How to choose a small business accountant in Australia: a checklist for comparing quotes

Choose an accountant in this order: confirm registration on the Tax Practitioners Board register, define the scope (every entity, return, BAS and service you need), get two or three written quotes on that same scope, check the assumptions behind each price, and only then compare cost and fit. Most bad experiences come from skipping the scope step, so that quotes cannot be compared, or from appointing someone not registered for the work. The checklist below, and the matching interactive checklist tool, walk through each step.

This is the overview guide for the worked quotes section. The examples it links to use illustrative figures.

Step 1: Write down what you need

Before calling anyone, list:

Item	Your answer
Structure	Sole trader, partnership, company, trust, or a group
Entities and returns	Each entity needing a return, plus individuals
GST and BAS	Registered? Quarterly or monthly?
Employees	Number, award coverage, STP and Payday Super
Bookkeeping	Who does it now and in which software
Industry reporting	Taxable payments annual report, fuel tax credits, payroll tax
States	Where you have employees (payroll tax and workers compensation are state-based)
Advice wanted	Planning meetings, cash flow, finance, restructure
Problem areas	Late lodgements, ATO debt, messy past years

This list becomes the scope you send to each firm. For how scope changes the price, see the fees overview.

Step 2: Check registration and fit

Search the TPB register for each practitioner and note whether they are a tax agent or BAS agent. Only a tax agent can prepare your income tax returns for a fee. See bookkeeper vs BAS agent vs tax agent.
Ask about experience with your industry and structure. A practice that mainly does individual returns may not be the best fit for a company with employees in two states.
Ask who will do the work. Partner, manager or junior staff, and who reviews it.
Ask about professional body membership and professional indemnity insurance.

Step 3: Get comparable quotes

Send the same scope to each firm and ask for:

A price for each item, or a package with a list of inclusions.
The pricing model (fixed, hourly or monthly) and what triggers extra charges. See fixed fee vs hourly.
The assumptions about your records.
Whether GST is included.
Software requirements and who pays for the subscription.
The draft engagement letter. See what the engagement letter should cover.

Step 4: Compare on total yearly cost

Put the quotes in one table, adding anything a quote excludes at a realistic cost.

	Firm 1	Firm 2	Firm 3
Year-end statements and returns
BAS (number × price)
Payroll / STP / super support
ASIC and secretarial
Software
Advice included
Excluded items added at estimated cost
Total for a normal year

Use the annual fee estimator to check whether a quote's implied hours look realistic. The worked examples show the arithmetic for a sole trader and for a company with a family trust.

Step 5: Decide what you will do yourself

If you are organised, doing your own bookkeeping, or automating it, can cut the fee substantially. If not, it can increase it through clean-up charges. Work out where the line is for you with the DIY vs accountant break-even guide and the automation worked example.

Step 6: Appoint and hand over properly

Sign the engagement letter only once the scope matches your list.
Nominate the agent through the ATO's online services for business, or as the new agent asks.
Give the accountant their own user login in your software.
If you are leaving another practice, follow the switching accountants guide.

Questions for the first meeting

A short first meeting tells you more than a website. Useful questions:

"What do you need from me each quarter and at year end, and by when?"
"How do you tell clients about deadlines, ATO letters and law changes?"
"Who answers my questions during the year, and how quickly?"
"What would you change about how my books are kept now?"
"How did Payday Super change the work you do for employers like me?"
"If I leave, how do I get my records and software file back?"

Listen for specific answers. A firm that asks to see your last return, BAS and a few months of bank reconciliations before quoting is pricing your real workload, which usually means fewer surprises later. A firm that quotes a price over the phone without seeing anything is quoting an average client, and you may not be average.

Red flags

The adviser is not on the TPB register but offers to lodge returns or BAS for a fee.
They promise a refund amount before seeing your records.
They want your myGov password instead of being linked as your agent.
They will not put the scope or price in writing.
They want refunds paid into their own account without a clear written arrangement.

If something goes wrong, the complaints guide explains where to go.

Frequently asked questions

How many quotes should I get?

Two or three, on identical scope, is usually enough to see the range and the different assumptions.

Is a local accountant better than an online firm?

Neither is better in general. Local firms can suit owners who want face-to-face meetings; online firms can suit standardised work with clean data. Compare scope, registration and how advice is provided.

Should I choose the cheapest quote?

Only if the scope and assumptions are the same as the others. A low quote that excludes BAS or assumes reconciled books can cost more in the end.

Do I need a specialist for my industry?

It helps for industries with particular rules, such as building and construction (taxable payments reporting), primary production or businesses with fuel tax credits.

Sources and where to check

Tax Practitioners Board — register search and guidance on choosing a registered agent
business.gov.au — finding and working with an adviser
Australian Taxation Office — linking a tax agent and your lodgement obligations
Australian Small Business and Family Enterprise Ombudsman — small business support and dispute help