Australia Bookkeeping

Australia Bookkeeping

Section 1 -- Quick Reference

Quick Reference

Field	Value
Country	Australia (Commonwealth of Australia)
Currency	AUD ($) only
Financial year	1 July – 30 June (standard); substituted accounting period available for companies
Accounting standards	AASB (full IFRS-based); AASB 1060 Simplified Disclosures (Tier 2); Special Purpose for non-reporting entities
Governing body	Australian Accounting Standards Board (AASB)
Tax authority	Australian Taxation Office (ATO)
Key legislation	Corporations Act 2001 (financial reporting Ch.2M); Income Tax Assessment Act 1936/1997; A New Tax System (GST) Act 1999
GST registration threshold	$75,000 turnover ($150,000 for non-profits)
Small business entity threshold	Aggregated turnover < $10 million
BAS lodgement	Quarterly (most small businesses) or monthly ($20m+ turnover)

Section 2 -- Standard Chart of Accounts

Australian software (Xero, MYOB, QuickBooks) typically uses 3–4 digit codes. The structure below follows common Australian practice.

Assets (1000–1999)

Assets (1000–1999)

Code	Account	Type
1000	Cash on Hand / Petty Cash	Current asset
1010	Business Bank Account	Current asset
1020	Savings Account	Current asset
1030	Term Deposits (< 12 months)	Current asset
1050	Undeposited Funds	Current asset
1100	Accounts Receivable (Trade Debtors)	Current asset
1110	Other Debtors	Current asset
1120	Prepayments	Current asset
1150	GST Receivable (Input Tax Credits)	Current asset
1200	Inventory / Stock on Hand	Current asset
1300	Land	Non-current asset
1310	Buildings	Non-current asset
1311	Accumulated Depreciation — Buildings	Contra asset
1320	Plant and Equipment	Non-current asset
1321	Accumulated Depreciation — Plant & Equipment	Contra asset
1330	Motor Vehicles	Non-current asset
1331	Accumulated Depreciation — Motor Vehicles	Contra asset
1340	Office Equipment	Non-current asset
1341	Accumulated Depreciation — Office Equipment	Contra asset
1350	Computer Equipment	Non-current asset
1351	Accumulated Depreciation — Computer Equipment	Contra asset
1360	Furniture and Fittings	Non-current asset
1361	Accumulated Depreciation — Furniture & Fittings	Contra asset
1400	Small Business Pool	Non-current asset

Liabilities (2000–2999)

Liabilities (2000–2999)

Code	Account	Type
2000	Accounts Payable (Trade Creditors)	Current liability
2010	Other Creditors	Current liability
2020	Accrued Expenses	Current liability
2050	GST Payable (Collected)	Current liability
2060	GST Clearing / Control	Current liability
2100	PAYG Withholding Payable	Current liability
2110	Superannuation Payable	Current liability
2120	Provision for Annual Leave	Current liability
2130	Provision for Long Service Leave	Current liability
2140	Provision for Income Tax	Current liability
2200	Credit Card	Current liability
2300	Short-Term Loan (< 12 months)	Current liability
2400	Long-Term Loan (> 12 months)	Non-current liability
2410	Hire Purchase Liability	Non-current liability
2500	Director's Loan Account	Non-current liability

Equity (3000–3999)

Equity (3000–3999)

Code	Account	Type
3000	Share Capital / Owner's Equity	Equity
3010	Owner's Drawings	Equity
3020	Owner's Contributions	Equity
3100	Retained Earnings	Equity
3200	Current Year Profit/Loss	Equity
3300	Reserves	Equity

Revenue (4000–4999)

Revenue (4000–4999)

Code	Account	Type
4000	Sales Revenue — Taxable (GST 10%)	Revenue
4010	Sales Revenue — GST-Free	Revenue
4020	Sales Revenue — Input Taxed	Revenue
4030	Sales Revenue — Export (GST-Free)	Revenue
4100	Service Revenue	Revenue
4200	Interest Income	Revenue
4300	Rental Income	Revenue
4400	Government Grants / Subsidies	Revenue
4500	Other Income	Revenue
4900	Discount Allowed	Contra revenue

Cost of Goods Sold (5000–5999)

Cost of Goods Sold (5000–5999)

Code	Account	Type
5000	Purchases — Trading Stock	COGS
5010	Purchases — Materials / Components	COGS
5020	Freight Inward	COGS
5030	Direct Labour	COGS
5040	Subcontractor Costs	COGS
5100	Opening Stock Adjustment	COGS
5110	Closing Stock Adjustment	COGS
5200	Import Duty and Customs	COGS

