As we move towards the end of this financial year, all businesses are taking steps to get everything in order for July 1st. The recent budget has given small businesses a lot to think about, and it’s no wonder some are struggling to prioritise what needs to be done in the next couple of weeks.
Here are a few tips on things to prioritise as you prepare for a new Financial Year:
- Spend money! If you have less than $2 million turnover, under the new Federal Budget initiatives, you’re entitled to tax breaks on items costing under $20,000. If you do this after July 1st, you’ll have to wait another year to get your money back, so if you’ve been eyeing up a new boardroom table, the time to make that purchase is now.
- Time your payment. If you’re expecting a tax rebate, it helps to file early to get the money back as soon as possible. If you’re likely to have to pay additional money, you can leave it a little later as long as you stay within deadline. Tax returns lodged by an individual need to be done by October 31st – you can leave it later if you have a tax agent, but you need to register with them by this date.
- Some expenses due next financial year can be claimed this year if you pre pay. Do some research in what qualifies an expense and what this applies to, but it can be a great way to receive deductions upfront.
- Use this time to plan out next year as well – what are your forecasts? Will you have staffing gaps? What is your prospective revenue? By knowing the answers to these questions now, you will know what’s coming next financial year and can plan for any variants in tax rate.
Look at a new financial year like you would a new calendar year – it can be time for a fresh start, to re-evaluate your goals and aims and ensure you’ve got all the necessary processes in place to make the next financial year as profitable and successful for your business as you can.
Written by Forum Group, a managed-services company that provides innovative solutions to business challenges. The company offers a range of services including Managed Print, IT and Communication Solutions: Vehicle Fleet Monitoring and Environmental Solutions that include energy and fuel optimisation.