Navigating the tax world as a small business owner is a hefty challenge and can take a while to figure out. If you own a small business and are looking for top tax tips, keep reading as we cover some essential information you should know!
1. Prioritise Record Keeping
Keeping your invoices and receipts safe while maintaining accurate records is essential to running a small business and ensuring your taxes are completed accurately. It would help if you had the following documents maintained and safely stored at all times;
- Cash income and expenses
- Adequate stock records
- Motor vehicle claims (if applicable)
- Private expenses
- Use of company money or assets
- Tax invoices
2. Seek Support
It would be impossible for new business owners to start their businesses already having excessive knowledge about how to pay taxes. Using a professional service and tax agent will ensure you get your business on the right path, with regular contact helping you to form a close business partnership.
3. Understand your Business Structure
When devising your initial business plan, you will likely have settled on a business structure. However, many small businesses have confusing structures that make sorting taxes difficult. We recommend liaising with your tax agent to ensure your chosen tax structure reflects your business best.
4. Record Income and Expenses Correctly
Any income figures you report need to be exact, with up-to-date records noted at the time of the event. This ensures that your recorded income is precise, with both cash and credit transactions needing the same accuracy. Of course, only deduct money that directly relates to your business with sufficient evidence.
Based on The Gold Coast and Need Support with Your Business Taxes? We Can Help
While the above points indicate where to start regarding taxes, we know small businesses need all the help they can get with getting taxes right. Get in touch with Accounting Tax Solutions today for dedicated tax guidance.