Operating Expenses (6000–6999)

Operating Expenses (6000–6999)

Code	Account	Type
6000	Rent — Business Premises	Expense
6010	Rates and Body Corporate	Expense
6020	Electricity and Gas	Expense
6030	Water	Expense
6040	Insurance — Business	Expense
6050	Repairs and Maintenance	Expense
6100	Wages and Salaries	Expense
6110	Superannuation Guarantee (12% from Jul 2025)	Expense
6120	Workers' Compensation Insurance	Expense
6130	Payroll Tax (state-based)	Expense
6140	Staff Training	Expense
6200	Advertising and Marketing	Expense
6210	Website and Hosting	Expense
6220	Printing and Stationery	Expense
6230	Postage and Delivery	Expense
6300	Motor Vehicle — Fuel	Expense
6310	Motor Vehicle — Registration and Insurance	Expense
6320	Motor Vehicle — Repairs	Expense
6330	Travel — Domestic	Expense
6340	Travel — International	Expense
6350	Meals and Entertainment (review FBT election and deductibility)	Expense
6400	Accounting and Tax Agent Fees	Expense
6410	Legal Fees	Expense
6420	Bank Charges	Expense
6430	Merchant / Payment Processing Fees	Expense
6440	Interest Expense	Expense
6500	Telephone and Internet	Expense
6510	Software Subscriptions (SaaS)	Expense
6520	Professional Subscriptions and Memberships	Expense
6600	Depreciation — Buildings	Expense
6610	Depreciation — Plant and Equipment	Expense
6620	Depreciation — Motor Vehicles	Expense
6630	Depreciation — Office/Computer Equipment	Expense
6700	Bad Debts Written Off	Expense
6800	General and Sundry Expenses	Expense

Other Income / Expenses (7000–7999)

Other Income / Expenses (7000–7999)

Code	Account	Type
7000	Gain on Sale of Assets	Other income
7010	Loss on Sale of Assets	Other expense
7020	Foreign Exchange Gain/Loss	Other income/expense
7100	Extraordinary Items	Other expense

Tax (8000–8999)

Tax (8000–8999)

Code	Account	Type
8000	Income Tax Expense	Tax
8010	Deferred Tax Liability	Tax
8020	Deferred Tax Asset	Tax

Section 3 -- Revenue Recognition

Cash vs Accrual Rules

Cash vs Accrual Rules

Criterion	Cash Basis (Sole Traders / Small Business)	Accruals Basis
Eligibility	For income tax, use the method that correctly reflects income under TR 98/1; small-business status alone does not establish a receipts basis	Apply the appropriate income-tax method and separate financial-reporting requirements
Income recognised	When cash received	When earned (invoice raised or goods delivered)
Expenses recognised	When cash paid	When incurred (liability arises)
Trading stock	Eligible small business entities can use s 328-285 where the reasonably estimated stock-value change is $5,000 or less	Otherwise apply the required stock adjustments; this is separate from GST cash accounting
Prepaid expenses	Test the 12-month rule and other exceptions under ITAA 1936 ss 82KZL and 82KZM	Apply the relevant tax apportionment and financial-reporting rules separately

AASB 15 Revenue from Contracts with Customers

Applies to reporting entities using Tier 1/Tier 2. Five-step model:

1. Identify contract
2. Identify performance obligations
3. Determine transaction price
4. Allocate price to obligations
5. Recognise when obligation satisfied

Small businesses using simplified reporting typically recognise on delivery/completion.

Section 4 -- Expense Classification

ATO Individual Tax Return Categories (Sole Trader — Business Schedule)

ATO Individual Tax Return Categories (Sole Trader — Business Schedule)

Item	Category	Nominal Codes
A	All other business income	4000–4500
B	Cost of sales	5000–5200
C	Contractors and commission	5040
D	Superannuation	6110
E	Bad debts	6700
F	Lease expense (plant/equipment)	6000
G	Interest expense — Australia	6440
H	Depreciation (excluding SB pool)	6600–6630
I	Motor vehicle expenses	6300–6320
J	Repairs and maintenance	6050
K	All other expenses	6000–6800 (remainder)

Non-Deductible Expenses (ATO)

• Entertainment (not subject to FBT election) — non-deductible portion
• Capital expenditure — must be depreciated or written off via SB pool
• Private portion of mixed expenses — must be apportioned
• Fines and penalties — not deductible
• Clothing (non-compulsory, non-protective) — not deductible
• Traffic infringements — not deductible

