Introduction
Staying compliant with tax and financial regulations is essential for small businesses in Penrith. Missing key deadlines can result in penalties and additional stress for business owners. January 2025 brings several critical compliance dates that businesses need to keep track of. This guide highlights the most important deadlines and provides tips to help you stay on top of your obligations.
1. January BAS Lodgement Deadline
The Business Activity Statement (BAS) for the October–December 2024 quarter is due on 28 January 2025. This is a critical deadline for businesses registered for GST, as it involves reporting GST collected and paid, along with PAYG instalments and other taxes.
- What to Include:
- GST on sales and purchases
- PAYG withholding for employees
- PAYG instalments, if applicable
- Tips for Lodging:
- Review your records to ensure all transactions are accurately recorded.
- Use accounting software to simplify the BAS preparation process.
- Lodge early to avoid last-minute stress.
Tip: A Penrith accountant can review your BAS to ensure accuracy and compliance before submission.
2. Superannuation Guarantee Contributions
Superannuation contributions for the October–December 2024 quarter must be paid by 28 January 2025. This includes the updated 12% Superannuation Guarantee rate.
- What to Do:
- Verify that all employee superannuation contributions are calculated correctly at the new rate.
- Use the ATO’s SuperStream system to process payments electronically.
- Why It’s Important: Late payments can incur the Superannuation Guarantee Charge (SGC), which includes penalties and interest.
Tip: Partner with a Penrith accountant to ensure superannuation contributions are made on time and in full compliance.
3. Income Tax Instalments for PAYG
Businesses required to make Pay-As-You-Go (PAYG) instalments must do so by 21 January 2025. This applies to businesses using the PAYG system to prepay their income tax liability.
- How to Prepare:
- Review your estimated income for the quarter and adjust instalments if necessary.
- Ensure payments are made via the ATO’s online services or authorised payment methods.
Tip: A Penrith accountant can help you estimate your income accurately to avoid overpaying or underpaying.
4. Annual Fringe Benefits Tax (FBT) Reporting
If your business provides fringe benefits to employees, such as company cars or entertainment, you must lodge your Fringe Benefits Tax (FBT) return by 31 January 2025.
- What to Include:
- Any benefits provided between April 2024 and January 2025.
- Valuations of the benefits to determine the FBT liability.
- Preparation Tips:
- Keep detailed records of all benefits provided to employees.
- Use an FBT calculator or software to simplify reporting.
Tip: Engage a Penrith accountant to ensure accurate reporting and identify any FBT exemptions you may qualify for.
5. Review of Employee PAYG Summaries
While the final submission for Single Touch Payroll (STP) reporting isn’t due until later in the year, January is an excellent time to review employee PAYG summaries to ensure accuracy.
- Why It Matters:
- Accurate records now will prevent issues during EOFY reporting.
- Employees rely on these summaries to prepare their personal tax returns.
- What to Do:
- Check all payroll records for discrepancies.
- Confirm that tax withheld aligns with employee earnings.
Tip: A Penrith accountant can conduct a payroll audit to catch any errors early.
6. Preparation for Financial Year-End Planning
Though the end of the financial year is still months away, January is a good time to start planning. This proactive approach allows you to make strategic decisions that can impact your tax liability and financial health.
- Key Steps:
- Review expenses and identify any potential deductions.
- Consider upgrading equipment or making capital purchases to leverage tax incentives.
- Plan superannuation contributions for the remainder of the year.
Tip: Schedule a consultation with a Penrith accountant to create a personalised financial strategy for 2025.
Staying Organised: Tips for Compliance Success
Managing multiple deadlines can be overwhelming, but staying organised can make all the difference. Here’s how:
- Create a Compliance Calendar:
- Mark all key dates in a shared digital calendar.
- Set reminders a week in advance to allow for preparation time.
- Use Technology:
- Invest in accounting software that tracks deadlines and automates reporting.
- Sync your software with the ATO’s online services for seamless integration.
- Delegate Tasks:
- Assign specific compliance responsibilities to trusted team members or outsource them to a Penrith accountant.
- Schedule Regular Check-Ins:
- Meet with your accountant monthly to review progress and address any issues.
Conclusion
Staying compliant with tax and financial obligations is essential for the success of your small business in Penrith. By keeping track of key deadlines like BAS lodgement, superannuation contributions, and PAYG instalments, you can avoid penalties and maintain smooth operations.
At Carmody Accounting and Business Advisory, we’re here to make compliance easy. Our team of expert Penrith accountants can help you stay on top of your obligations and optimise your financial processes. Contact us today to ensure your business starts 2025 on the right foot.
