SOTM’s top tips for preparing for tax time as a small business

All our small business owners put ya hands in the air

Tax time can be overwhelming - there’s lots to think about and lots to do, especially as a small business owner when there are so many balls in the air.

To make your life as a small business owner easier, we’ve rounded up our top tips for preparing for tax time, to help you feel in control. Here we go!

Ensure you’ve made any large purchases you’ve been sitting on so you’re able to make a deduction at tax time
If you’ve been wanting to set yourself up with a new technology piece like the Surface Pro (which the SOTM team loves) or a new phone, then buy them ahead of time so you can claim them and make a deduction when tax time rolls around. Making a timely purchase doesn’t only help your business’ bank balance, but can also help ensure you’re putting your best foot forward and setting your business up for success.

Take a second to assess the year that was

There’s no better time to take stock of your success (and where you can improve) than when you’re elbows deep in reports. Tax time presents a great opportunity for you to reflect and plan for the next twelve months. Don’t be too hard on yourself but also try to think critically to see where you can take things to the next level.

Update your records to make the filing process as simple and efficient as possible
An organised small business owner is a happy small business owner! Even though it takes a little effort, maintaining up to date business records is crucial when it comes to tax time. What do you need to be focussing on? Well, to quote the ATO (the people we need to keep happy as small biz owners) “your business records must contain enough information for you to be able to accurately calculate and substantiate the income, expenses and other amounts you report in your income tax return.” This will cover you if the ATO review your tax return and require copies of your records.

Consider the available small business concessions
There are multiple concessions available for small businesses that could make life easier for you financially. All you need to do to figure out what your biz may be eligible for is head to the ATO website, which notes what is available and to who. 

If you need a tech upgrade but aren’t sure where to spend your pennies, then we’d definitely recommend looking at Microsoft’s Surface Laptop 4 which is ideal for work and play (we can pretty much guarantee you that either Jess or Victoria has one on them at ALL times).

*As always the advice shared by She’s on the Money is general in nature, for help with all your curly tax questions be sure to speak to a tax accountant directly