If you’re trusting someone with your money, you want to be sure they actually know what they’re doing. Hiring a qualified accountant can save you time, maximise your tax return, keep you compliant with ATO rules, and help you make better financial decisions overall.
But using someone who isn’t licensed or properly trained can cause real headaches. You could end up lodging incorrect returns, missing out on deductions, paying unexpected fees, or even finding yourself in trouble with the ATO — all because your accountant wasn’t legit.
The good news? It’s pretty easy to check. In Australia, accountants and tax agents must meet certain requirements. You can quickly verify if an accountant is:
- Registered with the Tax Practitioners Board (TPB)
- Using a valid ABN
- A member of a recognised professional body like CPA Australia, CA ANZ or IPA
This guide walks you through the simple checks you should do before hiring an accountant, so you can feel confident you’re working with someone who’s properly qualified and trustworthy.
What are the Signs of a Legit Accountant?
Not all accountants are the same, and it can be challenging to know who to trust. In Australia, several clear signs indicate an accountant is legitimate, qualified, and reliable. Recognising these signs can help you avoid scams, mistakes, and financial risks.
Here’s what to look for:
1. Transparent Fees and Clear Communication
A trustworthy accountant will always provide clear information about their fees and services. They explain:
- What services are included, and what is not?
- How much will it cost, and when is it due?
- The process for delivering services
Legitimate accountants also provide written quotes or engagement letters to ensure there are no surprises. Avoid anyone who is vague about fees or constantly changes prices.
2. Provides Proper Documentation
A professional accountant always maintains formal records. This includes:
- Written quotes
- Tax invoices with a valid ABN
- Engagement letters outlining responsibilities
- Service agreements with timelines and terms
Fake or unregistered accountants often avoid paperwork because it creates accountability.
3. Never Asks for Your MyGov Login
Registered accountants in Australia lodge tax returns through secure agent portals. They will never ask for your MyGov username or password, and giving this information can put your personal and financial data at risk.
4. Has a Professional Business Presence
A legitimate accountant typically has:
- A business website with service details
- A professional email address (not personal emails)
- A valid ABN displayed on invoices
- A landline or business phone number
Operating only through social media or personal messaging is a red flag.
5. Holds Professional Memberships
While membership is not mandatory, it adds credibility. Trusted accountants are often members of:
- CPA Australia – Certified Practicing Accountants
- Chartered Accountants ANZ (CA ANZ)
- Institute of Public Accountants (IPA)
These memberships ensure accountants follow strict ethical standards, maintain ongoing training, and are accountable to professional bodies.
Recommended Read: Difference Between ABN and ACN
Steps to Verify an Accountant in Australia
Finding a reliable accountant doesn’t have to be stressful. Here’s how you can quickly check if an accountant is legitimate:
1. Check Their TPB Registration
If an accountant lodges tax returns for a fee, they must be registered with the Tax Practitioners Board (TPB).
- Go to the TPB Register
- Search by their name, business, or registration number
- Make sure their status says Registered
If they don’t have a TPB number, they aren’t authorised to do tax work—so it’s best to steer clear.
2. Verify Their ABN
Every accountant running a business needs an Australian Business Number (ABN).
- Use ABN Lookup online
- Check that the ABN is active and matches the accountant’s business name
- Confirm the type of business and GST registration (if applicable)
A mismatched or inactive ABN is a warning sign.
3. Look for Professional Memberships
While not required, membership in a professional body shows credibility. Check if they belong to:
- CPA Australia
- Chartered Accountants ANZ (CA ANZ)
- Institute of Public Accountants (IPA)
Members follow ethical standards, complete ongoing training, and are accountable.
4. Check Qualifications and Experience
A good accountant will have:
- A relevant degree or diploma in accounting
- Experience with tax, bookkeeping, or business finance
- Willingness to share their professional background
If they hesitate to provide this information, take it as a red flag.
5. Read Reviews and Feedback
See what other clients say:
- Google Reviews or Facebook pages
- Testimonials on their website
- Mentions on local directories
One or two negative reviews are normal, but repeated complaints about mistakes or poor service are warning signs.
6. Ask for an Engagement Letter
A professional accountant always provides a written engagement letter. It should outline:
- Services they will provide
- Fees and timelines
- Responsibilities for both parties
This protects you and ensures everything is clear from the start.
Recommended Read: Importance of Bookkeeping in a Business
How to Avoid Fake Accountants in Australia?
Fake accountants often target students, new business owners, migrants, or anyone unfamiliar with the Australian tax system. Knowing the warning signs can help you avoid scams and protect your finances.
- Don’t trust accountants who promise huge tax refunds before reviewing your documents.
- Always request their ABN and TPB registration number.
- Be cautious of accountants working solely through social media.
- Cash-only payments combined with other red flags can indicate risk.
How to Report Suspicious Accountants?
If you suspect an accountant is unregistered or acting fraudulently, you can report them to:
- Tax Practitioners Board (TPB) – for unregistered tax agent activity
- Australian Taxation Office (ATO) – for tax fraud or misconduct
- ASIC – for misuse of company or business registration
Reporting fraud not only protects you but also saves others from falling victim to fake accountants.
Legit and Trusted Accountant in Perth: ISM Accountants
Finding a reliable accountant in Perth can save you a lot of stress and ensure your finances are in safe hands. ISM Accountants is a trusted team with years of experience helping individuals, startups, and established businesses handle accounting, taxes, and compliance. We focus on clear communication, accuracy, and personalised service so you can feel confident about your financial decisions.
Whether you’re just starting a new business or need help managing day-to-day finances, ISM Accountants make the process simple and stress-free. With our service area covering Perth and nearby regions, we provide professional support no matter where your business is located. Their goal is to help you stay on top of your finances, meet all legal requirements, and focus on growing your business.
Services Offered by ISM Accountants
Final Thoughts
Finding a trustworthy accountant in Australia really comes down to feeling comfortable with the person handling your money. When someone is taking care of your tax, bookkeeping, and business finances, you want to know they are genuine and actually qualified. A small slip can turn into a bigger problem later, so it’s worth doing a quick check before you commit to anything.
The easiest way to feel confident is to look at a few basic things: their TPB registration, ABN, qualifications, reviews from real clients, and whether they are connected to a recognised accounting body. It only takes a couple of minutes to look these up, but it can save you from a lot of stress and confusion down the line.
If you want help from people who actually take the time to understand your situation, get in touch with ISM Accountants. They have been looking after individuals and businesses in Perth for a long time and are known for being accurate, approachable, and genuinely helpful. With them, you can keep your finances in order and focus on growing your business without worry.
Questions That Are Often Asked
Yes. To work legally, every accountant who charges a fee for tax services must be registered with the Tax Practitioners Board (TPB).
If you hire an accountant who isn’t registered, you could get bad tax advice, miss out on refunds, get fined by the ATO, or even get into trouble with the law.
You can check their registration status by going to the TPB Register and searching for their name, business name, or registration number.
No, you don’t have to be a member. Being a member of these professional organizations, on the other hand, shows that you have greater qualifications, follow higher ethical standards, and are always learning and growing in your field.
No. Accountants who are registered use agent portals to file their taxes. If someone asks for your MyGov username or password, that’s a big red flag.
An ABN is a number that the government uses to identify a business for tax and legal reasons. A TPB registration is a number that an accountant needs to conduct tax services. Both are necessary for legitimacy.
