With 31 March fast approaching its timely to check you’re ready for the 2022 financial year.
Q2’s Checklist to ensure the next financial year’s financial and business goals are achieved:
- Strategic business plan in writing for next 12 months?
- Do you have a business continuance plan (Coronavirus specific), and is it known to all staff?
- Financial and cashflow forecasts prepared for next 12 months?
- Pricing (and costings) reviewed or updated?
- Organisational structure with reporting lines and accountabilities defined and up to date?
- Job descriptions and KPIs in place for all team members?
- Performance and/or annual salary reviews completed?
- Marketing plan completed for next 12 months?
- All 2020 tax returns filed with IRD?
- 2020 terminal tax due by 7 April 2021 – should you consider a tax purchase?
- Does 2021 provisional tax due 7 May 2021 need reviewed, or a tax purchase arranged?
- Reviewed your Family Trust for compliance with the Trusts Act 2019 (the new legislation was effective from 30 January 2021)?
Q2’s Quick check that you have prepared for the 31 March 2021 tax year end cut off:
- Bad debts written off accounts receivable (debtors) before 31/3/21
- Prepay expenses before 31/3/21 so can claim as a tax deduction
- Stock on hand correctly valued and obsolete stock written off
- Minimise end of year Work In Progress (invoice or write off unrecoverable WIP before 31/3/21)
- Review fixed assets for items scrapped or disposed of during year
- Quantify holiday pay owing at 31 March 2021 (if paid by 2 June 2021 you can claim a tax deduction)
Accounting and Payroll Software
1st April is the ideal time to transition your accounting and/or payroll software to a more suitable or convenient platform – get ready now! Q2 can help.
Increase in top personal tax rate to 39% from 1 April 2021
On 1St April 2021 the top tax rate for individuals earning income over $180,000 increases from 33% to 39%. If you are concerned, or wish to discuss the tax implications and options available to you, please contact us.
Contact Q2 if you wish to discuss any of the above.
Helping business owners run better businesses is what Q2 does.