directionsPAGE 2

Introducing Angela Stavropoulos Tax Me If You Can

PAGE 3How to Spot a Good Expert Witness

PAGE 4Welcome to the Team!

Congratulations Pilot Community

Volume 34 2015

WELCOME TO WINTER EDITION OF PILOT DIRECTIONS, OUR NEWSLETTER THAT PROVIDES NEWS, INDUSTRY ALERTS AND STAFF UPDATES.

We are proud to announce some exciting updates.

Brian Keane has been appointed to partner in

the firm’s Corporate Advisory division. We also

promoted Cain Hammond to manager. Cain has

been a part of the Business Advisory division for

the past four years.

In this issue of Pilot Directions, we profile

Angela Stavropoulos. She was recently

promoted to associate director in the firm’s

Business Advisory division.

At Pilot, we pride ourselves on the way we

think. We always look for new ideas to bring to

our clients. These recent designations in our

management team support the career paths of

our dedicated staff. They also ensure that we keep

the firm fresh, progressive and energetic. We look

forward to what their leadership brings to Pilot.

Our forensic accounting team has given us some

insights into what to look for when selecting an

Expert Witness. Their suggestions are helpful for

lawyers and clients alike.

Lastly, enclosed in this issue is a complimentary

copy of Pilot’s Tax Ready Reckoner. We have

produced the tax guide for a number of years. We

believe it is a quick and easy reference tool that

will assist with your tax and business planning

throughout the year.

We recommend talking to our tax team if you have

any questions.

PILOTPARTNERS.COM.AU

In case you missed our notices in The Australian

Financial Review and The Courier Mail, we are pleased to

announce the appointment of Brian Keane as partner in

the Corporate Advisory division.

Brian brings to the Partnership more than 12 years of

accounting experience.

He started his career at our affiliated firm Smith &

Williamson in Dublin, Ireland. During that time he spent

five years as an auditor and gained experience

working with hospitality, motor, construction

and technology companies.

Brian then moved into industry.

He spent a year as the finance

manager for a law firm in the

British Virgin Islands before

returning to Ireland to take up a

senior finance position in a large

multinational forecourt retailer.

During this period Brian was

promoted to head of finance for

the company’s Irish operations.

After gaining a vast amount

of ‘hands on’ commercial

experience, Brian decided to

return to professional practice.

“I always felt it was important

to supplement my technical

knowledge with some practical

commercial experience. That is

why I decided to leave practice

for five years. This turned out

to be an excellent move. The

time spent in industry helped

develop my business acumen. I

now see things from the ‘client’s

point of view’ and can give more

practical advice,” said Brian.

PILOT WELCOMES BRIAN KEANE TO THE PARTNERSHIP“Pilot prides itself on being a young, dynamic and

innovative accounting firm,” said Mike Traynor, a partner in

the firm’s Corporate Advisory division. “Brian demonstrates

all of these qualities and we are excited to see what he

brings to the leadership in the coming years.”

Since joining Pilot, Brian has worked on many interesting

and unique assignments. Some of these include:

• Debt and Equity raisings

• Due Diligence

• Assistance with business sales including drafting

Information Memoranda

• Business Re-structuring

• Preparation of Strategic Plans

• Implementation of Strategic Plans

These assignments have been across a broad section of

industries including: manufacturing, telecommunications,

finance, information technology, not-for-profit,

healthcare, construction and building services.

Brian’s appointment is important to Pilot as the firm

continues to grow. It strengthens the existing Corporate

Advisory team and adds expertise to our client base.

“I am excited to be taking this next step with Pilot,” said

Brian Keane. “The firm encourages fresh ideas and

outside-the-box thinking. By doing this we can help

clients reach their growth objectives.”

Since settling in Brisbane, Brian has also helped his wife

set up and sell two small businesses. They are now

looking for the next opportunity.

“We love the entrepreneurial spirit of Australia.

Coupled with the people and the climate, we have

fallen in love with Brisbane and Australia. The move

to partnership is an important and exciting next

step. I am looking forward to continuing to help my

clients to achieve their goals.”

Brian Keane, Partner

Angela joined the Pilot team over a decade ago.

During that time she has got married and had two

beautiful daughters. Just when things couldn’t

get any busier for Angela, we promoted her to

associate director in the firm’s Business Advisory

division. She has embraced her new role with

enthusiasm and is excited to see what the next

steps will bring.

HOW DO YOU HELP YOUR CLIENTS?

I like to take the time to get to know my clients.

I want to learn what keeps them up at night. By

understanding their business needs I can offer

a tailored approach as well as the right level of

personal service.

