Taxation and Compliance Services

TAXATION AND COMPLIANCE SERVICES

Are you doing the happy dance when you think about doing your own tax?

Maybe you should consider an Accountant?

“I’LL DO IT LATER”

How many times have you said this to yourself?

If you own or run a business that is anything other than an accounting firm, the chances are the prospect of doing your own tax or finances is met with a feeling of either dread, boredom or confusion. These are generally the tasks we put off until we are in the right frame of mind to actually focus and want to deal with them.

Not only is an Accountant expertly trained to manage your tax and business finances, but it’s also in their best interest to make sure you receive the best return possible come the end of financial year, make sure your business is functioning efficiently in regards to processes and finances, and keep you up to date with the latest policy changes and incentives.

Why do we so often think we are the expert of our business finances and tax obligations?

For example, if you’re a tradesman, let’s say an established electrician in your local area, and after you have fixed the electrics of your client’s malfunctioning porch light, they ask you to have a look at the toilet as the pipes seem to be clogged, do you then attempt to do their plumbing, even though you have no experience as a plumber?

Why is it in their best interest?

Because just like you they are also trying to be the best at what they do amongst their competition, which means taking away their clients’ headaches and simplifying their compliance struggles.

Let’s put it into perspective. If you want to be the best amongst your competition you need to know your product, or service, inside out.

You need to be all over your marketing, You need to make sure you have staff who are assisting you to grow but also deal with all the drama that goes along with having staff.  You may need to schedule appointments daily, be on time for them, and be able to quote for the job. Or you may need to be assisting clients and customers with their needs all day and ensuring your attention to detail is impeccable.

In any case, you need to be focused on doing what you do best, without being distracted by the things in your business that you’re not the expert in.

COST vs EFFICIENCY

So, now you know you need to focus on being the expert at what you’re good at, what else is holding you back from using a qualified accountant to do your tax?

We hear you:

“It’s too expensive, I’ll just do it myself”

Using an Accountant to do your tax and manage your business finances is definitely a cost to your business. Naturally, if you need a service from someone who is an expert in that area, you need to pay them for this expertise. Just as you would pay the electrician, so you don’t get electrocuted or burn the house down, or a plumber so you don’t flood the bathroom in sewerage.

When you run a business we know every penny counts. Keeping a check on money coming in and going out is a job in itself. It’s easy to see an accountant as just another expense.

By not using an accountant the house may not burn down and the bathroom may be saved, but other problems may be there that you just can’t see…yet.

Top 5 benefits to using an Accountant

There are many good reasons why spending a little extra to get a good accountant can not only take away the headaches, confusion and tension at tax time, but also can actually help to grow your business.

Yes, the end of the financial year is the perfect time to use an accountant. However, there is so much more they can relieve you from in your business:

  • MASSIVE TIME SAVING BENEFITS:

    When you own a business your priority should always be to generate new business and fulfill the business you already have. Keeping abreast of your paperwork, tax, ATO changes, entitlements, deadlines and not to mention all the abbreviations: BAS, IAS, FBT, GST, CGT, etc, is time consuming. Time that should be spent more efficiently on things you enjoy doing in your business.

  • REDUCING YOUR TAX LIABILITY:

    When tax is your thing, you know how to look for ways to reduce your liabilities, legally. A good accountant will know how to save you money and also advice on how to run your business in the most tax efficient manner. A good accountant will know the best entity to operate your business under for tax purposes. Be that as a sole trader, a company or as a contractor. Advice on what you can and can’t claim through your business and paying yourself the right amount.

  • AVOIDING HEFTY TAX PENALTIES AND FINES:

    One of the key things to avoid when working for yourself or running a business is avoiding late penalties or fines for failing to meet Federal or State Government laws and obligations. For some people keeping on top of this and your paperwork is a part of the business they enjoy. For others, using an accountant makes sense, so they don’t have the worry of looming dates, be familiar with the ever changing legislation and ensures they never miss a deadline.

  • HELP GROW YOUR BUSINESS:

    With their expertise comes experience and wisdom. Your accountant is a great source of advice on systems and processes to grow and develop your business.
    At Bishop Collins, as with other firms, every client is allocated their own specific accountant who is with you and your business the whole way. The relationships developed will assist with understanding what is best for your business and each accountant takes great pride in ensuring the success of their clients and their business.

  • TAKE AWAY YOUR TAX HEADACHES AND WORRIES:

    It seems like a trivial point, but tax is complex! It’s not meant to be something everyone understands or is good at. It is a specialised skill. So it comes as no surprise that so many small, or in fact any sized, business owners worry about their tax obligations.
    Your accountant will prepare everything you need, saving you money and time and allowing you to meet deadlines, while you focus on what you love.

SOME OTHER "TAXEY" TOOLS TO HELP YOUR BUSINESS.

BUSINESS HEALTH CHECK

This quick and easy little self-check test is a great tool to use if you are wondering if there are any areas in your business that may need your attention.

tax tips for residential property owners smsf

If you own an investment property there are lots of areas you need to pay attention to when doing your tax. This downloadable brochure gives you all tax tips to help you at tax time.

Business Plan Download

This is a quick, basic template to get you started on a simple Business Plan.  17% of small businesses fail because they did not have a Business Plan established to follow and grow with!

IT’S NOT A TRICK, THIS IS SMART!

Letting your tax obligations fall behind or get the better of you is not the answer as it may create some long term problems for your business, and potentially put you into debt with the ATO.

Using an Accountant to do your annual compliance and financials is a smart decision, especially in the current climate. More so than ever it is for your business to be up to date with your tax compliance duties. Consequences in failing to do this may include:

  • Failure to qualify for Federal and State Government COVID-19 financial support.
  • Director Penalty Regime – If a company does not meet its Pay As You Go (PAYG) withholding, Goods and Services Tax (GST) or Super Guarantee Charge (SGC) obligations, you may become personally liable for the debt as a director of the company.
  • Failure to register for Payroll Taxes or similar once the thresholds are exceeded.
  • Inability to obtain finance to pay your debts or expand your business. Also, existing debt may not be re-financed.
  • Inability to understand the true performance of your business including cash position. This may result in poor decisions for the business which may lead to insolvency.

  • Impact on the valuation of your business should you wish to sell or have an internal ownership transition.

Interested in learning more about services that Bishop Collins offer?