Tax Return 2025: Should You DIY or Hire an Accountant?

Tax time is back, and so is the annual question: Should you complete your tax return, or hire a professional accountant? This decision isn’t as straightforward as it may seem for many Australians. With changing income, assets, deductions, and eligibility rules, tax returns can range from simple to incredibly complex.

In this blog, we’ll help you decide the best path by exploring the pros and cons of each approach.

What Is a Tax Return?

A tax return is a formal report submitted to the Australian Taxation Office (ATO), declaring your income, deductions, and any taxes paid. The ATO then assesses whether you’ve paid too much tax (and are due a refund) or too little (and owe money).

Whether you’re employed, self-employed, a student, or retired, filing your tax return is a legal obligation if you earn above the tax-free threshold ($18,200 in 2025).

Option 1: Doing Your Tax Return Yourself

Thanks to digital platforms like myTax, many Australians are choosing the DIY route. It’s free, relatively simple for basic returns, and gives you full control.

✅ Pros of DIY Tax Returns

• Cost-effective: No need to pay anyone.
• Convenient: Lodge your return anytime, anywhere.
• Faster refunds: Submissions through myTax are usually processed quickly.

❌ Cons of DIY Tax Returns

• Easy to miss deductions: You might overlook tax-deductible expenses.
• No personalised advice: You may not know how to reduce your taxable income legally.
• Time-consuming: Understanding deductions, offsets, and tax rules takes time and effort.

So, do you need an accountant or can you do it yourself? If your income is straightforward, like a salary with no investments or business income, DIY may work just fine. But if your situation is more complex, professional help could save you money.

Option 2: Hiring an Accountant for Your Tax Return

A qualified tax accountant is trained to navigate the Australian tax system, identify claimable deductions, and ensure compliance. They also stay up to date with changing ATO guidelines.

✅ Benefits of Hiring an Accountant

• Maximise deductions: Accountants can identify expenses you didn’t even know were claimable.
• Reduce audit risk: Lodging through a professional decreases the chance of triggering an ATO review.
• Saves time and stress: Especially helpful if you’re running a business, own property, or have foreign income.
• Strategic advice: You get tailored guidance on tax planning and future financial decisions.

❌ Potential Downsides

• Cost: Hiring a tax accountant isn’t free.
• Turnaround time: During peak season, it may take longer to get an appointment and lodge your return.

Is It Worth Getting an Accountant for a Tax Return?

Yes, in many cases, it is worth it. Especially if you:

• Own multiple income streams or investments.
• Are self-employed or running a business.
• Have rental properties or capital gains from asset sales.
• Want to ensure accuracy and reduce ATO scrutiny.

Hiring an accountant often pays off through larger refunds or better compliance, saving you from costly mistakes.

Do You Get More Tax Back Through an Accountant?

Statistically, many individuals receive a higher refund when they lodge through an accountant. Why? Because accountants know how to legally maximise deductions, from work-related expenses to depreciation on assets and tax offsets.

Even small claims (like home office expenses, vehicle use, or education costs) can add up when handled correctly. So, if you’re wondering, do you get more tax back through an accountant? —The answer is very often yes.

How Much Does an Accountant Cost for a Tax Return?

The cost of hiring an accountant in Australia varies depending on the complexity of your return.

Note: These costs are indicative and can vary based on individual circumstances and the complexity of the tax situation. It’s advisable to consult with a tax professional to obtain a tailored quote.

The good news? The cost of preparing your tax return is itself tax-deductible in the next financial year, so it reduces your taxable income.

Signs You Should Hire an Accountant

Consider hiring a professional if any of these apply to you:

• You changed jobs or had multiple employers.
• You made cryptocurrency transactions.
• You received dividends, royalties, or trust income.
• You’re unsure about what expenses are claimable.

Even if you usually lodge tax returns on your own, speaking to an accountant once every few years can help fine-tune your approach and improve future returns.

So, Should You DIY or Hire an Accountant in 2025?

Here’s a quick decision guide:

The bottom line: If your return is simple, DIY could be the most cost-effective. But if there’s any complexity, hiring an accountant is a smart investment.

Final Thoughts

Doing your tax return in 2025 can be convenient and free, but make sure you fully understand what you’re doing. A mistake today could result in penalties, audits, or missed deductions.

On the other hand, hiring an accountant may cost upfront, but the peace of mind and potential tax savings can more than make up for it.

If you’re still unsure, you can always try preparing your return through myTax first, then consult a professional to review it before lodging.

Partner with Infinity22 for a Smarter Tax Return

Infinity22 goes beyond numbers. Our expert accountants specialise in maximising your tax return, reducing your audit risks, and giving you confidence at tax time. Whether you’re a salaried employee, business owner, investor, or freelancer, we tailor our tax solutions to your situation, so you can focus on what matters most.

Contact Infinity22 today and let our experienced team help you make the most of your 2025 tax return.