Article written by Graham Fitzpatrick, Business Advisor, Western Sydney Business Centre.
The end of the financial year (EOFY) is fast approaching, and as a business owner, it’s essential to be prepared. This is the time of year when you need to complete your bookkeeping, tax returns, and plan for the new financial year. To make the process easier, we’ve created a checklist to help you stay organised and work smarter in the year ahead.
The first task is to check what tasks you need to complete. Some of the yearly tasks you need to do may include conducting a stocktake, completing and lodging your income tax returns, meeting superannuation requirements, and making digital copies of any paper records.
Next, find out which tax deductions and concessions you can claim. You can claim deductions for most business expenses, such as motor vehicle expenses, travel expenses, and machinery, tools or computers. However, you must have records to prove the expenses you claim as business deductions.
It’s also important to make sure your tax agent is registered. Check that your tax agent is registered with the Tax Practitioners Board (TPB). Just look for the registered tax practitioner symbol.
Keep up to date with tax changes. There may be tax changes each year that you need to be aware of, such as changes in tax law and deductions or concessions for small businesses. For example, the Instant Asset Tax Write Off Scheme is coming to an end, and businesses must ensure that the asset is installed and ready for use by 30th June 2023, to claim the write-off.
Spend some time reviewing your Business and Marketing Plans. Along with your budgets and finances with a particularly focus on your Cash Flow. Look at whether you met your targets and what you can do differently next financial year. This will help you to remember your goals and priorities, assess whether your strategies are working, and adapt to any changes in your environment.
By following this checklist and arranging a meeting with your Business Connect advisor, you can ensure that you’re organised, prepared and ready to tackle the new financial year with confidence.