This month we have been visiting small businesses in lots of different industries – retail, tourism, technology, law, and construction – across Queensland, including Gladstone, Somerset, Noosa and the Hills District. Time and time again we hear about business owners committing to their communities and giving their time and resources to supporting their local areas.
No matter how challenging economics become, our small businesses are always the first to band together and assist. Never has this been clearer to me than this month at the Noosa Red Shield Appeal. We met business owners who are passionate about employing disadvantaged youth and creating brighter futures for young people. We were so honored to be part of their business breakfast and to hear Captain Matthew Gulyas speak about the impact small businesses have had on the lives of local families.
At this time of year, it always feels like everyone is running on a treadmill, making sure that their business is in order and ready for tax time. It can feel overwhelming because it’s yet another thing that you need to be on top of. If you are a small business owner, make your life easier and head to the ATO website to find out exactly what you can deduct.
Documents and paperwork you should have on hand when gearing up to do your tax are:
- Bank and investment account details
- Tax file number and bank details to receive any refund owing
- Statements from banks showing interest received
- Employment summaries and group certificates
- Multiple transfers and periodic transfer list
- Receipts, gifts, donations, and work-related expenses
- Dividend payments and distributions from managed funds
- Investment gains or losses from selling shares, units, or rental properties
- Rental income earned or paid
- Interest charged on money borrowed for a rental property
- Any other related expenses including expenditure on capital works
Accounting software can make this process much easier and you can prepare and lodge your business tax returns with a few clicks. Remember, it is always a good idea to consult with a qualified accountant or tax professional who will be able to tailor solutions to your unique circumstances and potentially save you money.
If you are an employer, you will also need to report your pay-as-you-go (PAYG) withholding to the ATO every time you pay your employees through Single Touch Payroll (STP). Employers must finalise their employee’s STP data by 14 July 2023.
Tax time is also a great time to review your business’ finances, start prioritising your goals, and plan for the new financial year. It’s crucial throughout the year to keep good records. When planning for the new financial year, make sure you develop a business plan and project your business’ spending and sales, and create financial projections that show monthly inflows and outflows for the next 12 months.
The Queensland Government has funded online and in-person places in the University of Sunshine Coast micro-credential course on Business Planning with registrations now open for the upcoming Redlands and Cairns courses.
The key is to use your projections to plan and to be able to assess your financial needs. Make sure you consider contingencies and other unexpected issues which may arise and throw off your projections. The key to managing cash flow and understanding your business is to monitor, monitor, monitor and know your data.
If you would like any help managing your tax, cash flow, or finances – we can connect you to the Small Business Financial Counsellors, or put you in touch with the Griffith Tax Clinic (if you aren’t already represented by an accountant).
If you are new to our newsletter or would like to learn more about our services, resources, initiatives, and projects, visit the QSBC website. If you are ever unsure and are looking for more information, give us a call at 1300 312 344 or submit an enquiry.
Happy Small Business Month,
Queensland Small Business Commissioner
For more details, read the QSBC newsletter June 2023