5 key actions you should do when EOFY compliance is finished

5 key actions you should do when EOFY compliance is finished


POV: you've been notified that your financial statements and/or income tax returns for the latest financial year have just been completed.

Now what should you do?

Don't just chuck them into the bottom of a drawer (metaphorically for us - we don't do paper!).

1 - sign all relevant documents ✍️

Nothing can be filed until you've signed all the required documents = your financial statements, income tax return/s, and statutory company minutes (if applicable).

This is key because as a taxpayer, it is your responsibility to sign off on everything that has been prepared.

2 - save copies of the relevant documents 📁

Once they're signed, you should save soft copies of your EOFY documents somewhere. That could be in a designated folder for that particular financial year, or one that you keep important documents in, or wherever suits you! The aim is to save it somewhere you can easily refer back to if needed (e.g. for the bank).

For our clients, we use the Xero Portal for e-signing EOFY documents, and these are these securely stored there so you can always log in and retrieve them yourself if need be.

3 - put tax payment dates in your calendar or reminder app 🗓️

Every income tax return will detail what tax there is to pay for the current financial year, and the following financial year (if required).

The key dates for most are:

• 7 April

• 28 August

• 15 January

• 7 May

Refer to your income tax return or chat with your accountant to make sure you understand!

We always send electronic reminders to our clients a few weeks before each of those dates, so if you haven't already put it in your calendar, you know you'll at least get a prompt later down the track.

4 - book a time to deep dive into the numbers with your accountant 🔢

This is optional, but if you're only using your accountant for EOFY compliance, then taking the time to chat to them about the numbers they've prepared for you is highly recommended.

There are a bunch of (educated) judgement calls and required adjustments that get made to your "raw" numbers, and every good accountant has a record of all the workings that went into this.

They can easily tell you what changes have been made, and things like why your profit might look lower than expected, how a big asset purchase has been recorded, or what your gross profit margin means for business performance.

5 - find out how else your accountant can help 🤝

Well this is just a shameless plug on behalf of lots of accountants for the other services they offer, because frankly, EOFY compliance is the bare minimum and often not the most enjoyable service!

EOFY compliance lays a good foundation for a lot of other valuable services for your business. An accountant as a business adviser can work with you on these, tailored to your business and specific goals. Just ask.

EOFY compliance is certainly seen as one of those "I only do it because I have to" tasks, but the documents prepared are really important for a variety of reasons.

It can be painful for everyone if you've forgotten you have a tax payment coming up, or can't find a copy of your financials when you need them urgently. Ensuring you have wrapped up the financial year properly means you can more easily move forward with your business life and focus on the future (which is way more fun!).