GST Classification for BAS

GST Classification for BAS

GST Code	Description	BAS Label
GST (10%)	Standard taxable supply	G1, 1A
GST-Free	Food (basic), medical, education, exports	G1 (no 1A)
Input Taxed	Financial supplies, residential rent	G1 (no credit)
BAS Excluded	Wages, drawings, loan principal, private	Not reported
No ABN Withholding	Payments to suppliers without ABN (47% w/h)	Separate

Section 5 -- Asset vs Expense Thresholds

Instant Asset Write-Off (IAWO)

Instant Asset Write-Off (IAWO) (Tax Reform No. 2 Act 2026, schedules 1–2)

Period	Threshold	Eligibility
1 Jul 2023 – 30 Jun 2026	< $20,000 per asset	Aggregated turnover < $10m, using simplified depreciation
From 1 Jul 2026 application date	Less than $20,000 per eligible asset	Enacted 26 August 2026; schedule 2 commences 1 October 2026. Tax Reform No. 2 Act 2026, schedules 1–2

Small Business Pool (Simplified Depreciation)

Small Business Pool (Simplified Depreciation)

Pool	Rate	Notes
Year 1 (first use)	15%	On cost (or adjustable value if added later)
Subsequent years	30%	On opening pool balance
Pool balance < IAWO threshold	Write off entire pool	End-of-year check

General (Non-SB) Depreciation

General (Non-SB) Depreciation

Method	Application
Diminishing value	rate = days held ÷ 365 × (200% ÷ effective life)
Prime cost (straight-line)	rate = days held ÷ 365 × (100% ÷ effective life)

Common effective lives (2025 determination, asset-specific)

Common effective lives (2025 determination, asset-specific) (Income Tax Assessment (Effective Life of Depreciating Assets) Determination 2025, Table B)

Asset	Effective Life	DV Rate	PC Rate
Desktop computers	4 years	50%	25%
Laptops	2 years	100%	50%
Printers/Scanners	5 years	40%	20%
Office chairs	10 years	20%	10%
Office desks	20 years	10%	5%
Motor vehicles	8 years	25%	12.5%
Air conditioning	10 years	20%	10%
Eligible building capital works	Division 43, subject to use and construction dates	No generic diminishing-value deduction	Commonly 2.5%; verify eligibility and applicable statutory rate

Car Limit

• Car cost limit for depreciation — For 2025-26, the limit is AUD 69,674. For 2026-27, it is AUD 69,883. Only the business-use portion of the applicable limit can be depreciated. AUD

Section 6 -- P&L Format

Income Statement (AASB Simplified / Tier 2)

STATEMENT OF PROFIT OR LOSS
For the year ended 30 June 20XX
                                            $           $
Revenue                                               xxx
Cost of sales                                        (xxx)
                                                     ────
Gross profit                                          xxx

Other income                                          xxx

Expenses:
  Employee benefits expense               (xxx)
  Depreciation and amortisation           (xxx)
  Finance costs                           (xxx)
  Other expenses                          (xxx)
                                                     (xxx)
                                                     ────
Profit before income tax                              xxx
Income tax expense                                   (xxx)
                                                     ────
Profit for the year                                   xxx
                                                     ════

Sole Trader — ATO Business Schedule Format

BUSINESS INCOME
  Gross payments subject to withholding       xxx
  All other business income                   xxx
  TOTAL BUSINESS INCOME                       xxx

BUSINESS EXPENSES
  Cost of sales                              (xxx)
  Contractor/subcontractor/commission        (xxx)
  Superannuation expenses                    (xxx)
  Bad debts                                  (xxx)
  Lease expenses within Australia            (xxx)
  Interest expenses within Australia         (xxx)
  Depreciation expenses                      (xxx)
  Motor vehicle expenses                     (xxx)
  Repairs and maintenance                    (xxx)
  All other expenses                         (xxx)
  TOTAL BUSINESS EXPENSES                    (xxx)

NET INCOME OR LOSS FROM BUSINESS              xxx

Section 7 -- Balance Sheet Format

Statement of Financial Position (Vertical — AASB Tier 2)

STATEMENT OF FINANCIAL POSITION
As at 30 June 20XX
                                            $           $
CURRENT ASSETS
  Cash and cash equivalents                           xxx
  Trade and other receivables                         xxx
  Inventories                                         xxx
  Other current assets                                xxx
                                                     ────
Total current assets                                  xxx

