Company tax return cost in Australia: what goes into the fee for a Pty Ltd

A company tax return costs more than a sole trader's return because it is never just one form. For a small Australian proprietary company, the accountant usually prepares financial statements, reconciles accounting profit to taxable income, works out the tax payable and franking account, checks loans and payments to the director under Division 7A, prepares the company tax return, and then the director's own individual return. Most quotes also cover the ASIC annual review. Whether the total is modest or large depends on how clean the company's books are and how many related entities sit around it.

This guide is part of the small business accountant fees overview. Figures are illustrative.

The work behind a company return

Why companies are priced higher than sole traders

A sole trader's business income goes on the individual return with a business schedule. A company is a separate taxpayer with its own tax file number, its own return and its own obligations under the Corporations Act 2001. Money moving between the company and the director is the most common source of extra work: if the director takes cash out without it being treated as salary, a dividend or a properly documented loan, the accountant has to deal with it at year end, often under Division 7A of the Income Tax Assessment Act 1936. That can mean drafting a written loan agreement and calculating minimum yearly repayments.

The tax rate also needs checking each year. A company that is a base rate entity pays 25%; others pay 30%. Broadly, a base rate entity has aggregated turnover under $50 million and no more than 80% of its assessable income is base rate entity passive income such as interest, rent or dividends. A company with mostly passive income can therefore pay 30% even if it is small, which also changes the maximum franking rate on its dividends.

Government fees that sit beside the accountant's fee

These are paid regardless of who does the work:

• ASIC annual review fee for a proprietary company. According to business.gov.au, it rose from $329 to $342 from 1 July 2026. ASIC indexes its fees each year, so check ASIC for the amount on your invoice.
• Late fees if the annual review fee is not paid by its due date, or if company details are not updated on time.
• Your accounting software subscription, if the accountant does not supply it.

Directors must also pass a solvency resolution each year after the review date unless the company lodges a negative solvency statement. Many accountants include the paperwork in their company secretarial fee.

Worked example: one company, one director

An illustrative trading company with one director, no employees, books kept in software with bank feeds:

Now assume the bank account has six months of unreconciled transactions and the director paid personal costs from the company account. Add, illustratively, 8 hours of clean-up and 2 hours of Division 7A work at $180: another $1,800. The same company now costs about $5,000. Use the fee estimator to try your own hours.

Add-ons that commonly appear on the invoice

• ATO correspondence and amended returns.
• Payroll set-up and STP if the company hires its first employee.
• Trust distributions where a family trust owns the shares; see the company and trust worked example.
• Tax planning meetings before 30 June.
• Loss carry back analysis. Business.gov.au described loss carry back as returning from 1 July 2026, and the 2026–27 Budget proposed extending it to companies with turnover up to $1 billion. Confirm the enacted rules with your agent before relying on a refund.

How to keep a company return inexpensive

1. Reconcile every account monthly; see software and automation.
2. Pay the director through payroll or documented dividends, not ad hoc transfers.
3. Keep an asset register with invoices for purchases.
4. Answer the accountant's year-end questionnaire completely, once.
5. Agree a fixed fee for a defined scope; see fixed fee vs hourly.

Frequently asked questions

Does a small proprietary company have to lodge financial statements with ASIC?

Generally not, unless it is directed to by shareholders or ASIC, is controlled by a foreign company in some cases, or falls outside the small proprietary company tests. It still needs statements for tax purposes. Check ASIC's guidance if your company is growing.

Can I lodge my own company tax return?

A company can lodge its own return, but most use a registered tax agent because of the reconciliation and Division 7A work, and because agent lodgement programs can give later due dates.

When is the company tax return due?

It depends on the company's size, its lodgement history and whether a tax agent lodges it. Your agent will tell you the date on their lodgement program; the ATO publishes the rules.

Is a dormant company cheaper?

Usually, but it still has an ASIC annual review fee and may need a return or a non-lodgement advice. Ask whether deregistering is cheaper than maintaining it.

Sources and where to check

• ASIC — annual review fee, solvency resolution, small proprietary company rules
• Australian Taxation Office — company tax rates, base rate entity test, Division 7A
• business.gov.au — 1 July 2026 changes, including indexed ASIC fees
• Tax Practitioners Board — confirm your accountant is a registered tax agent
• Federal Register of Legislation — Corporations Act 2001 and Income Tax Assessment Act 1936