Posts from — April 2009

Could 80% of BAS forms really be completed incorrectly? Apparently this is the figure that the Australian Taxation Office estimate when reviewing Business Activity Statements.

Are You Paying More GST than You Should?

When you consider that many small business owners around Mandurah, Dudley Park, Coodanup, Greenfields, Erskine, Pinjarra and Meadow Springs believe that bookkeeping is an expense, rather than an investment, it is hardly surprising that so many people who have no idea what they are doing complete Business Activity Statements. Contact us today for more information.

Many clients approach our professional contract bookkeeping service because they realise that a mobile bookkeeper can save them heart-ache and stress in getting their paperwork upto date.

Speaking to a client in Greenfields last week, it transpired that he had absolutely no idea what was involved in running a business from the financial aspects. As long as there was money in his pocket at the end of each week to pay the bills, he was happy.

When the first BAS form arrived on his doorstep he just figured he’d guess what figures went where and hope that it would all sort it self out at the end of the financial year

The crazy thing is, that by having to report quarterly Business Activity Statements, small businesses are being encouraged to record their business activities every three months.

If you leave it all for your accountant at the end of the financial year, then guess what? It’s all too late.

If you’re now faced with a large tax liability after the end of the year, there’s nothing you can do about it. Whereas if you are aware of the situation beforehand, then there maybe avenues that you can follow to reduce your tax liability. We are not registered tax agents and cannot give guidance in such matters, so you need to speak to your accountant.

We’ll look at your bookkeeping and assess your requirements. It’s not uncommon for us to find some major savings for our clients. Contact us today for more information.

Are you ready for a tax bonus? You need to have your book-keeping under control

Getting your bookwork upto date is critical for you to be able to lodge your tax returns. Contact our Rockingham team of mobile book-keepers now

Small business owners in and East Rockingham, Golden Bay, Hillman, Karnup, Peron, Port Kennedy, or Rockingham, Western Australia can struggle to get time to do the bookkeeping.

They’ll often outsource their book-keeping requirements to our team of professional bookkeepers who have the time and inclination to get your paperwork organised. Contact our Rockingham team of mobile book-keepers now

The Australian Federal Government is offering a strong incentive to all tax payers in 2007 – 2008 to get their tax returns lodged before 30 June 2009. If you’ve paid personal tax in that time, (or are due to pay tax) then the Government will hand you back a cheque of upto $900.00

There are a few items on the checklist that you need to address to qualify:

• You need to have been an Australian Resident and to have paid tax within the financial year 1st July 2007 – 30 June 2008
• You need to have paid tax ( or be due to pay tax) within that time frame
• If you’ve earned under the $80,000, then you may be eligible depending on your adjusted tax liability. To qualify, you need to earn less than $80,000 and have an adjusted tax liability of more than zero. In simple English, the ATO will not pay you if you haven’t paid them
• The adjusted tax liability is calculated after taking out tax offsets and other credits, such as the low income tax offset, the seniors tax offset and franking credits on dividends.
• You can be self-employed and receive the bonus. Indeed you spouse may not be eligible, but you may be eligible, so it’s not based on household income, it’s based on personal income

The Australian Government is hoping that the refund will stimulate the economy, so you’d better head down to your local shopping centre and spend your bonus – And remember – make sure you spend it all at once!

However, many people that we’ve spoken to will be using the refund to pay existing bills, or reduce their credit card debt.

When the economy is on the downturn and no one is quite sure where the next dollar is coming from, it seems a little naive for the Government to think that people will continue consumer spending rather than saving it for a rainy day, or to reduce existing debts.

If you are cashed up and earn less than $30,342 and make a $900 personal contribution to super, you’ll be eligible for the $1.50 super co-contribution. The Government will stick another $1350 into your super fund. Workers earning up to $60,342 are eligible for a partial co-contribution.

If your haven’t got your book-keeping under control, and are not ready for a tax bonus, contact our Rockingham team of mobile book-keepers now

Is there such a thing as a tax-free lunch on the ATO?

Our bookkeeping clients in and around Mandurah often ask about meals as a tax deduction.

With the new Australian Government Tax- Free Stimulus Package Bonus to $900, how many free lunches would that get?

