End of financial year is just around the corner and companies are scrambling to get their accounting sorted so they can submit their tax returns after June 30. Around 20 per cent of small businesses are not very good at doing this, according to a survey by accounting software provider Xero.
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The Australian Government has brought in a range of incentives and tax breaks for small businesses and it would be wise for eligible companies to take advantage of them as soon as they can. But many business owners find tax time stressful and confusing. Xero surveyed 503 Australian small business owners and found that 45 per cent put off doing their taxes with one in five filing their tax returns late because they saw it as a daunting task.
Around 29 per cent of respondents said they resented the time they have to invest in doing taxes when they could spend that time performing customer-facing tasks. According to Xero:
"When asked what could be improved, half of Australia's small business owners indicated that easier government compliance requirements would make tax time less stressful, over a third (38 per cent) suggested an easier way of doing taxes, and a fifth (23 per cent) would like less paperwork to complete."
If you're a small business owner struggling to deal with your tax return, we have some advice for you to make the process just a little bit easier here.