The ATO reported that common mistakes include:
- Omitting income, such as a salary or wages earned outside of their business
- Incorrectly claiming expenses, for example, claiming for the portion of an expense related to personal use or overstating the cost of sales and other expenses
- Incorrectly calculating business losses
- Incorrectly applying non-commercial loss rules to offset a loss against other income
- Incorrectly claiming PAYG withholding credits
Top Tip: Putting Tax Aside
Set up separate bank accounts for the taxes you might have to pay, such as income tax or GST. If you collect GST, remember, you must register as such. That money isn’t yours to spend, it’s tax you’ve claimed on the government’s behalf from your customers, so it must be paid to the ATO.
There’s a lot to unpack and our experts can look at factors specific to your industry to guide you along the correct path. As qualified tax agents and accountants in Mackay, Whitson Dawson has the knowledge and skills to help you handle tax season. Get in touch with our team today to learn more.
Choose Whitson Dawson for accounting you can trust
Looking for friendly and trustworthy accountants in Mackay? Look no further than Whitson Dawson. We’re a family-owned business that prides itself on delivering outstanding services to our wide range of valued clients. From consulting and taxation advice to estate planning and auditing, you can trust us for honest, professional service exceeding expectations. Contact us today on (07) 4957 2985.