- FILING! Set up a filing system that works for you. It might be filing in alphabetical order, or date order of when they expenses or sales were paid etc. That way it will be easier for you when you start entering all your data into your accounting software. Remember the ATO require you to keep all records for 5 years.
- PAY YOUR BILLS! Pay as many bills as you can, including Superannuation, for your employees and yourself, otherwise you will have to wait at least another 12 months before you can receive the deduction. It would also be wise to prepay any insurance or memberships, so you can claim it in this financial year.
- BANK RECONCILITIONS! Bank and Credit Card reconciliations are one of the most important things you need to do at the EOFY if not throughout the year. Failing to reconcile your bank accounts can mean you miss transactions that can be critical to the bottom line of your business. Although it is rare these days! People still use cash to pay for expenses. Make sure you keep the receipts and reconcile your cash to make sure you claim as much as you can.
- WHAT CAN YOU CLAIM! Shoot off an email to your accountant and find out what you can claim – in particular, find out if you are eligible for things like the Entrepreneur’s Tax Offset(businesses with income under $75000 may be eligible), the Education tax refund or medical costs.
- MEET WITH YOUR ACCOUNTANT! It is important to talk to your accountant about what you can claim and to plan for the next financial year, but also to discuss your requirements from them. If you don’t require in depth financial analysis, P&L’s, Balance Sheets etc, then why should you pay for them? Get them to give you an estimate on costs of your return before you get a huge bill you didn’t expect!