4 Ways Any Australian Business Can Preserve Its Tax Returns - What to Know
As the Australian Taxation Office (ATO) continues to roll out additional standards that business owners and investors are required to comply with every year, more and more entities continue to face challenges in managing their investments.
Property investors, in particular, have experienced quite a level of difficulty as the ATO proclaimed that a certain portion of the group collapsed to profess capital works on both plant and equipment expenses. Taken from internal data, the ATO discovered that capital works was professed at an average of $2,029 while plant and equipment were stated at $1,139 per property investor.
A Growing Issue
Generally speaking, property investors (and contributors in general) continue to miss the opportunity to claim tax-paying time due to the ever-growing issue of disorganized or misplaced statements. According to the Australian Security and Investments Commission (ASIC), misplaced or disorganized statements remain common errors to this day—a result of an overall lack of awareness.
However, with the average amount of professed values for property investors maintaining a surprisingly-high rate, there’s one lesson that can be taken from the ATO’s own findings: tax returns should be preserved in order to minimize related issues.
A Few Tips for Preserving Tax Returns
If you’re looking to give your Australian business the advantage it needs for making the most out of tax time, here are a few different ways you can preserve your business’s tax returns:
Exclude the overall amount of associated clothing expenses with your business
One of the most effective ways to preserve your business’ returns come tax time is to exclude the few clothing expenses they’ve occurred if they are officially associated with the company itself. Certain types of clothing expenses, such as authorized official uniform expenses for work-related purposes (such as those engineered for work conditions and hazards) merit a cost that is excluded from being taxed. Additionally, certain maintenance expenses such as laundry, clothing repair, and dry-cleaning are also eliminated during tax returns as well.
Take the costs of self-education and development into consideration
Another effective approach for dealing with the demands of tax time is to consider various official development expenditures spent on academic methods for improvement during the tax return itself. Certain expenses such as tuition fees, stationery expenses, materials expenses, interest expenses on education loans, and other types of educational expense receipts must be included in the claiming process as well.
Reduce official expenditures on income-producing assets and expenses Aside from clothing expenses and education, your business’s income-producing assets and expenses can also be reduced in order to preserve its tax returns. For instance, various pieces of software, calculators, electronic tablets, and other types of official income-generating expenses and assets less than $300 in value can be reduced right away.
Hire the services of an experienced outsourced accountant A surefire way to preserve your business’s tax returns and overcome the ATO’s various guidelines is to hire an expert accountant that can help you tackle the task at hand.
If you’re looking for a tax accountant on the Gold Coast, get in touch with us to see how we can help.