The end of the financial year, and the end of the next GST period, are fast approaching with the February to March GST Return due 8th May 2023.
From now until the 31st March 2023 is the perfect time to have a final check on your accounts and make any adjustments. The 31st March is a line in the sand for your financial position and trading for the prior 12 months, and the financial statements produced would be used for any future lending, or in relation to the potential sale of your business (if relevant).
We recommend ensuring the bank accounts are not overdrawn, liabilities are met, and as much work in progress is completed and invoiced to customers. If you hold stock, there will need to be a stock take completed as at 31st March as well. Stock should be listed at cost price excluding GST.
Here’s what you need to do:
- Please upload documentation to support transactions to Xero Files. You can upload files in a wide variety of formats and have the ability to drag and drop multiple files in one go.
- Please check the bank transactions from the dashboard in Xero and if there are comments in the discuss tab, please endeavor to answer these as quickly as possible so that reconciliation can take place.
- If your business is on an invoice basis for GST, please ensure that all invoicing of your clients is completed, and bills to be paid are either entered into Xero or provided to us to process as soon as possible.
- If you are aware of specific transactions or journals that we complete for you at the end of each month, GST period or financial year then please make sure you have the applicable documentation available and confirm those with us. We will also review what has been done in prior years, and confirm if these are required again this year.
- Review your aged receivables for potential bad debts and let us know so we can help take appropriate action to enable a bad debt write off in this financial year.
- Please keep checking your dashboard and reviewing your information regularly as you may well spot something that looks ‘not right’ before we do. Let us know if you see something odd so that we can alter it.
When will the 2023 End of Year Checklist be sent out?
On the 1st of April 2023 we will be sending all of our clients our EOFY 2023 Checklists to help you collate your records for us. Please expect this email and reach out if you do not receive it.