Professionals Profit 2026

The ATO is actively monitoring how professional firms allocate profits to individual practitioners, with particular attention to compliance with the guidelines in PCG 2021/4.

These guidelines apply to a wide range of professional practices, including accounting, architecture, engineering, financial services, law, medicine and management consulting.

Our Professionals’ Profit Calculator provides a practical and efficient way to assess the risks associated with profit allocation arrangements for your professional clients, including your own practice, and to document your assessment in accordance with the ATO’s expectations.

The ATO has made its expectations clear:

“We expect you to annually assess your eligibility to apply this Guideline. If you want to apply this Guideline, we expect you to document your assessment of, and also to review, your eligibility as your business or arrangement changes.”

The ATO also warns:

“We may fact-check your assessment of your profit allocation. If you are unable to provide evidence to support your assessment, we may undertake further compliance activity.”

Our calculator helps you meet these expectations by providing a structured approach to assessing, documenting and reviewing your clients’ profit allocation arrangements each year.

Warning: this file is not compatible with Microsoft Excel versions 2016 or prior, the cloud-based version of Excel, Excel for Mac, or Google Sheets.