Published: August 2025, Updated March 2026
Most Australian business owners know they should have an accountant. Fewer know what separates a good one from an average one, how much they should cost, or whether a chartered accountant is even the right type of professional for what they need.
The result is that many businesses end up with an accountant who does the annual tax return and not much else, or one who charges significantly more than they should for basic compliance work, or one who's qualified but has no experience in their industry.
Finding the right chartered accountant isn't about picking a name from a directory. It's about understanding what you need, what different qualifications actually mean, what to expect in terms of cost and service, and how to tell early whether the relationship is working.
This guide covers all of that, with specific advice for Australian small and medium business owners who want to get real value from their accounting relationship.
A chartered accountant (CA) is a professional who has completed a university degree, passed the Chartered Accountants Program (a postgraduate qualification), completed a minimum of three years of mentored practical experience, and is a member of Chartered Accountants Australia and New Zealand (CA ANZ).
The CA designation is one of the most recognised accounting qualifications in Australia. But it's not the only one, and the designation alone doesn't tell you whether a particular accountant is right for your business.
In practice, chartered accountants provide a range of services depending on their specialisation.
Tax compliance and planning is the most common service for small business clients. This includes preparing annual tax returns (for the company, trust, or partnership, plus the individual directors or partners), calculating tax obligations, advising on deductions and offsets, and lodging with the ATO. Good tax accountants also do forward planning: structuring your affairs to minimise future tax within legal boundaries, advising on the timing of purchases and sales, and keeping you informed about changes to tax law that affect your business.
Business advisory goes beyond tax. This includes advising on business structures (sole trader, partnership, company, trust), reviewing financial performance, assisting with budgets and forecasts, advising on pricing strategy, and helping with major decisions like buying a business, taking on a partner, or restructuring. Not all CAs offer advisory services. Many focus primarily on compliance.
Auditing and assurance is relevant if your business needs audited financial statements (for a bank, investor, or regulatory requirement). Only registered company auditors can conduct statutory audits, and many but not all CAs hold this registration.
Financial planning is offered by some CAs, particularly those who also hold an Australian Financial Services Licence (AFSL) or operate under one. This covers superannuation, investments, insurance, and retirement planning.
ATO representation is a practical benefit. A registered tax agent can represent you in dealings with the ATO, including audits, reviews, and disputes. They can also access lodgement extensions and correspond with the ATO on your behalf.
Three professional bodies dominate the accounting profession in Australia. Understanding the differences helps you evaluate candidates.
Chartered Accountants Australia and New Zealand (CA ANZ) awards the CA designation. Members have completed the CA Program (postgraduate level), three years of mentored experience, and ongoing CPD requirements. CA ANZ is generally considered the most prestigious designation in Australian public practice, though this is partly perception and partly reflects the rigour of the qualification process.
CPA Australia awards the CPA designation. Members have completed a bachelor's degree, the CPA Program (six postgraduate subjects), and three years of practical experience. CPA is equally well-recognised and many excellent accountants hold this designation rather than CA. The practical difference between a CA and a CPA in most business contexts is negligible. Both can be registered tax agents and BAS agents. Both handle the same range of compliance and advisory work.
Institute of Public Accountants (IPA) awards the FIPA (Fellow) and MIPA (Member) designations. IPA members often specialise in small business and SME advisory. The qualification pathway is different (and somewhat shorter) than CA or CPA, but IPA members are fully capable of handling tax compliance, BAS, payroll, and advisory work for small businesses.
The practical takeaway: The professional designation matters less than the individual's experience, specialisation, and fit with your business. A CPA with 15 years of experience in your industry will almost certainly deliver better outcomes than a CA who's two years out of their qualification and has never worked with a business like yours. Focus on capability, not letters.
Beyond qualifications, here's what matters when choosing an accountant for your business.
This is non-negotiable. Any accountant preparing or lodging tax returns on your behalf must be a registered tax agent with the Tax Practitioners Board (TPB). Any accountant preparing or lodging BAS must be a registered BAS agent. You can verify registration at the TPB website.
An accountant who isn't registered is operating outside the law, and their work may not be accepted by the ATO. Always verify.
An accountant who works primarily with tradies will understand progress claims, retention, and contract variations. One who works with hospitality will know award interpretation, tip handling, and seasonal cash flow patterns. One who works with professional services will understand WIP, time billing, and partner distributions.
General competence is a given. Industry-specific knowledge is where the value gets multiplied. Ask specifically: "How many businesses like mine do you currently work with?"
Your accountant should be proficient in the accounting software your business uses (Xero, MYOB, or QuickBooks). If they insist on a manual process or use software you've never heard of, that creates friction every time you need to share data.
Beyond accounting software, a good accountant in 2026 should be comfortable with cloud-based document management, electronic signing, client portals, and real-time data access. If they're still emailing spreadsheets back and forth and posting paper tax returns, their technology is a generation behind.
This is more important than most people realise. A technically excellent accountant who can't explain your tax position in plain English is less useful than a slightly less technical accountant who communicates clearly and proactively.
