Top Small Business Tips for Tax Time 2023

With end of financial year approaching quickly, now is the time for all small business owners to get organised. 

We spoke with Jo Elliot, business owner and accounting professional at Joco Accounting, to find out everything you need to know coming into tax time this year. 

In this guide, you’ll learn how to stay financially organised, along with Jo’s top tips for small businesses during tax season. 

Disclaimer: 



Before we get into it, please note any information or advice provided in this article is for educational and informational purposes only. This article should not be construed as financial or investment advice. Please contact your accountant for further information on anything discussed.

What is the deadline for small businesses to lodge their tax?

There are two main lodgement dates to remember as a small business owner. 

If you don’t have an accountant your tax return is due to be lodged on 31 October 2023. On the other hand, if you do have an accountant, your tax return is not due to be lodged until 15 May 2024. 



“However, if you were late the previous year, then you will have to lodge your tax return with everyone else on 31 October 2023,” Jo shared. 

How to Stay Financially Organised Throughout the Year

1. Have a separate business bank account.

As a small business owner, it’s important to ensure you have a separate business bank account from your personal expenses. If not, your personal and business expenses will be combined making it very difficult to separate the two, especially around tax time. 

Jo said, “Try not to mesh your expenses, keep your business bank account focused on business as much as possible.” 

If you struggle to stay on top of your finances, Jo recommends setting up two business bank accounts – one for trading and one for savings. 



Every month check your trading account profit and put 30% aside into your business savings account to help pay your tax commitments like GST and income tax. 

2. Choose suitable cloud-based accounting software.

3. Look out for tax incentives and grants.

Top 3 Tips for Small Business Owners around Tax Time

1. Check your accounts receivable.

It’s worth looking at your accounts receivable around tax time to avoid paying income tax on income you haven’t yet received and are very unlikely to receive in the future.

“If you have customers that aren’t paying you and haven’t for a long period of time, write it off before 30 June 2023,” Jo said.

If you end up receiving the money later, simply add it back in as income.

Jo also mentioned a significant change in the ATO’s tone that small businesses should take note of.



Over the past few years, the ATO has accepted poor excuses for late tax lodgement. This is no longer the case, unless you have a good reason for lodging late, they will decline.

2. Do a good stocktake.

Small businesses should do an in-depth stocktake every year to find out what stock and inventory they have available on hand, to achieve a better tax deduction.

Jo shared, “If you have damaged or lost goods that aren’t being accounted for, you should get it all deducted instead of having it held as an asset.”



Petty cash is another overlooked area to focus on, as it can add up to thousands of dollars in small payments.

3. Get your tax in early.

As a GST-registered business, your Business Activity Statement (BAS) is due for lodgement in August.

If you are up to date, you will have most of the information needed for your income tax. So, why not get it done early?

Jo said, “Once you’ve done your BAS, I encourage you to get your tax in early. I think August is the key time to do this.”



She confirmed September is the busiest time for accountants because organised business owners have lodged their taxes by then.

Overlooked Tax Deductions

We asked Jo one final question about overlooked tax deductions to help you get the most out of your tax return this year.

Jo said, “The biggest one which blows my mind is actually accounting fees.”



Additionally, anything you are required to be a member of as part of your industry often gets forgotten, such as union or professional fees. Jo also revealed income protection insurance and sun protection equipment are deductible, even though they are commonly missed by small businesses.

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