As a small business owner we wear a lot of hats:
One question we are often asked by clients who are setting up a new business as a sole trader is “Do I need to setup a new bank account for the business?” Legally, the answer is “No” as there is no legal difference between you as an individual and you as the business if you are a sole trader.
However, there are some very good reasons why it is better to keep your business banking separate from your private banking.
If you have a spare room, or some spare time, your friends may have suggested you to grab some cash by hosting your room on Airbnb or becoming an Uber driver.
You thought the idea of being able to generate extra cash without being tied up in an office 9-5, or having some flexibility on deciding when to work sounds cool, and (after a few drinks) your friends suggested that you do not need to report that as income, for whatever reasons.
Sounds too good to be true? Well, it sure is.
The ATO are focusing their attention on the “sharing economy” – the popular ones are Airbnb, Stayz, Uber and Taxify. Below are a few things to consider before starting your shared economy business.
In recent years many desktop accounting systems started chasing after “the cloud” by establishing their online presence. Some are moving their software to the server/online environment, while the others completely revamped the look and functionality of their software to compete with other online software.
Cloud Accounting is the new, easy and efficient way for you to take control of your business paperwork and have more time to increase your profits or spend with your family. What will you do with the time you save?
If you are thinking of buying a newly established residential property, or a subdivided property, you may need to remit GST on the purchase directly to the ATO. The following article provides a quick guide to this new legislation, and what to do if you are affected.