I help clients with their business and personal

wealth management. This includes: business

restructuring and growing, developing systems,

controls and procedures, taxation strategies,

retirement and succession planning, budgeting

and analysis and asset protection strategies.

WHAT IS YOUR SPECIALITY OR FOCUS?

I work with a number of fantastic clients from

many different industries.

However over the past few years, I have developed

a particular interest working with medical

professionals and property developers. Although

both industry groups are very different in the

way that they operate, I understand their unique

business challenges and opportunities.

INTRODUCING ANGELA STAVROPOULOS

Foreign businesses may soon need to register for GST

if they supply digital products or services to Australian

consumers. The implications that the ‘Netflix tax’ (as it

is more commonly called) will have on businesses and

consumers alike are broad.

If the legislation is passed, consumers will be charged

GST on intangible purchases from foreign businesses

(consider iTunes, Amazon e-books, Netflix, Spotify

and The Wall Street Journal online subscriptions). The

Government expects that this will allow Australian

businesses (who are already required to charge GST)

to be more competitive against their foreign rivals.

Overseas businesses who supply digital products or

intangible services to Australians will need to consider

whether they are required to register for GST in

Australia. They will also be required to take reasonable

steps to determine whether or not their customer is

Australian.

These changes are proposed to take effect from

1 July 2017.

If you are a foreign business that sells digital products

or other intangible services to Australians and would

like to find out more about how the proposed changes

may affect you, please contact either

Murray Howlett or Josh Meggs on (07) 3023 1300.

2PILOTPARTNERS.COM.AU

I’m currently focussed on getting to know other

advisors in the medical and property industries so

that I can appropriately refer my clients to someone

who is the best fit for their business needs.

I also enjoy working with clients that need to

address a specific issue. For instance: overdue

statutory obligations, lack of internal reporting

systems or unreconciled data. Getting a business

back on track in a timely and effective manner is

very rewarding.

WHAT DO YOU LIKE MOST ABOUT BEING AN ACCOUNTANT?

Getting to know the clients.

I have been with Pilot for the past 13 years. In that

time I have developed very strong relationships

with my clients.

These loyal relationships and becoming a ‘trusted

advisor’ are the best things about being an

accountant.

TELL US SOMETHING ABOUT YOURSELF THAT WE WOULDN’T FIND ON THE PILOT WEBSITE.

I love Disney! I have fond memories of my family’s

first trip to Disneyland. Now that I have my own

family, they too have grown up with the Disney

classics. Recently my husband and I took our two

girls to America to see the theme parks. It was the

best holiday and we look forward to getting back

very soon.

Angela can be contacted on (07) 3023 1300 or

astavropoulos@pilotpartners.com.au.

TAX ME IF YOU CAN

2 3PILOTPARTNERS.COM.AU

HOW TO SPOT A GOOD EXPERT WITNESS NOT ALL FORENSIC ACCOUNTANTS ARE CREATED EQUAL

Forensic accountants prepare reports and give accounting evidence for the purposes of legal proceedings.

Good forensic accountants (‘Expert Witnesses’) can explain the complexities of accounting in simple terms.

Here’s what to look for:

1. REQUEST A RESUMEAlways ask for a copy of a potential forensic

accountant’s resume. They need to be an

experienced and well-respected Expert

Witness.

Look for someone who has worked across

number of different industries. They should also

be able to draw from experience across a range

of fields such as, personal injury, valuation,

audit, taxation and accounting.

An understanding of writing reports and

preparing accounting evidence for legal

proceedings is essential.

3. IT’S IN THE EVIDENCE An Expert bases opinions on assumptions made

and the instructions provided.

Any instructed assumption provided to the Expert

will need to be supported by evidence. A good

Expert will always disclaim their opinion may

change should further evidence be provided.

TOP TIPS FOR SAVING COSTS• When sending a brief of documents, add the

list of information you have on hand and ask

the Expert to select the material or additional

information they require.

• Avoid providing information in a piecemeal

fashion. Try to compile and deliver all the

requested material in one bundle.

2. EDUCATE THE CLIENT Most clients encounter a forensic accountant

when they are experiencing financial stress

or uncertainty. Naturally they often want to

control the process (and the costs). Giving

the client direct access to the Expert will help

ensure the business or circumstances are

explained first-hand.

It’s vital for the client to be educated about

the legal process. They need to know how

the Expert will fit into their case as well as

addressing any questions that need to be

answered.

5. REMEMBER INDEPENDENCE IS PARAMOUNTThe responsibilities of an Expert Witness have

been considered by the Judiciary and are

enshrined in case law and Court Rules. Any

departure from independence or an unbiased

opinion may render the evidence not only

incorrect but self defeating.

