With all the lead up to the end of financial year, once the end is upon us many business owners forget to document key information which needs to be reported in year-end financials and to the Taxation Office. Remember at the end of this financial year to document the following to avoid any unnecessary stresses when it comes time to have your tax work done:
- Complete a Stocktake on or just prior to 30 June. A stocktake will allow you to write-off any obsolete stock and investigate any theft or shrinkage.
- Review your Accounts Receivable reports to ensure you clear all bad debts that are not recoverable at year end.
- Take action to scrap any worthless plant and equipment by reviewing your asset register and documenting items scrapped and obsolete at 30 June.
- Record the Odometer reading on your Business Motor Vehicles if you are claiming deductions under the ‘Log Book’ or ‘One Third’ methods.
- Most importantly bring your accounting system records up to date as soon as practical after year end to identify any issues early.