Look for responsiveness (do they reply to emails within a day or does it take weeks?), clarity (do they explain things without jargon or do they hide behind technical language?), and proactivity (do they reach out when something changes, or do you only hear from them at tax time?).
Accountants charge in three main ways: hourly rates (typically $200 to $500 per hour for a CA in public practice), fixed fees per service (a set price for your annual tax return, BAS, etc.), and retainer arrangements (a monthly fee covering a defined scope of services).
Fixed fees are generally preferable for small businesses because they provide cost certainty. Hourly billing can spiral, particularly if the accountant is slow, if the scope isn't clearly defined, or if you need to have multiple conversations to get an issue resolved.
Always get a fee estimate in writing before engaging. Ask what's included and what attracts additional charges. The most common surprise costs are for "additional correspondence with the ATO," "responding to queries," and "out-of-scope advice." Define the scope upfront.
Accounting fees vary significantly by location, firm size, complexity of your affairs, and the scope of services. Here are rough benchmarks for Australian small businesses in 2026.
Annual tax return (company or trust, one entity, straightforward): $1,500 to $4,000.
Annual tax return (multiple entities, trusts, distributions): $4,000 to $10,000+.
BAS preparation and lodgement (quarterly, straightforward): $300 to $800 per quarter.
Year-end financial statements: $1,000 to $3,000 (often bundled with the tax return).
Ad hoc tax advice: $200 to $500 per hour.
Monthly retainer for ongoing compliance and advisory: $500 to $2,000+ per month depending on scope.
If your accountant's fees seem significantly below these ranges, they may be cutting corners. If significantly above, you should be getting commensurately deeper advice and service.
One useful benchmark: your accountant's annual fees should save you meaningfully more in tax than you pay them. If you're paying $5,000 per year and your accountant is only lodging returns without doing any tax planning, you're paying for compliance but not getting value. A good accountant should be paying for themselves through legitimate tax savings, structural advice, and avoided penalties.
These questions help you evaluate fit before committing.
"What industries do you specialise in, and how many clients like my business do you currently work with?"
"Are you registered with the Tax Practitioners Board as a tax agent, and can you provide your registration number?"
"What accounting software do you work with, and are you a certified advisor for Xero or MYOB?"
"What does your standard annual engagement include, and what falls outside that scope?"
"How do you charge, and can you provide a fixed fee estimate for my business?"
"How do you handle communication? Will I deal with you directly or with a junior? What's your typical response time for queries?"
"Do you provide proactive tax planning advice, or only compliance services?"
"If the ATO queries my return or initiates a review, is representation included in your fee or charged separately?"
"What's your approach to year-end planning? Do you reach out before 30 June with opportunities, or wait until after the year closes?"
"Can you provide two or three references from clients in a similar industry and size to my business?"
The answers to these questions will tell you more about whether an accountant is right for you than any directory listing or website testimonial.
They can't articulate what tax savings they've generated for you. If you've been with an accountant for two or more years and they can't point to specific strategies they've implemented that saved you tax, they're doing compliance only. That's fine if it's all you need, but you should pay compliance prices, not advisory prices.
They don't return calls or emails for days. Slow communication is the number one complaint about accountants across every survey. If they're slow during the engagement process (when they're trying to win your business), they'll be slower once you're a client.
They don't have current TPB registration. Check the register. No excuses.
They recommend structures or strategies that feel too aggressive. There's a difference between legitimate tax planning and aggressive positions that invite ATO scrutiny. A good accountant will tell you where the line is and stay on the right side of it.
They're reluctant to share their fees in writing before you engage. Transparency about pricing is a basic professional standard. If they won't quote you upfront, expect surprises on the invoice.
They don't use modern software or cloud tools. In 2026, there's no good reason for a professional accounting firm to operate without cloud-based accounting software, client portals, and electronic communication. Legacy technology usually indicates legacy processes and higher costs passed on to you.
They don't ask about your business goals. If the first conversation is entirely about your tax return and nothing about your plans, growth targets, or challenges, you're hiring a data processor, not an advisor.
A CA in public practice is one model, but it's not the only option. Depending on your needs, one of these alternatives may deliver better value.
Registered BAS agents handle BAS preparation, GST, payroll, and day-to-day bookkeeping compliance. If your primary need is keeping your books straight and BAS lodged on time, a BAS agent costs significantly less than a CA and may be all you need. Many BAS agents are highly experienced and hold qualifications from CA ANZ, CPA, or IPA.
Bookkeeping services handle daily transaction processing, bank reconciliation, accounts payable and receivable, and payroll. For businesses that need ongoing operational finance support rather than annual tax advice, a bookkeeper (either in-house or outsourced) is more cost-effective than an accountant performing the same work at a higher hourly rate.
Fractional CFO services provide senior financial strategy and oversight without the cost of a full-time CFO. This includes cash flow forecasting, financial modelling, debt structure advice, management reporting, and board-level financial input. A fractional CFO is a good fit for businesses that have outgrown basic compliance but aren't large enough to justify a $200,000+ full-time CFO salary.
