Small business tips when using a tax professional

Running a small business can be demanding, and having a tax professional assist with your tax obligations can make things easier. Here are some tips to help you make the most of your collaboration with a tax professional:

Maintain Accurate and Complete Records

Successful businesses keep thorough and precise records. Our office not only helps during tax season but also aids in the overall management of your business finances.

Stay Organized Throughout the Year

Keeping your financial records organised year-round reduces the time your tax professional spends sorting through receipts and documents. This allows them to focus on more complex aspects of your business finances.

Regularly Cross-Check Records

By frequently comparing your records against the original documents, you can catch and correct mistakes early on, ensuring your financial data is accurate.

Utilise Tools for Sole Traders

If you’re a sole trader, consider using the ATO myDeductions app to capture expenses as they occur. You can also upload your deductions online via myGOV or email the data to your tax professional when it’s time to file your taxes.

Set Up Separate Bank Accounts

Establish a separate bank account for PAYG withholding, employee superannuation, and GST. This practice helps prevent the temptation to use these funds for cash flow and ensures you pay these obligations in full and on time.

Understand Your Responsibilities

While tax professionals can assist with your tax filings, it’s your responsibility to maintain accurate business records and ensure the claims in your tax returns are correct.

Our office is here to support your small business with all its taxation needs. Contact us at (03) 9848 5933 or book a free introductory meeting to discuss how we can help.

Source: Small business tips when using a tax professional | Australian Taxation Office (ato.gov.au)