The Australian Taxation Office has set its sights on the real estate industry warning agents that it will scrutinise work related expense claims and other deductions.
Tax Commissioner Michael D'Ascenzo said real estate professionals will be targeted this financial year due to the industry being considered a high risk of wrongfully claimed work related expenses.
“We have found people in these industries are at higher risk of getting their work-related expense claims wrong due to the type of deductions they are entitled to claim, such as motor vehicle and travel expenses,” he said.
Speaking to Real Estate Business however, Real Estate Industry of Australia’s president David Airey said agents have very little need for concern so long as they hire a good tax consultant.
“All agents should essentially be employing a good tax agent to claim every possible legitimate deduction,” Mr Airey said.
“So long as agents are making sure that their affairs are in order and that they are claiming every possible legitimate reduction there is little need for concern.”