The business activity statement is an important financial element to consider in every business. If you have recently registered your business, you will need to fulfil the obligation attached to this taxation requirement. Basically, the BAS is designed as a tax-reporting form that allows companies to present their taxation obligations. This requirement must be fulfilled on a monthly or quarterly business, and it is generally imposed by the Australian Taxation Office.
You can utilise the activity statement to pay and report different taxation elements, including pay as you go, goods and services tax, fuel tax credit, fringe benefits and car tax. The taxation forms that you might be required to fill can be different, depending on your BAS obligations. Ideally, you should employ a business finance professional to help in managing the BAS lodgement. Here are the main aspects to consider when selecting a taxation expert for your business.
You should ensure that your potential taxation agent for your BAS lodgement is registered with the Taxation Practitioners Board. If you choose an unregistered individual or firm, they might expose you to sub-standard results. Consequently, you will be exposed to legal and financial difficulties for the invalid lodgement. Moreover, such taxation agents will receive a civil penalty for the violation, and your association could harm your business. There are some exemptions that are recognised by the board for cases such as employees of registered BAS agents and legal practitioners.
You should choose a taxation expert who can provide other accounting services apart from BAS lodgement. This will limit the inconveniences associated with managing finances by different people in your business. You will be able to streamline this section of your operation by engaging an all-round business finance professional. Ideally, the pertinent expert should manage taxation issues, including tax return lodgement and other complex financial issues relating to investment and securities.
They should also be able to offer record keeping, financial planning, auditing, cash flow management and costs analysis. On the other hand, this might not be a valid choice for young businesses with limited capital because only larger firms offer comprehensive services. If this is the case, consider choosing individual tax agent and accountant.
Finally, it is important to consider the financial experience of the taxation expert. With the improvement in technology, there are unscrupulous people that will not provide thorough services. For example, some might limit their work to e-tax features available for free on ATO. Therefore, engage a professional with good reputation and references from well-known businesses.
For more information, contact JSPN Bookkeeping Solutions or a similar company.Share
26 January 2016
Hi, everyone. Nancy here. I am currently studying for my degree in mathematics. As part of the “maths in the workplace” component of my degree, I am doing an internship with an auditing firm. Of course, getting to apply maths in a practical setting has been an absolute joy, but there have been a number of frustrations too. It has been a real eye-opener to see how many businesses have a haphazard approach to accounting and book-keeping. One of the jobs the auditing firm undertakes is to recommend improved accounting practices. A number of businesses which have hired professional accountants since the last audit have definitely thrived! I hope this blog captures the beauty of applying mathematical principles to business and using tried and true accounting methods. I trust my entries add up properly to give you an equal share of information and inspiration. Thank you.