Plain English guide to profit and loss
Here’s our Plain English guide to profit and loss and what this report reveals about your finances. What is profit and loss? Your profit and loss statement is commonly called your ‘P&L’. It’s also sometimes referred to as your income statement or statement of earnings. Your P&L is a breakdown of your company’s revenue (money […]
Outstanding tax debts? ATO warns about disclosure to CRA’s
The ATO has shifted its focus from providing assistance with tax through the pandemic to now re-establishing the culture of businesses paying their tax debts on time. Beginning from July 2023, The ATO has issued notices of intent to disclose business tax debts of more than 22,000 businesses with a tax debt of at least […]
Small Business Skills and Training Boost 2023
The Small Business Skills and Training Boost was announced on 29 March 2022 and became law on 23 June 2023. This initiative provides small businesses with a bonus tax deduction to help them train new staff and upskill existing staff. What do you get? Additional Tax deductions. Who is this for? Small businesses, check if […]
Small Business Technology Boost 2023
The Small Business Technology Investment Boost was announced on 29 March 2022 and became law on 23 June 2023. This initiative allows eligible small businesses to claim a 20% bonus deduction on technology expenditure to help digitise their business. What do you get? Additional Tax deductions. Who is this for? Small businesses, check the ATO […]
Understanding Your Profit and Loss Statement
Your profit and loss statement (P&L) helps you understand your business performance and profitability over time. It’s sometimes called an Income statement and its main purpose is to list income and expenditure. Whereas a balance sheet is a snapshot in time, the P&L shows transactions over a specific period of time. This can be a […]
Plain English guide to cashflow
Why is cashflow so central to good financial management? Here’s our plain English guide. What is cashflow? Cashflow refers to the movement of money into and out of your business over a specific period. In the most basic terms, cashflow is the process of cash moving out of the business (cash outflows), and cash coming […]
Avoid ATO’S increased tax penalties – reminders and updates
Announced as part of the 2023–24 Federal budget, increased funding has been provided to the ATO to scrutinise taxpayers who have high-value outstanding debts of over $100,000 and aged debts older than two years where those taxpayers are: Increased penalty rates After a recent increase in January 2023 from $222 to $275, Commonwealth penalty unit […]
Prepare for Finalising Single Touch Payroll
It’s nearly time to make a finalisation declaration for Single Touch Payroll. There is no need to issue payment summaries to employees you have reported through STP. Employers must complete the finalisation declaration by 14 July for employees. Employers with a mixture of employees and closely held payees have until 30 September to make the […]
Fringe Benefits Tax and Business
Benefits provided to employees or their associates in addition to salary or wages are known as fringe benefits. These benefits are paid for by the employer from pre-tax earnings, making the provision of benefits attractive to employees as it may reduce their taxable income while receiving payment in other forms. Fringe benefits tax (FBT) may […]
Do you need to improve the cash flow position for your business?
Keeping on top of the financial management of your business can be hard work. It’s possible to have a profitable business that is struggling to find the cash flow to pay expenses and fund growth. Likewise, you could have positive cash flow but are not turning a profit, particularly if you are scaling. Turning a […]
