While to many of us it feels as if the calendar year only just started, the end of the financial year (EOFY) has arrived — leaving small business owners fretting about the dreaded “tax time”.
If you’ve been too busy working in the frontline of your business to prepare for the end of the financial year, use this checklist to ensure you’re prepare
Firstly, around the time of the end of the financial year your business may need to:
1. File an income tax return
Depending on whether your business operates as a sole trader, partnership, trust or company, what you’ll need to include in your tax return may vary. However, in general your business will be required to show:
- Records of sales
- Records of expenses
- Employee records (for example, wages, superannuation information and pay as you go (PAYG) summaries)
- Taxable records (including motor vehicle expenses, debtors and creditors lists, stocktake records and asset purchases)
2. Complete a Business Activity Statement (BAS)
The Business Activity Statement is used to report and pay goods and services tax (GST), PAYG installments and other tax obligations. The BAS quarterly reporting date for April, May and June falls on July 28. If you’re reporting monthly, your due date will usually be on the 21st day of the month.
3. Ensure your Superannuation Guarantee contributions are up to date
Superannuation Guarantee (SG) is the official term for compulsory superannuation contributions employers must make on behalf of their staff members. All employers, regardless of size, must contribute the equivalent of 9.5 per cent of an employee’s salary. Super guarantee contributions must be made by July 28.
4. Create an Australian Securities and Investment Commission annual report.
The ASIC annual report is only necessary if your business operates as a company. Along with your annual report you will need to update your company details if necessary, provide an invoice for the payment of your annual review fee and fill out a solvency declaration. For more information on the ASIC annual report visit the website here.
5. Pay payroll tax
Payroll Tax is a self-assessed State and Territory tax applicable to businesses that exceed a certain threshold in their employee salaries. The payroll tax eligibility, due dates and rates vary between the States and Territories, so to find out if you’re required to pay a payroll tax, visit the website here.
Imagine if instead of rifling through paper receipts and written records, your financial data were stored in one easily accessible location online. Reep gives you a continuously updated helicopter view of your financial data, accessible by multiple parties anywhere at any time.