Top Financial Resolutions to Make for Your Small Business in 2014

Financial Resolutions for 2014 by Mortgage BrokersWhile there are many opinions on how to make money in any business, there is one realm that is more cut-and-dried—paying your taxes. Too many Australians end up surprised by large tax obligations because they failed to plan throughout the year.

Here are our top 5 tips to make sure that you are fulfilling your obligations on a daily basis.

Know Your Superannuation Laws

As you should know, you will be required to contribute 9.25% to your employees in super guarantee contributions. It is crucial to make sure that you are in compliance so that you don’t get “surprised” at tax time. Also, workers aged 70 and older will now be eligible for super contributions paid by their employers.

A little bit of compliance now can save you a boatload of trouble later.

Document Everything Correctly

Always remember to keep valid tax invoices for all of your suppliers. Many businesses are claiming GST credits but aren’t providing proof in the form of correct paperwork. The law says that you must have your proper documentation whenever you file your Business Activity Statement. We heartily recommend obeying all laws—especially this one.

Know Your Deadlines

The deadlines for Pay as You Go dues and Business Activity Statements are all plainly stated. Make sure to organise your work so that you can fulfil these obligations on time. It is a matter of simply organising your paperwork around the deadline date. Failure to adhere to deadlines can cause missed opportunities for deductions.

If you are in the building industry, make sure to report all payments you make to subcontractors. Your first due date is 21 July.

PAYG

Make sure that your quarterly PAYG payments are accurate. If not, adjust them accordingly by contacting the ATO. Paying too much can tie up capital that you may need for operating expenses. Paying too little results in penalties at tax time.

Writing off Debts

If you write off a debt but have already declared the projected income on an earlier BAS and paid GST, you are allowed to reclaim it.

Your Business or Home Loan

If you are interested in refinancing a home or business loan, call one of our mortgage brokers in Rockingham, Kwinana or Baldivis: (08) 9527 1800.