As usual, when the end of the financial year is approaching, it’s a good idea to make sure everything’s in good order. It’s a good idea to take a look at:
- How much stock you are carrying at the end of the year. Dispose of any obsolete lines or write the stock down to its net realisable value.
- Any dividends payments which you are planning to make.
- Credit notes issued to customers following balance date that apply to income earned this year.
- Bad Debts: if you have taken reasonable steps to recover a debt, you may be able to write it off and claim a deduction.
- Fixed assets: can any be written off?
- Any expenses you can prepay to claim a deduction. Not sure what kinds of prepayments are deductible? Ask us.
- Undertaking significant maintenance or repairs before end of year, where these costs are eligible for an early tax deduction. Check if you’re not sure whether expenditure on an asset is deductible as repairs or maintenance or if it should be capitalised.
- Your records while the year end is fresh. Retain information from the bank about accounts and loans as at balance. If you’ve entered into any purchase arrangements then make sure you have the documentation for this.
Call the Software Support Team on 04 385 3343 or email firstname.lastname@example.org if you’d like a quick heads-up on what to look for in the detail, or options for how to treat any of the above.
Want to print this off?
If you’d like to print this list off the download a PDF version of the End of year checklist here.