NON-CURRENT ASSETS
  Property, plant and equipment                       xxx
  Intangible assets                                   xxx
  Other non-current assets                            xxx
                                                     ────
Total non-current assets                              xxx
                                                     ────
TOTAL ASSETS                                          xxx
                                                     ════

CURRENT LIABILITIES
  Trade and other payables                            xxx
  Current tax liabilities                             xxx
  Provisions (annual leave, etc.)                     xxx
  Short-term borrowings                               xxx
                                                     ────
Total current liabilities                             xxx

NON-CURRENT LIABILITIES
  Long-term borrowings                                xxx
  Provisions (long service leave)                     xxx
                                                     ────
Total non-current liabilities                         xxx
                                                     ────
TOTAL LIABILITIES                                     xxx
                                                     ════

NET ASSETS                                            xxx
                                                     ════

EQUITY
  Issued capital                                      xxx
  Retained earnings                                   xxx
  Reserves                                            xxx
                                                     ────
TOTAL EQUITY                                          xxx
                                                     ════

Section 8 -- Bank Reconciliation Patterns

Common Australian Bank Formats

Common Australian Bank Formats

Bank	Export Format	Key Fields
Commonwealth Bank (CBA)	CSV, OFX, QIF	Date, Amount, Description, Balance
ANZ	CSV, OFX	Date, Description, Amount, Type
Westpac	CSV, OFX, QIF	Date, Narration, Debit, Credit, Balance
NAB	CSV, OFX	Date, Narration, Amount, Type, Balance
Macquarie	CSV	Date, Description, Amount, Balance
Bendigo Bank	CSV, OFX	Date, Description, Debit, Credit, Balance
Up Bank / Neobanks	CSV	Date, Description, Amount, Category

Common Transaction Descriptions

Common Transaction Descriptions

Pattern	Likely Classification
DIRECT CREDIT, BPAY CREDIT	Income — customer payment
EFTPOS, VISA PURCHASE, DEBIT CARD	Expense — check merchant
DIRECT DEBIT, D/D	Regular expense (insurance, subscription, utility)
BPAY	Expense — bill payment (utilities, ATO, rates)
TRANSFER, INT TFR	Internal transfer or payment — check counterparty
ATM WITHDRAWAL	Drawings (sole trader) or petty cash replenishment
INTEREST CHARGED	Interest expense (6440)
INTEREST PAID	Interest income (4200)
ATO PAYMENT, ATO IAS, ATO BAS	Tax payment — not a P&L expense
PAYROLL, WAGES	Staff costs (6100)
SUPER STREAM, SUPER CLEARING	Superannuation (6110)
XERO, STRIPE, SQUARE PAYOUT	Platform payout — match to invoices

Section 9 -- Micro-Entity / Small Business Simplifications

Small Business Entity Concessions (turnover < $10m)

Small Business Entity Concessions (turnover < $10m)

Concession	Detail
Simplified depreciation	Instant write-off < $20,000; pool balance at 15%/30%
Simplified trading stock	No stock-take if estimate change ≤ $5,000
Prepaid expenses	Test the 12-month rule and other exceptions under ITAA 1936 ss 82KZL and 82KZM
Simpler BAS	Report only G1, 1A, 1B (no G2, G3, G10, G11)
Two-year amendment period	ATO can only amend assessments within 2 years (not 4)
Cash accounting for GST	Report GST when paid/received, not invoiced
PAYG instalments	Option to pay quarterly amount the ATO calculates

Reporting Tiers

Reporting Tiers

Tier	Who	Standards	Required Statements
Tier 1 (Full AASB / IFRS)	Entities with public accountability or another Tier 1 requirement	Full recognition and disclosure	Determine requirements under AASB 1053; size alone does not force Tier 1
Tier 2 (AASB 1060 Simplified)	Non-publicly accountable entities electing Tier 2	Full recognition, reduced disclosure	All 5 statements + reduced notes
Special purpose	Assess the entity and reporting obligation	The AASB 2020-2 changes apply from periods beginning on or after 1 July 2021 to specified for-profit entities	Use australia-financial-statements-2 and current AASB/ASIC requirements
No statutory reporting	Sole traders, small partnerships (non-company)	None mandated	Prepare for ATO/tax purposes only

Large Proprietary Thresholds (must be reporting entity)

• Large Proprietary Thresholds — Meet 2 of 3: Revenue ≥ $50m, assets ≥ $25m, employees ≥ 100.

