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This article was written in consultation with the Institute of Chartered Accountants of New Zealand and explains some of the benefits of having a tax agent and how to go about choosing one.

Please note that in New Zealand there are two professional bodies for tax agents:
1. the Institute of Chartered Accountants of New Zealand (website: www.icanz.co.nz)
2. the Taxation Institute of New Zealand (website: www.tinz.co.nz).

Getting professional help with your tax return
"I love my job, but I hate the paper work. I hate doing my taxes." - plumber

/> "I love doing tax returns but I haven't a clue about fixing a leak." - tax agent

Everyone should stick to doing what they are good at. Many home business operators dislike doing their taxes and worry about getting them wrong. The penalties for getting your tax wrong or being late in payments are high. Frankly, your time is better spent doing what you do best.

Tax agents
Tax agents get special recognition from Inland Revenue because they do so many returns. You can expect your tax agent to be on top of tax law in just the same way that you are expert in your field. This means that a tax agent will:

• have a better understanding of how the tax law applies to your business
• help you get all your deductions so that you save money
• help you comply with your tax obligations so that you do not incur penalties and interest
• save you time, freeing you up to concentrate on your business
• have different rules about the dates by which tax returns must be filed with Inland Revenue.

Finding a tax agent
The best way to find a tax agent is the same as finding any other business. It is fine to look in the Yellow Pages but in addition to that you need to ask around. Ask people who you respect and who you think run a good business operation. Find out who does their tax work and what they like about them.

Visit a few of the tax agents whose names come up so that you can see what they are like. Most tax agents will happily meet you for 20 minutes to half an hour to discuss them doing your work. This is your chance for both of you to size each other up. Usually it will be done at no charge but you should discuss this when you ring to make an appointment.

At the meeting…

• Check whether the tax agent has experience dealing with businesses of your size and type.
• Ask to meet the person who will actually be doing your work. You want to check that you will get on and that they seem to know what they are doing.
• Consider whether you are comfortable with the tax agent. You are going to be working together but the communications will often be by phone, email and fax.
• Ask what they will expect of you and find out what you can expect from them.

How much will a tax agent cost?
The amount paid to have your returns prepared is a part of your business costs so it is tax deductible.