It’s that time of year. Time for us to remind you of the importance of tax planning in preparation for the new Financial Year.
Here at Hub Advisory Group we believe that tax planning is a crucial element of a sound financial strategy.
Tax planning not only means that you are prepared - audit ready and on top of the documentation and reconciliations required for ‘tax time’ - it also gives you the opportunity to take control of your business, to reflect on the financial year that has been and start planning for the one ahead.
Having a tax planning process in place means you can avoid any tax liability ‘surprises’. By accurately reviewing the status of your business, its assets, and liabilities you can establish your expected financial position before the end of the financial year.
The benefits of tax planning are many. Here we look at just a few:
Prior preparation means you have time to make adjustments ahead of tax time, with the potential for lowering your liability and making savings. Here you can look at any available asset write-offs, repairs and maintenance deductions or options to defer income.
By reviewing your financial reports and cash flow statements during the tax planning process you can identify any issues you may have with your profit margins and pricing structures and address them before the new financial year commences – meaning your business can be in a better position next time you tackle this process.
Tax planning is a great time to assess and improve your business processes, to streamline systems and revisit your staffing needs moving forward. Undertaking this review, and implementing the necessary changes, can ultimately enable the growth of your business.
And, if you’re working with a trusted accountant, they will guide you through each step.
If you’d like to discuss your tax planning or book an appointment to get this process underway for your business, don’t hesitate to call the team at Hub Advisory Group on (02) 4926 8000.
We’re passionate about guiding businesses through their growth phase, supporting them with mentoring and our suite of business planning strategies and financial services.