Tax Time Checklist: Getting Your Business Tax Ready
Getting organised before tax time makes the whole process faster, easier and less stressful.
This checklist is designed for business owners. It covers the records and reviews we ask about most often, so we can spend our time preparing your tax return instead of chasing missing information.
It isn't an exhaustive list. Every business is different, but working through these items before sending us your records will save time and help ensure nothing important is missed.
1. Bank reconciliation
Make sure every transaction in your accounting software is reconciled, or if you're using a spreadsheet, make sure it's fully up to date. This means every transaction in your bank account matches what's recorded in your books.
If you need a spreadsheet template try our free Profit & Loss template
2. Save your bank statements
Download and save a PDF statement for every business bank account, dated as at 30 June. Your accountant will want these as a starting point to check everything ties up.
3. Finish your June BAS first
Don't book in your tax return appointment until your June Business Activity Statement (BAS) is done. Your tax return relies on the same figures, so getting the BAS finalised first avoids having to redo work later.
4. Loans
Do you have any business loans, like for a car or equipment? Download the full statement for the year. Your accountant needs the total interest charged and any bank fees for the year, not just the closing balance.
5. Vehicle logbooks
If your business owns any vehicles, make sure you have a valid logbook for each one. Without a logbook, you can't support how much of the vehicle's use was for business.
6. Working from home
Do you work from home as part of running your business? Read our blog on tracking your work from home hours HERE
7. Review unpaid invoices
Go through your outstanding invoices and ask, will these actually get paid? If not, do you need to engage a debt collector, or write the debt off as a bad debt? Your accountant needs to know before the return is prepared, not after.
8. Finalise STP
Make sure your Single Touch Payroll (STP) has been finalised for the year. This tells the ATO your payroll information is complete and correct, and it's what lets your employees see their income statements are ready.
9. Super paid on time
Check that all superannuation for your employees has been paid on time. Late super payments can mean the deduction isn't available in the year you expect, so this one is worth checking closely.
10. EOFY stocktake
If your business holds stock, do a stocktake as at 30 June. Your accountant needs to know the value of stock on hand at year end, so this can't be estimated after the fact.
11. Review Asset Purchases
Did you buy any new equipment during the year?
This might include:
Computers and laptops
Vehicles
Machinery
Office furniture
Tools and equipment
Gather your invoices so we can determine the correct tax treatment.
One More Thing...
The end of the financial year isn't just about tax. It's also a great opportunity to give your business a quick health check.
Ask yourself:
Are there any software subscriptions you're paying for but no longer use?
Are all your business insurances current and appropriate?
If you have employees or contractors, do you have the required workers compensation insurance?
If your industry is covered by a modern award, have you updated employee pay rates for the new financial year?
Are your bookkeeping and record keeping systems still working for you, or is it time for an upgrade?
Spending an hour reviewing these items now can save you money, reduce risk, and make the year ahead much easier to manage.
This blog provides general information only and isn’t professional advice. We aim for accuracy but can’t guarantee completeness or suitability. Please consult a qualified tax professional before acting on anything here. Indigo Tax Pty Ltd isn’t responsible for any loss from using this content.