Your EOFY checklist

ATO requires all taxpayers who own a business to keep records of all financial transactions entered into during the year. Wherever a taxpayer is required to make a choice, an estimate or a calculation, documented details must be kept. This also includes documentation explaining how your income and expenditure figures were determined. All taxation records must be kept for a minimum period of five years and penalties and interest may apply if you fail to do so.
As the end of the financial year is fast approaching, we’ve put together a checklist of what you’ll need to provide to your accountant:

• a copy of your accounting/bookkeeping program files, eg MYOB, XERO, Quickbooks
• bank statements indicating:
  •  the nature of each deposit and expense
  •  total interest received/paid
  • closing balance as at 30 June
• reconciled cashbooks including any drawings taken from your business before banking
• debtor listings as at 30 June  (and a list of unrecoverable debts);
• creditor listings as at 30 June
• stock value at 30 June
• dates and cost of any purchase made during the year and/or proceeds of sale of any assets (plant and equipment or property)
• dates, descriptions and costs of any additions or improvements to assets
• list of all business assets showing dates of purchase, price and description, details of any repairs and maintenance, and any finance arrangements including hire purchase
• details of any government-related payments, grants or rebates
• copy of statements for all loans owed by the business (and total interest paid for the year), with balances as at 30 June
• copies of payment summaries and annual salary/ wage reconciliation
• details of superannuation contributions made for each employee
• details of expenditure on motor vehicles, including fuel, oil, registration, insurance, repairs and maintenance, plus
  • current log books
  • odometer readings for the first and last date of the financial year
  • total business kilometres travelled for the financial year
• details of insurance policies (copies of certificates) and total premiums paid;
• travel diary and travel documentation (if you travel for business)
• details of petty cash expenditure
• anything else that may impact your tax liability, that you deem relevant, for example, your new lease for premises or details of a new entity you may have created during the year.

Don’t put off completing your end of financial year tax return. The sooner you know your tax liability, the better you can budget to pay it and lodge it at a time that best suits your business. Check with your us for the tax dates that apply to you

​Courtesy of SBDC