Some common things businesses forget at tax time

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The end of the financial year is fast approaching, and with that, comes your annual accounts activity and the need to fulfil your tax compliance obligations. Are you claiming all the business tax deductions that you are entitled to? Here are four things that businesses often forget.

Are these on your list?

Running a business is a demanding job, so it’s no wonder owners lose track of crucial things at tax time. We’ve put together a short list of somethings which may have fallen off your radar.

Deducting entertainment expenses

Dinner and lunch meetings with clients and customers are partially tax deductible. Keep your receipts and check in with us to see which meetings can be deducted.

Bear in mind that the treatment of meal expenses incurred by self-employed people differs from the meal allowances afforded to employees. We can clarify this for you.

Subscriptions and memberships

If keeping up with your industry via specialist magazines or newspapers helps you in your work, you may be eligible for a tax deduction on subscriptions.

Claiming home office space

If you work from home, you can claim a portion of your mortgage interest payments, rent, rates, utilities bills and insurance.

You’ll need to provide information on how many square metres your home covers, and what percentage of that space is used for work. If you’re a tradie who uses garage space, you can claim that, too.

Vehicle expenses

Logbooks are useful records of business expenses relating to work vehicles and this is important when calculating what tax deductions you can claim. Depending on your business entity type, different tax rules apply when you use motor vehicles to earn income, and you might use a logbook to track expenses in different ways.

Keeping records

When it comes to records and receipts, keep everything.

You won’t be able to claim any of the above if you don’t have proof to back it up.

Anything keeping you up at night

If you're facing challenges please get in touch. We are here to help.