Get ready for EOFY 2024 with the right questions now

7 questions that could put money in your (business) pocket

In uncertain times, expert advice makes a difference

Don’t wait until the EOFY is here to ask your accountant questions that could cost you money. Some questions remain the same each EOFY, but here’s what we recommend asking now in 2024.

The right questions for your accountant in 2024

1. What’s different for us this EOFY and why?

As EOFY approaches, are your numbers pointing to any trends or issues you need to address? Is profitability up (or down)? Is your accountant seeing any industry trends that you need to be aware of? If your numbers aren’t where you want them to be, why and are there any levers you can pull to improve business performance?

2. Are there changes we should make to super contributions for tax – both for individual and company benefits?

From 1 July 2024, the Super Guarantee increases to 11.5%, before reaching 12% in 2025. There’s also a new maximum super contribution base. Talk to your accountant to ensure you are paying the right amount for each employee and options for additional voluntary contributions.

3. How much tax will we pay this year – and is there anything we can do now to reduce it?

EOFY is a good time to look at your overall tax liability for the year and check if there are any ways to reduce that – like tax-deductible purchases. Remember though, it’s not wise to buy something only for the tax deduction – you’ll still be out of pocket for the part of the expense that’s not tax deductible.

4. How will you pick up outlier costs or anomalies – and what will we do about them?

Are there any one-off costs or pieces of income that are skewing your numbers for this year? If your business numbers are looking substantially different, make sure you know why and talk to your accountant about how the impact of that can possibly be smoothed out.

5. What upcoming tax updates will affect my business?

The big change on the horizon is the Stage 3 tax cuts which take effect from 1 July 2024. These changes reduce the tax rate for the two lowest income brackets, and increase the thresholds for the 37% and 45% tax rates. It’s worth talking about the likely impacts on your business and what it might mean for your business cash flow.

6. Are there any grants or schemes coming to an end that will impact my business?

For sole traders, the low and middle income tax offset ended on 30 June 2022, but the low income tax offset remains for sole traders earning up to $66,667. Temporary full expensing for depreciating assets also came to an end on 30 June 2023, so your accountant can help guide you through the new rules.

7. What could we improve on in the new financial year?

The outside view of your accountant can help you to determine any new areas to focus on in 2024 to drive improved business performance. This might mean increasing prices, reviewing supplier agreements, addressing debt – the list goes on.

Avoid tax time surprises

Being proactive with your accounting team can help you to know what to expect when EOFY rolls around. The right accounting support means you can be on top of your business finances to ensure a smooth EOFY.

Stay on the ball this EOFY with expert accounting advice. 

Ask for a callback from Scotts Chartered Accountants.