Monday, 20 April 2015 00:12

How we saved $13,500 for our client.

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Recently I got a new client on board for Bookkeeping Services, first this I do when I get a new client is to do a quick audit of the books to make sure there is no back log to tidy up. While I was going through the books for the last financial year I noticed that they did not lodge any BAS during the quarter. This client had started a new company and only had 2 months of trading in the 2011 financial year, and registered for GST from 01/07/2011.

As the client had started a new business I was bit curious as to why he did not register for GST to begin with and after enquiring with him, I found out that he was totally unaware that he was not registered for GST during the entire period and he could have claimed all the GST he paid for the $150,000.00 set up costs. His accountant thinking that he only has 2 months of trading and there is no way he will gross over $75,000.00 did not register him for GST.

I had set in my mind that this was unfair to my client and I needed to do something for him so that he does not miss out for the GST refund that he was entitled to. I spoke to the ATO and explained them the whole situation and after a lengthy discussion convinced them he should be able to include the set up costs in the current quarter BAS.

I completed his books and lodged the BAS for him and was able to claim the $13,500 worth of GST paid in capital expenditure during the set up and get a refund for him. This client loves me now and we do have him on board for all the Accounting Services now including the bookkeeping, tax returns and company financials.

If you think you might need to get a GST audit or your books are not all tidy, call us today on 0433281575 to find out how we can help you increase your profits and cash flow.

Read 1428 times Last modified on Wednesday, 27 May 2015 03:34

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