Section 10 -- Interaction with Tax Skills

Income Tax Return

• Sole traders: business schedule in individual return (myTax or tax agent)
• Companies: Company Tax Return (form with labels mapped to financial statements)
• Tax rate: individuals at marginal rates; companies at 25% (base rate entity, turnover < $50m) or 30%
• Franking: company tax paid generates franking credits for shareholder dividends
• Losses: carried forward indefinitely, subject to continuity of ownership test (companies) or non-commercial loss rules (individuals)

BAS / GST Return

BAS / GST Return

BAS Label	Description	CoA Mapping
G1	Total sales (incl. GST-free and input taxed)	4000–4500
1A	GST on sales	2050
1B	GST on purchases (Input Tax Credits)	1150
W1	Total salary/wages and other payments	6100
W2	Amounts withheld from payments (PAYG-W)	2100
T1	PAYG instalment income	4000–4500
T2	PAYG instalment raised	2140

Superannuation Guarantee

• Rate: 12% from 1 July 2025; 11.5% applied in 2024–25. Use the earnings definition, contribution base and deadline for the pay date. From July 2026 use the payday regime in au-super-guarantee; earlier periods retain the quarterly regime. ATO super guarantee rates.
• Due for 2025–26: quarterly deadlines. Use the separately cited payday rules for earnings paid from 1 July 2026.
• Nominal: 6110 (expense) / 2110 (payable)
• SG Charge for quarters before 1 July 2026: non-deductible. Apply the separate redesigned rules to later earnings.

Fringe Benefits Tax (FBT)

• FBT year: 1 April – 31 March
• Rate: 47% (top marginal + Medicare levy)
• Common items: car fringe benefit, entertainment, loan fringe benefit
• Meals/entertainment: establish whether an available 50/50 valuation election was made and its scope before applying it. Otherwise use the applicable actual-benefit and deduction rules. Do not default every meal to a 50% deduction. ATO FBT entertainment.

Section 11 -- Classification, Evidence and Corrections

11.1 The classification decision

Every transaction needs four decisions, not one. Answer them in this order, because a later answer can change an earlier one.

1. Is it a business transaction at all? Owner drawings, private spending on a business card and internal transfers between the entity's own accounts are not income or expenses. Code them to equity or to the relevant balance sheet account.
2. Revenue or capital? A cost that acquires, upgrades or extends the life of an asset is capital. A cost that restores it to its prior condition is a repair. See Section 5 for the thresholds and au-rental-property.md for the repairs and improvements tests.
3. Which account? Use the chart of accounts in Section 2. Consistency between periods matters more than finding a perfect label; a category that changes each year destroys comparatives.
4. Which GST code? Only after the first three. See the table in Section 4. A transaction coded to the wrong account often carries the wrong GST code with it.

Private use. Where an expense serves both business and private purposes, record the full amount and apportion, rather than guessing a net figure. The apportionment basis must be documented and consistent: a logbook for a vehicle, a floor area or hours record for a home office, an itemised bill for a phone. A percentage with no supporting method fails on review.

Unknown transactions. Post to a clearing or suspense account and list them for the client. Never guess a classification to close a period. An unresolved suspense balance at period end means the BAS and the accounts are both unreliable. See au-bas-preparation.md Section 4.

11.2 Evidence to hold

Evidence to hold

Transaction	Evidence required
Sale	Invoice or point-of-sale record. A tax invoice where GST is charged
Purchase where a GST credit is claimed	A valid tax invoice, unless the acquisition is $82.50 including GST or less
Purchase with no GST credit	Sufficient record to show the expense was incurred and its purpose
Asset acquisition	Invoice, plus the date first used or installed ready for use
Asset disposal	Sale document, plus the written down value and any balancing adjustment
Vehicle expenses	Logbook for a continuous 12-week period, valid five years, plus odometer readings, or kilometre records for the cents per kilometre method
Home office	Hours record and evidence that the expenses were incurred
Payroll	Payroll register, timesheets, the employment record and STP submissions
Adjustment to a sale or purchase	Adjustment note or credit note
Bad debt written off	The board minute or file note recording the write-off and its date

Records are generally kept for five years from lodgment, and longer where a CGT asset or a carried-forward loss depends on them.

