Remote Bookkeeping and OnLine Accounting Services Australia

Keeping accurate and complete records of transactions is the key to business success. All businesses, regardless of age and size, need a reliable system for bookkeeping such as the Quick Books online accountant. This accounting software is programmed to perform important calculations automatically and draw the user’s attention to possible errors in recording.

Importance of bookkeeping

Existing tax laws require every business to maintain complete and accurate records of all its business transactions. This includes the duty to keep account books, records or documents related to the preparation of tax returns for at least 5 years after preparation or the completion of a transaction.

Moreover, accurate business records provide essential information about a business, particularly:

• costs and profitability
• income taxes due
• cash flow and other transactions

These help the owner manage his business, complete and lodge activity statements, and ensure timely tax payments.

Types of records

Record requirements vary depending on the type of business and business structure. Among the common records any business must keep include:

• Income and sales records such as invoices, receipt books, cash register tapes and records of cash sales
• Expenses or purchase records such as receipts, invoices, cheque butts, credit card vouchers, and diaries for recording petty cash vouchers
• Bank records
• Contracts and agreements such as franchise and lease agreements
• Year-end records, including lists of creditors, debtors and worksheets for depreciating assets
• Diary of minor deductible expenses for certain work, car and business travel expenses that are not substantiated by receipts.

Recording of accounts may be made on paper or electronically. Paper records may be easier to start with but can be time-consuming at the end of the month or at tax time when it is necessary to calculate all amounts for reporting. Various bookkeeping systems are available but the more sophisticated tools such as Quick Books online accountant software, provides the added ability track GST and lodge Business Activity Statements (BAS) online and in real time.

Recording and calculating amounts can be time-consuming and confusing for a business owner. A business may engage the services of a bookkeeper, use intelligent accounting software or complement the work of a bookkeeper with software such as Quick Books online. Accountant access to the system any time and anywhere is key because it ensures that business data is current. The general recommendation is to start using a bookkeeping system from the time business is established.