Embedded finance teams combine bookkeeping, BAS, payroll, and strategic oversight in a single outsourced package. This model, which Scale Suite provides, integrates a finance team into your daily operations through platforms like Slack and Xero, giving you the equivalent of a finance department without building one internally.
The right model depends on what you actually need day-to-day versus annually. Many businesses find the best approach is a BAS agent or outsourced bookkeeping service for ongoing operations, combined with a CA for annual tax return preparation and periodic strategic advice. This splits the workload between the most cost-effective provider for each task.
Once you've chosen an accountant, the value you get depends heavily on how you work with them.
Keep your records current. The single biggest driver of accounting fees is messy, incomplete, or late records. If your accountant spends three hours sorting through a shoebox of receipts before they can start your tax return, you're paying for your own disorganisation. Use cloud accounting software, keep your reconciliation up to date, and have your records ready before the engagement begins.
Ask questions before 30 June, not after. Tax planning happens before the financial year ends. Once 30 June passes, most opportunities are gone. If your accountant doesn't proactively reach out in May or June with year-end planning advice, ask them directly: "What can I do before 30 June to reduce my tax this year?"
Share your plans. If you're thinking about buying equipment, hiring staff, restructuring your business, or making a major investment, tell your accountant before you commit. Many decisions have tax implications that are easier to optimise in advance than to unwind afterward.
Review the tax return before it's lodged. Don't just sign and send. Read through the return, understand the key numbers, and ask about anything that doesn't match your expectations. This is your tax position, not your accountant's.
Get a second opinion if something feels off. If your accountant's advice doesn't sit right, or if you feel like you're paying too much for what you're getting, there's nothing wrong with getting a quote or perspective from another firm. Loyalty is valuable, but not at the cost of your business's financial health.
How much does a chartered accountant cost in Australia?
For a small business, annual fees typically range from $2,000 to $6,000 for a straightforward entity (one company or trust, annual tax return, quarterly BAS). More complex structures with multiple entities, trusts, and distributions can cost $5,000 to $15,000 or more. Hourly rates for CAs in public practice typically range from $200 to $500 per hour. Fixed-fee arrangements are generally preferable for cost certainty.
What is the difference between a CA and a CPA?
Both are professional accounting designations. CA (Chartered Accountant) is awarded by Chartered Accountants Australia and New Zealand. CPA (Certified Practising Accountant) is awarded by CPA Australia. Both require university degrees, postgraduate study, practical experience, and ongoing professional development. Both can be registered tax agents and BAS agents. In most business contexts, the practical difference is negligible. Focus on the individual's experience and industry knowledge rather than the specific designation.
Do I need a chartered accountant or will a bookkeeper do?
It depends on what you need. A bookkeeper handles daily transactions, bank reconciliation, payroll, BAS preparation, and accounts management. A chartered accountant handles annual tax returns, tax planning, business structure advice, and ATO representation. Many businesses benefit from both: a bookkeeper for ongoing operations and a CA for annual compliance and strategic advice. Using a bookkeeper for daily work and a CA for annual work is typically more cost-effective than using a CA for everything.
How do I check if an accountant is registered?
Search the Tax Practitioners Board (TPB) register at tpb.gov.au. You can search by name or registration number. Any accountant preparing or lodging tax returns must be a registered tax agent. Any professional preparing or lodging BAS must be a registered BAS agent. If they're not registered, don't engage them for these services.
Can my accountant represent me in an ATO audit?
Yes, if they're a registered tax agent. They can correspond with the ATO on your behalf, attend interviews, provide documentation, and negotiate outcomes. Some accountants include audit representation in their standard fees; others charge separately. Clarify this before engaging.
When should I switch accountants?
Consider switching if your accountant is consistently slow to communicate, doesn't proactively offer tax planning advice, can't demonstrate specific tax savings they've achieved for you, lacks experience in your industry, charges significantly above market rates without commensurately better service, or has had compliance issues with the TPB. Switching is straightforward but should be done between financial years (after the current year's return is lodged) to avoid complications.
What should I prepare before meeting a new accountant?
Bring your last two years of tax returns (personal and business), your current accounting software login details (so they can review your chart of accounts and data quality), a list of your business entities and structures, details of any current ATO debts or correspondence, and a list of your specific needs and questions. The more prepared you are, the more productive the initial meeting will be.
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We review and check articles periodically. At time of writing, all data and sources were current and accurate. Fee ranges are indicative based on market observation and may vary by location, firm size, and complexity. This article is general information only and does not constitute financial, tax, or legal advice.
Sources:
Chartered Accountants Australia and New Zealand (CA ANZ) membership and qualification information; CPA Australia membership information; Institute of Public Accountants (IPA) membership information; Tax Practitioners Board registration requirements and register; ATO registered tax agent and BAS agent obligations.
Scale Suite is a Sydney-based provider of outsourced finance and HR services for Australian SMEs. We deliver bookkeeping, financial reporting, payroll processing, fractional CFO support, recruitment, employee onboarding, people and culture support, and fractional HR oversight, all as a fully embedded team that works inside your business.
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