Stop The Tax & GST Nightmares (Lesson 15)
When the topic turns to GST and BAS reporting, I can’t begin to describe the level of anguish I have seen in some auto workshop owners. It is often seen as a harrowing event that puts pressure on their time, their emotions and on the business in general.
The overall success of your business depends on your ability to keep your tax obligations under control. We hear time and time again that it is extremely difficult for auto workshop owners and managers to get the required information together in one place.
Does this common scenario feel familiar?
You haven’t done your books at the time they should have been completed. So, at the end of the quarter, you’re not up-to-date with the data entry details of your business.
You don’t have an efficient filing system, so many of your records are difficult to find and are not easily accessible. What you have could be described as a ‘disorganised mess’, which you hand over to your accountant, who then has to spend days sorting through the details and figuring out what information should be entered into your accounting system.
The scary ending to this scenario, as you might imagine, is when your accountant presents you with an invoice for thousands of dollars for their time.
You may have recent memories of those late evenings just before the deadline, working late in your office with a stack of receipts and bank statements in front of you. Perhaps you have tried hard not to remember!
Do you worry whether you’ve forgotten anything?
Are you absolutely sure that all of the figures are accurate?
Have you completed all of the requirements for full compliance?
Do you tell yourself that next time you’ll do it differently and swear that you will keep better records?
Do you promise yourself that you will never again wait until the day before the statements are due before you start the task?
And do you suspect that, in all probability, it will be exactly the same next time?
Wouldn’t you rather put your energy into what you would prefer to be doing?
As we have seen earlier, it all comes down to the systems and procedures within your business, and ensuring they are designed to maximize your time and profits. If you have a system that has been designed correctly for your business and you run it efficiently, then generating your GST and BAS at the end of the quarter can be a very easy task.
To your success,
Australia’s #1 Automotive Business Growth Expert