Financial New Year Checklist!

Take the time to consider ways to minimise tax and maximise cash surpluses for the coming year.

Can you pre-pay expenses?
Many items can be prepaid and claimed as a tax deduction in the year to 31 March 2017.

Have your reviewed your debtors' ledger?
To claim a deduction you need to physically write off bad debts in your debtors' ledger before 31 March. You must have taken reasonable steps to recover the debt first.

Are you committed to employee expenses?
Amounts owing for holiday pay, bonuses, redundancy payments, long service leave etc. can be claimed, if the employer is committed to them at year end and they're paid within 63 days.

Have you scheduled a stock take?
Dispose of obsolete trading stock by 31 March or alternatively write it down to its net realisable value, the lesser of cost or market value.

Have you reviewed all credit notes?
Review credit notes issued to customers after 31 March which might be applied to the previous year, potentially reducing the current year's taxable income.

Have you reviewed fixed assets?
If you have assets no longer in use, the book value can be written off - provided the cost of disposal is expected to outweigh the proceeds from its sale, e.g. the keyboard you spilt coffee on.

Are repairs and maintenance due?
Consider undertaking repairs and maintenance to key assets before 31 March to ensure a full tax deduction.