Small business owners often wear many hats. You might be the business strategist, social media manager, human resources, IT support as well as the bookkeeper.
If you’re doing your own bookkeeping and managing your business, it’s worth being organised from the start as it’ll help you stay on top of your tax obligations and make financial decisions based on your business’ circumstances.
We have some tips that can make your tax life easier:
- Keep an eye on upcoming expenses, and regularly update your books and reconcile your accounts.
- Set aside the GST you collect. For example, you could transfer it into another bank account within the business to keep it separate from your cash flow. This way, the money will be there when it’s time to lodge and pay.
- You can also set your pay as you go (PAYG) withholding and super aside, so you’ll have the funds available when payments are due.
- Avoid the last-minute rush and schedule time in your calendar to prepare your business activity statement (BAS).
- Lodge and pay your BAS on time. This isn’t just about compliance, it’s a chance to understand your business’ financial position.
- Remember it’s okay to ask for help – whether it’s us, a registered tax or BAS agent, a business advisor, or an insolvency advisor.
For more tips for managing day-to-day transactions, visit ato.gov.au/CashFlowTips