need to deliver at least their fee in tax savings or risk reduction. For a $400 individual return, the accountant needs to find $400+ in legitimate deductions or correct categorisations you would have missed.

For most people with even modest complexity (one investment property, share portfolio, work-from-home claims), this is easily achieved. For genuinely simple PAYG-only returns, it’s often not.

Sources

Information in this article is general and current as at 19 May 2026. Verify with a TPB-registered tax agent or the linked ATO pages before relying on it.

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Common questions

DIY vs accountant: frequently asked questions

Can I do my tax myself with MyTax?

Yes, ATO MyTax is free and handles basic returns well. Suitable for: PAYG salary, simple work deductions, donations, interest income, single employer, no business or investment property. Becomes inadequate when you have multiple income sources, deductions need professional judgement, or complex situations like CGT events.

How much do I save by doing my own tax?

You save the accountant fee ($150-$600 for typical individual). But you may MISS deductions or claim incorrectly. The most common DIY mistakes cost more than the accountant fee would have. For genuinely simple returns, MyTax is fine. For complex ones, the accountant pays for themselves.

Will an accountant find me more deductions?

Often yes, particularly for investment property, share portfolio, work-from-home claims, motor vehicle expenses, and home office. A good accountant knows which deductions you are likely to qualify for based on your occupation and circumstances, and which substantiation will satisfy ATO scrutiny.

What about online tax services (Etax, H&R Block)?

Online services sit between MyTax and a full accountant. Lower cost ($30-$120), basic guidance, some deduction checking. Suitable for moderately complex returns where you want some review but cannot justify a full accountant. Less competent than a proper CPA/CA for genuinely complex situations.

How long does an accountant take to do my tax?

Once you provide all documents, a typical individual return takes 1-2 weeks turnaround. Complex returns (multiple investment properties, trust structures) can take 3-4 weeks. Accountants spread the work across the year; July-October is their busy period for individual returns.

Will the ATO audit me less if I use an accountant?

Indirectly yes. The ATO does not flag returns just because they are DIY, but accountant-prepared returns typically have better substantiation, fewer errors, and proper deduction categorisation, which reduces audit risk. See ATO Taxation Statistics for current return integrity figures.

When should I switch from DIY to using an accountant?

Trigger events: starting a business or side hustle, buying an investment property, inheriting assets, divorce or separation, leaving Australia, foreign income, receiving share options, starting a SMSF, retirement planning. Any of these complicate tax meaningfully and the accountant pays for themselves through correct treatment.

What questions should I ask before engaging an accountant?

Are you CPA, CA, or TPB-registered? Do you specialise in my situation (e.g., property investors, contractors, SMEs)? What is your fixed fee for my expected scope? What is included vs excluded? When will my tax return be lodged? Do you offer cloud accounting setup? What is your response time for queries?