5 Ways A Property Tax Specialist Can Help Increase Returns, Lower Taxes and Protect Assets

5 Ways A Property Tax Specialist Can Help Increase Returns, Lower Taxes and Protect Assets

1 Jan, 2024 By: Lotus Smart
5 Ways A Property Tax Specialist Can Help Increase Returns, Lower Taxes and Protect Assets

Are you a resident of Australia? Well, we’ve got some news for you.

Australia has one of the highest property tax rates in the world. The average annual property tax for 2022/2023 is set at $400 along with 0.3% of the assessed value of the land. Alternatively, if it’s a residential investment, the tax rate is set at $1,500 along with 1.1% of the land’s value.

With so much money involved, carefully planning property purchases can save you thousands of dollars each year.

What is Property Tax?

Property tax is a type of tax that is levied on real estate, such as land and buildings. It is usually based on the property’s value and is assessed and collected by local governments such as cities, towns, counties, or states. Property tax revenue is typically used to fund local services such as schools, police, and fire protection.

Property tax is typically calculated as a percentage of the property’s value, and the rate varies according to location and type of property. It is usually paid once a year, and failure to do so may result in the property being sold at a tax sale to cover the unpaid taxes.

Who is a Property Tax Specialist? 

A property tax specialist is an experienced consultant with in-depth knowledge and understanding of properties and the taxes associated with them. They offer expert tax advice, including how to structure a property portfolio to maximize returns and minimize tax. 

Furthermore, they help clients in reducing the risks and costs associated with incomplete, incorrect, or late property tax filings, as well as pursue exemptions, abatements, and other tax mitigation opportunities. In case of Property disputes, it is important to seek experienced property lawyers as soon as possible to avoid complications. 

When to Hire a Property Tax Specialist?

It is advised that individuals and small businesses seek advice when analyzing a buy, hold, or sell transaction in order to avoid making expensive mistakes. Since property ownership and loan structure decisions can have a significant impact on financial outcomes, speaking with an experienced property tax specialist prior to beginning a property search allows the tax accountant to get to know you or your small business. They will be able to offer thoughtful and tailored advice for your situation once they have a better understanding of your financial situation and your long-term objectives.

How Can a Tax Accountant Help You?

Hiring a professional for a job is always a good idea. But it is especially essential when it comes to saving tens of thousands of dollars. The following are some ways in which a qualified tax accountant can assist their clients:

  • Advice on property tax laws and regulations

A tax specialist can help individuals and small business owners understand the rules and regulations governing property taxes in their area, including any exemptions or deductions that may be available to them.

  • Assist with property tax appeals

If a property owner believes that their property has been assessed at an excessively high value, a property tax specialist can assist them in filing an appeal to challenge the assessment.

  • Help lower property tax bills

A tax specialist can help individuals and small businesses find ways to lower their property tax bills, such as by identifying exemptions or deductions or helping negotiate with the local tax assessor.

  • Property tax payment guidance and assistance

A property tax specialist can help their clients understand their property tax payment options and deadlines and assist with payment if necessary.

  • Assistance with property tax disputes

If individuals are involved in a property tax dispute, a tax specialist can provide guidance on the best action and represent their interests in negotiations or legal proceedings.

Investing in properties without careful planning and consideration may result in missing out on deductions, losing money when you sell, or being hit with an unexpected tax bill. The keys to successful property investing are structuring property ownership and loans to maximize returns while minimizing tax and risk. An expert tax accountant can help you with all of this and more!

Looking for experienced Property Tax Specialists in Melbourne? Lotus Smart has a team of highly skilled tax accountants dedicated to providing top-notch professional services to clients all over Australia. Call Now for a free consultation….!

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