End of year adjustment…

june 2014 calendarThey say time flies when you’re having fun…but where does it go?

Like most people, I am counting down the weeks until the end of the year, but it just seems to go by so fast…and 30th June feels like a lifetime ago!

I’m hoping by now that many of you reading this who are business owners have at least started to put together your “end of year package” for your accountant…as long as you’re on their lodgement list with the Australian Taxation Office (ATO), you’ve still got plenty of time – however, if I have learnt one thing during my time as an accountant, it’s that the months fly by when we return from our Christmas break (we’ll be talking 2015 year end before we know it!)!

My advice to clients when preparing their “end of year package”, is to reconcile as much as they can and provide good quality supporting information – at the very least, this will reduce the amount of time your accountant needs to spend compiling your financial statements and reduce the queries they need to send you!

When preparing the financial statements, it is always necessary for the accountant to make adjustments to the clients figures, but one thing that is often overlooked at the end of the process – by clients and accountants – is performing an “end of year adjustment”.

An “end of year adjustment” will ensure that the computerised accounting system of the client agrees to the final financial statements as prepared by the accountant – and this provides a clear and clean start for the next financial year.

The good news is…The Tax Chic can help with all of the above – both preparing the package and performing the adjustment – even if you use another accountant, contact us if you would like some help with this!



Leave a Reply

Your email address will not be published. Required fields are marked *