So if you want a tax – free lunch, then the Australian Government one-off tax-free payments of up to $900 for eligible taxpayers, could be your ticket

As bookkeepers, we can sort out the documentation, set up a bookkeeping system, key the relevant data into an accounting software package, and get all the figures ready for your accountant or registered tax agent to then assist you with lodging your tax return. Contact our mobile bookkeeping service now to get your bookwork up to date.

We often get calls from bookkeeping clients requesting a bookkeeper to sort out their bookwork and get them upto date so that they can lodge their tax returns. [Read more →]

Are you struggling to complete your BAS form?

No sooner have we finished lodging BAS for the December Quarter, to find the January – March 2009 Quarter will soon be due. Contact us for HELP

Quarterly BAS
Most businesses submit quarterly, and the 1 January – 31 March 2009 (Quarter 3) BAS is due 28 April 09 for lodgment and payment with the Australian Taxation Office (ATO).

A new client contacted us out of desperation. Struggling to prepare all the documentation for the Business Activity Statement, she could not get the figures to balance.

We suggested she email us the MYOB data file, so that we could get a clearer understanding of where she was at with her bookwork. Contact us for HELP with your BAS

“I had trouble with my MYOB files and contacted Carol and her team and they were just excellent.
They listened and then explained what they could do to help.
Everything was done speedily, efficiently and most of all cost effectively.
They emailed me how to send my files and worked on them that day!
Most of all “they listen” and don’t treat you like a dummy!
It got me out of a potentially tricky situation and literally saved the day!
Thanks Carol.
Liz Bird, Perth WA”

Monthly BAS
If your business submits the (BAS) Business Activity Statement monthly, then 21 March 09 was the due date for lodgement and payment of the February 2009 monthly activity statements

Superannuation Guarantee Contributions
Also on that date are due the Quarter 3 Superannuation guarantee contributions (1 January -31 March) contributions to be made to the fund by this date.

If you are struggling to complete your BAS form, contact our team of Mandurah Bookkeepers for HELP

As bookkeepers servicing the Mandurah area, we are often asked: “What Bookkeeping Records Do I Need?”.

When a business gets started, the first thing you should do is to make sure that you keep track of all the costs involved in setting up you business, so that you can set up a book-keeping system correctly from day one. If you need some help in establishing your bookeeping, then contact us right now.

A bookkeeper’s nightmare

A new Dudley Park bookkeeping client has been running her graphic design business for over a year operating on one bank account for everything. She’s a bookkeeper’s nightmare, using the same bank account for both her personal and business expenses. That makes our job as mobile book keepers quite a challenge. We have to ask her which items on her bank account relate to business, and which are personal.

What Bookkeeping Records Do You Need?
The type of business you operate affects the type of records you need to keep for ATO purposes. You should set up your books using an accounting method that clearly shows your income for your selected tax year.

From a bookkeeping viewpoint there are a few basic bookkeeping matters that every small business owners should focus on to reduce the fees you will otherwise have to pay your bookkeeper or accountant

Depending on your business, you should get into a habit of keeping records daily

• Identify the source income that you’ve received
• Ensure you keep your dockets for expenses, and a note of any petty cash expenses
• Keep a record of all your assets

The Australian Taxation Office requires you have supporting documentation such as invoices and receipts for all transactions incurred in running your business such as purchases and sales. You might generate invoices electronically using an accounting software package such as MYOB or Quickbooks, or you may hand write your invoices using an invoice book [Read more →]

Every small business owner in and around Mandurah, Dudley Park, Coodanup, Greenfields, Erskine, Pinjarra and Meadow Springs, in Western Australia needs to keep records. Why? Because it’s a legal requirement. Many business owners choose to outsource their bookkeeping requirements using our mobile bookeeping services. Contact us for more information

The Australian Taxation Office (ATO) requires you to keep business records:

• for five years after they are prepared, obtained or the transactions completed (whichever occurs later), and
• in English, or in a form that the ATO can access and understand in order to determine your tax liability.

You should keep records for a longer period if you use information from those records in a later tax return (for example, claiming a loss carried forward from a business activity in an earlier year). The records should be kept until the end of any period of review for that later return.

Records relating to assets for capital gains tax purposes may also need to be kept for a longer period. You can issue and store records in either paper or electronic form.

There are penalties for not maintaining the required records and for not [Read more →]