In addition to these rules, Chartered

Accountants and CPAs alike are bound by

professional and ethical standards. These

ethical standards and Court Rules work

together to ensure Experts:

• Are aware of their duty to the Court;

• Provide you with an objective and

unbiased opinion;

• Consider all material facts;

• Advise you if the area is outside their area

of expertise; and

• Produce a report that is easy to

understand and based on reasonable

assumptions.

It’s important to understand that there are a

number of steps that the forensic accountant

must follow in order to properly prepare their

report. There are no shortcuts regardless of the

size of the matter. However, costs can be kept

to a minimum by being organised, concise and

ensuring all parties understand the process.

4. THE GRASS ISN’T ALWAYS GREENERAvoid Experts who are biased or tainted in your

favour. Although the client may not like an

unbiased answer, the correct answer is always

best. An intentionally favourable answer will be no

help when presented before the opposition.

Engaging a biased Expert will always cost you

more in the long-term.

Don’t be deterred if your Expert seeks advices from

other professionals. A good forensic accountant

understands where their expertise stops and

knows who to contact in the industry to get you

the best result.

We sometimes help clients by offering to initially

provide an oral overview. Although these opinions

are not fully considered they tease out most of the

significant issues. This can work particularly well

where the outcome is uncertain. It has at times

resulted in an early decision to settle the case.

• Organise evidence from other Experts early.

For example, in valuation work where an

entity holds a property, arrange the property

valuer’s report to be completed prior to

engaging the forensic accountant.

• The client’s employees, bookkeeper

or accountant may be able to assist in

compiling evidence. Depending on the

circumstances, we would recommend this is

done in conjunction with the Expert. Using

existing accounts staff or advisors can, at

times, help compile the required documents

and data in a more efficient and cost

effective manner.

To learn more about how our Forensic Division has acted as Expert Witnesses for clients, please contact Bradley Hellen on (07) 3023 1300 or bhellen@pilotpartners.com.au.

Chartered AccountantsLevel 10, Waterfront Place 1 Eagle St, Brisbane QLD 4000 Australia

P +61 7 3023 1300 I F +61 7 3229 1227 I pilotpartners.com.au

DISCLAIMER: This publication contains general information only and is not intended to constitute financial advice. Any information provided or conclusions made, whether expressed or implied, do not take into account individual circumstances. It should not be relied upon as a substitute for professional advice.

Pilot is a trade mark of Pilot Partners Pty Ltd ACN 105 267 061 ABN 58 144 064 946 Liability limited by a scheme approved under Professional Standards Legislation.Member of Nexia International, a worldwide network of independent accounting and consulting firms.

chartered accountants

BUSINESS ADVISORY

Josh Rohl has become a permanent part-time member of the Business Advisory division. This is his first time working in an accounting firm. Josh is currently studying a Bachelor of Business majoring in accounting at the Queensland University of Technology (QUT).

PILOT COMMUNITYIn the past few months, a number of Pilot staff have laced up their running shoes and participated

in a various sporting activities around Brisbane.

In early April, Pilot assembled a mixed team for the Touch Rugby League Corporate Charity day.

Funds raised went to the construction of a new Ronald McDonald House in South Brisbane.

Later that same month, Pilot entered a beach volleyball team to compete in the Cherish

Foundation’s ‘Battle Against Ovarian Cancer.’ The battle was made up of more than 80 teams in an

effort to raise money in the stand to fight women’s cancer.

(L-R) Cain Hammond, Kylee Smith, Natalie McKay, Diarmuid Burke and Regan Nguon

Our competing triathletes were all winners at this year’s Australian Super Corporate Triathlon.

Fostering team and individual competition, Pilot again entered several teams. The event supports

the Starlight Foundation which is dedicated to brightening the lives of sick kids and their families.

(L-R) Simon Barry, Monica Minuzzo, Holly Dixon, Ella Woelke, Craig Seaton, Lucy Duignan and

Cameron Woodcroft

Lastly, congratulations to our Climb for Cancer runners who leapt and bounded their way up

37 floors and 810 stairs at Waterfront Place. Raising more than $2,600 to fight cancer, the

participants were rewarded with a spectacular view of Brisbane and the satisfaction of conquering

an incredible vertical challenge.

(L-R) Josh Rohl, Melissa Wood, Kylee Smith, Regan Nguon, Josh Meggs and Ramona Gerber

WELCOME TO THE TEAM!

CONGRATULATIONS Earlier in the year we celebrated the promotion of Cain Hammond to manager in the Business Advisory

division. We welcome him to the management team and look forward to his guidance and leadership in

the firm.

We will profile Cain in the next Pilot newsletter.