Procrastinating the payment of taxes is common amongst many Aussies, and as a result of this, they end up in paying a lot and at times penalties. When asked, the tax accountants provided a lot of suggestions on the effective tax management and the different ways by which the businesses can lessen the amount to be paid to ATO and save BIG!
Out of all the solutions, the following are the top picks that a business can follow to lower the amount of tax to be paid to the tax department this upcoming financial year 2018-19. Since, the financial year starts from July 01 and ends on June, 30; therefore, it is the right time to start the preparation if you want to skip the last moment hassles.
The following are some of the effective ways by which tax can be reduced, and you can save big:
1.Grasping Every Opportunity you are Entitled to
A record shows that a majority of Australian businesses/companies/individuals skip minute of the transactions as a part of negligence and end up paying more money to the ATO. However, keeping track of everything that is helping you earn your income is going to help.
In case, if you do not know whether the particular purchased comes under the tax deduction, a consultation with the professional small business accountant in Sydney is going to guide you properly and help claim part of the tax deduction.
2.Keeping a Well-Maintained Tax Records
Experts say that by maintaining the record or the financial transactions of the entire year, a business/company can claim deductions. Therefore, by showing the receipt to the ATO, a company can claim the entitled tax deductions. A proper record keeping by the professionals from HANSUNG maintains track of receipt, transactions, and logbooks that help in the process of the claim.
3.Surcharges and Medicare Coverage
Every Aussie has a medicare policy that is subjected to some sort of surcharges. Experts advise going for the one that covers the appropriate situations and finance. It is a top priority, and on an average, it is calculated at 1-1.5% of the income as Medicare Levy Surcharge. “It is a crucial factor to take into consideration in tax return services in Sydney“, experts say.
4.Management of the Time for Tax-Deductible Expenses
In case, you are knowing that you will be getting a considerable amount of deduction on the purchase of an item, then experts say that managing it in any other fiscal year is going to balance the tax payment. In case, the net income of the business is going to soar, then the item can be purchased as a part of tax deduction policy as it is going to lower the taxable income, and possibly you can move down to a lower tax slab.
Saving big has remained a major concern for many of the Aussies. Experts say that a right approach and adhering to all the possible ways is always going to help achieve it without any worry. Keeping accounting up-to-date is going to reduce the tax payment and maximise the refund.