Operating a business comes with highs and lows, income and expenses and possibly a whole lot of confusion on what tax deductions for small businesses you can or cannot make.
Instead of missing out because of uncertainties, ask your Gold Coast Accountant questions and find out what you really can claim for your small or medium enterprise (SME).
Read more from Crest Accountants to see your guide to tax deductions for small businesses & medium-sized businesses.
Defining SME tax deductions
As an owner of a small or medium enterprise, you probably know a thing or two on tax deductions, such as the deductions you claim, have to be business-related, not personal.
The SME tax-deductible expenses
- Accounting
- Bookkeeping
- Advertising
- Bank fees and charges
- Business travel expenses (more on that later)
- Building maintenance
- Commissions and fees
- Depreciation (the reduction of value of asset over time) and amortisation (gradually writing off the initial cost of an asset over time)
- Freight and transport
- Professional services (lawyers and accountants)
- Rent and utilities
- Education, training and so much more.
If you’re unsure about what’s tax deductible for your SME, advice from your Gold Coast Accountant will make sure you’re stepping into tax time with the best foot forward.
Home-based businesses
Do you work from an office or home? If it’s the latter, you can make certain small business tax deductions for the portion of your/the home you’re using the business for, such as:
- Occupancy expenses – these are your rent or mortgage expenses, council rates, land tax and home insurance premiums.
- Operating expenses – these are your utility, landline, cleaning and furniture costs.
It’s advised that you talk to your business accountant for further information on tax deductions.
Your Gold Coast Accountant will work out exactly what is and what isn’t tax deductible for your home-based office/business.
Business travel expenses
Do you travel for business? This could be anything from using air, bus, rail, taxi and uber fares for business travel to overnight, or longer business trips.
It’s wise to keep a diary of your business travels as written evidence of the costs incurred.
For example, include:
- The type of activity during business travel
- When the business activity commenced
- How long the business activity lasted
- Where the business activity was held.
Outlining the who, what, where, when and why of your business travel expenses will help immensely when you consult with your Gold Coast Accountant regarding tax deductions.
Get tax help with your Gold Coast Accountant
Remember, documentation is crucial in SME tax deductions. If you’re struggling with keeping on top of your receipts, invoices and business-related financials, you can trust your Accountant to help minimise your tax bill
With over 45 years in the accounting business, Crest Accountants specialises in a range of industries from hospitality and medical, to construction and eCommerce. Crest Accountants use expert financial advice and accounting services to empower individuals, families and businesses to nurture financial success, security and peace of mind.
Want to know more about tax deductions for small businesses & medium enterprises?
Contact your Gold Coast Accountant, Crest Accountants today to ensure your business is prepared to reap the rewards of tax time.
