Growth Customer Experience Productivity Business IQ Trends Success Stories Tech Solutions Subscribe Tech Enquiry
Smarter Staff
Smarter Writer

This article has been written by the Smarter Business™ Staff Writers

Smarter Staff
Smarter Writer

This article has been written by the Smarter Business™ Staff Writers

The end of financial year (EOFY) is just around the corner and Australia’s EOFY experts have revealed the most common slip-ups small businesses make.

In an Institute of Public Accountants (IPA) member survey conducted in partnership with tax and accounting service provider, MYOB, it was revealed that 56 per cent of respondents said their clients were almost prepared with submitting their EOFY statements, but just needed to finalise a few things.

40 per cent said their clients try to be ready, but need much more preparation, while four per cent said their clients weren’t prepared at all. No respondents said their clients were completely prepared.

IPA chief executive officer, Andrew Conway said, “We encourage small businesses to draw on the expertise of their public accountant beyond compliance reporting and income tax returns. Engagement with their accountant during the course of the year can be very beneficial, as they can access strategic business and planning advice to help them become more profitable. They can also be provided with a more holistic service including assistance with sales and growth forecasts, cash flow management, accessing funds and succession planning.”

piggy bank near block letters
Engagement with their accountant during the course of the year can be very beneficial, as they can access strategic business and planning advice to help them become more profitable.

- ANDREW CONWAY, IPA

When asked about the most important steps business operators could take to prepare for EOFY, accountants ranked first “advise on any major transactions throughout the year as they happen (sale of land, shares etc.)” at 91 per cent. Second equal was “responding to requests for additional information in a timely manner” at 84 per cent and “clarity and consistency of information provided in support of their financial statement” at 84 per cent. Third was “ensure all documents sent through are labelled/organised”.

Top 5 mistakes made with EOFY statements

  1. Miscoding bank transactions 65 per cent, on par with last year's survey
  2. Not keeping accounts and records up-to-date throughout the year 58 per cent, slightly down from 62 per cent
  3. No contact with their accountant over the financial year 58 per cent, up from 42 per cent
  4. Does not provide enough detailed or supporting information 49 per cent, down from 64 per cent
  5. Not fully trained up on accounting software functionality 46 per cent, up from 39 per cent
Visit the MYOB website for a summary of major tax changes, helpful tips, resources and more.
Find Out More

Unfiltered Conversations: Happiness, resilience and work-life balance for mental and physical health
Success Stories
Success Stories
Unfiltered Conversations: Happiness, resilience and work-life balance for mental and physical health

With Natasha Chadwick and Carolyn Creswell Unfiltered Conversations pairs brilliant business women who are disrupting the status quo, for an honest, intimate and authentic conv...

Solution to misplacing assets: Tagging with tech
Tech Solutions
Tech Solutions
Solution to misplacing assets: Tagging with tech

Looking for a way to secure the tools of your trade? From tools on a work site to the electronic devices across your business, new tagging technology offers you simple, quick a...

How-to: Prepare your business for E-commerce sales holidays
Customer Experience
Customer Experience
How-to: Prepare your business for E-commerce sales holidays

Customers love online bargains – no surprises there. But in recent years, digital sales events such as local efforts Click Frenzy in May and the U.S’s Black Friday have had a r...

Flexibility in practice: tips and insights from our Telstra Business Women’s Awards winners
Success Stories
Success Stories
Flexibility in practice: tips and insights from our Telstra Business Women’s Awards winners

Is the traditional work week redundant? For a growing number of small-to-medium businesses, the days of clocking on at 9am and clocking off at 5:01pm are already gone. As are v...