Mr Taxman
Change the way you feel about taxes.
Get informed and discover what the taxman doesn't want you to know.
Sharing it with Australia, Mr Taxman is a regular Woman’s Day columist and TV finance commentator
  • click to visit Mr Taxman on Twitter
  • click to visit Mr Taxman on FaceBook
  • rss

Tax tips for small business

Apr 20, 2011

The Tax Office has some useful tips and information to help businesses start the new year on the right foot.

There are some important things all small businesses need to remember, including good record keeping practices, meeting GST obligations, reporting, paying tax and superannuation.

Record keeping

Good record keeping practices include:

  • recording all information from business transactions in a cash book, either electronically or manually
  • recording payment summaries for salary, employment termination payments, and reportable fringe benefits
  • storing all documents in a safe place for a period of five years, and
  • withholding tax according to the pay as you go (PAYG) withholding rules, recording all GST obligations and paying superannuation contributions to a superannuation fund on behalf of eligible employees.
  • The Tax Office has a number of programs available to help businesses keep good records including a record keeping evaluation tool, online calculators to help businesses calculate their tax obligations and eRecord - a free, electronic record keeping product which can help small businesses meet their tax reporting obligations.

Relevant dates

BAS

  • Monthly activity statements due: 21st of each month.
  • Quarterly activity statements due: 28 Feb 2008, 28 Apr 2008, 28 Jul 2008.

GST

  • Quarterly GST due: 28 Feb 2008, 28 Apr 2008, 28 Jul 2008.
  • GST annual return due: the same date as your income tax return, or before 28
  • February for those who are not required to lodge an income tax return.

FBT, PAYG and superannuation

  • FBT return due: 21 May 2008.
  • PAYG two instalment payers: 21 Apr 2008, 21 Jul 2008.
  • Super contributions due: 28 Jan 2008, 28 Apr 2008, 28 Jul 2008.

New to business checklist

This checklist covers basic tax issues that need to be considered when starting a business.

For example, businesses may need to register for a number of tax obligations. The most common tax registrations businesses need include:

  • a tax file number
  • an Australian business number (ABN)
  • goods and services tax (GST), and
  • pay as you go withholding (PAYG).

Businesses also need to consider how to pay employees and other businesses and how to report and pay tax and superannuation.

Tags: GSTSmall BusinessStarting a Business

Author: Mr Taxman

Comments

Post a New Comment

Media Availability

Are you interested in booking Mr Taxman for a speaking engagement or requesting his viewpoints for an article?

comments-rhsLatest Comments

  • "Hi. I came to Australia as a de-facto spouse. I have recently taken out a couples private health insurance policy for my partner and I and a reciprocal health care plan ontop for my partner only..."

    By: Lucy Howe at Aug 20, 2017 7:20AM

    Post: Marriage

  • "Hi Mr Taxman, I am married to my wife for 3 years now and it is the first time for us to lodge tax return in AU as we moved here in June 2016. I opened a personal bank account and deposited some..."

    By: Jure at Aug 16, 2017 5:39AM

    Post: Marriage

  • "hi, i run a small business that is yet to turn a profit as my start up expenses were high. Is it possible to offset these losses against my husband income?"

    By: heidi at Aug 15, 2017 11:19PM

    Post: Marriage

  • "Hi, not sure if this is travel or vehicle expenses..... Home is in town A - employer is located in town A (but I rarely work there). Get seconded for 12 months to town B (120km away) and other..."

    By: Jason at Aug 04, 2017 4:04AM

    Post: Claiming car expenses

  • "I've paid my outstanding HECS debt so my balance is now $0. My question is......Is it a good idea to keep the HECS coming out so at tax time I get a large lump sum back OR cancel my HECS and receive..."

    By: Sophie at Jul 31, 2017 8:38AM

    Post: Two important dates for those with HECS/HELP debts