11.3 Reconciliation as a control, not a chore

A reconciliation is what makes the ledger evidence rather than assertion. At minimum, each period:

• Every bank, credit card and loan account reconciled to the statement.
• GST collected and GST paid control accounts agreed to the transaction listing.
• PAYG withholding payable agreed to the payroll register less amounts remitted.
• Accounts receivable and accounts payable subledgers agreed to their control accounts.
• Inventory agreed to a count or a supported roll-forward.
• Loan accounts agreed to the lender statement, with interest and principal split correctly.
• Clearing and suspense accounts at nil or fully explained.

11.4 Accounting treatment is not tax treatment

The ledger produces the financial statements. The tax return starts from those statements and then adjusts. Recording the tax answer in the ledger destroys the financial statements; recording only the accounting answer and forgetting the adjustment understates or overstates tax. Keep both, and keep the reconciliation between them.

Accounting treatment vs tax treatment

Item	Accounting treatment	Tax treatment
Depreciation	Useful life and residual value under AASB 116	Effective life under Division 40, the small business pool, or the instant asset write-off
Buildings and structural improvements	Cost or revaluation model under AASB 116, with depreciation and impairment where required under either model	Division 43 capital works at a fixed rate, and the deduction reduces the CGT cost base
Employee leave provisions	Recognised when the obligation arises	Deductible when the leave is paid
Doubtful debts allowance	An impairment estimate	Not deductible. Only a debt actually written off as bad is deductible
Entertainment	An expense in the profit and loss	Commonly non-deductible, and may instead be a fringe benefit
Fines and penalties	An expense	Not deductible
General interest charge on a tax debt	An expense	Not deductible where incurred on or after 1 July 2025
Revenue	AASB 15 performance obligations	Derived when earned or received, depending on the accounting basis and the taxpayer
Prepayments	An asset, expensed over the period	Prepayment rules can spread the deduction, with a 12-month exception for some taxpayers
Borrowing costs	AASB 123	Deductible over five years or the term of the loan, whichever is shorter
Unrealised foreign exchange movements	Revalued at reporting date	Taxed on a realisation event under Division 775
Leases	Right-of-use asset and lease liability under AASB 16	Depends on whether the arrangement is a lease or a hire purchase for tax

Choosing the cost model does not remove depreciation: allocate the depreciable amount over the asset's useful life. Account for land separately from buildings. AASB 116 paras 29–31, 50, 58

Record permanent and temporary differences in a tax reconciliation working paper. A company also needs deferred tax balances where it reports under the full recognition requirements.

11.5 Correcting an error

Where the error is found matters more than how large it is.

Correcting an error

Where the error is	What to do
In the current open period, nothing lodged	Fix the transaction. No further action
In a closed period, but no BAS or return lodged	Post a dated correcting journal with a narration explaining it. Do not backdate into a locked period without a record
In a lodged BAS, GST affected	Apply the GST error correction rules. See au-bas-preparation.md Section 7
In a lodged BAS, PAYG withholding affected	Correct through the PAYG withholding correction process, and check whether STP needs updating
In a lodged income tax return	Request an amendment. See au-lodgment-deadlines-penalties.md Section 10
Circumstances changed after correct reporting	This is an adjustment, not an error. Record it in the current period

Never fix a lodged period by silently re-opening it. The accounts must continue to agree with what was lodged, or to a documented correction of it. An unexplained change to a locked period is the difference between a correction and a misstatement.

11.6 Common bookkeeping errors

• Coding a transaction by the payee name rather than by what was supplied. The same supplier can produce taxable, GST-free and input taxed transactions.
• Claiming a GST credit on wages, superannuation, bank fees, most government charges or stamp duty.
• Coding a director loan drawing to wages, or a wage to a drawing.
• Capitalising a repair, or expensing an improvement.
• Recording a net amount for a transaction that had both a gross figure and a deduction, which hides the deduction from both the accounts and the BAS.
• Leaving a suspense balance and lodging anyway.
• Changing the chart of accounts mid-year without restating comparatives.
• Recording the tax depreciation figure in the ledger and calling it the accounting figure.
• Treating an impairment allowance as a deductible bad debt.
• Reconciling the bank but not the GST or PAYG withholding control accounts.

Disclaimer

This skill and its outputs are provided for informational and computational purposes only and do not constitute tax, legal, or financial advice. Open Accountants and its contributors accept no liability for any errors, omissions, or outcomes arising from the use of this skill. All outputs must be reviewed and signed off by a qualified professional (such as a CPA, CA, registered tax agent, or equivalent licensed practitioner in your jurisdiction) before filing or acting upon.

Contributed by Ryan Duguid.

Contributed by Ryan Duguid.

Contributed by Ryan Duguid.

Contributed by Ryan Duguid.