Accounting Services

Bookkeeping

Our qualified bookkeepers have extensive experience in serving clients from diverse business sectors. We will ensure your business financial transactions are confidential, maintain and records accurately in the accounting system. Our combined bookkeeping and tax services will help your business to comply with ATO tax obligation as well as indirect taxes from Revenue NSW.

Our bookkeeping services combined with annual tax returns include but not limited to:

Accounts Payable and Receivable
BAS/PAYGW/PAYGI Lodgement-monthly or quarterly or yearly
Processing employee payroll
Lodge payroll tax
Reconciliations
Monthly financial statements
Business annual tax return
Accounting and tax advise.

Accounting Services for Individuals

Our team of accountants can assist high net wealth individuals with wealth creation from our tax services. We have years of experiences in providing tax consultancy and financial services include but not limited to:

Preparation and lodgement of individual income tax returns annually
Legal minimisation of your taxation liability
Develop property investment strategies
Maximising business investment portfolios
Budgeting and Cash flow Management
Protection of financial assets
Capital Gains Tax

Sole Traders accounting services

Whether you're a start-up or established business and in need of professional tax services, our qualified accountants can assist you to comply with your tax obligation to ATO. We can assist with your bookkeeping, payroll management, IAS/BAS, and annual tax lodgment. We can help you to minimize your tax liability from your business income using all possible tax strategies and deductions. Our accounting and tax services for sole traders include but not limited to the followings:

Advise on setting up your ABN and GST registration
GST and other taxes advice regarding your business operation
Accounting for GST for your business
tax minimisation for your business
Business tax deductions
Capital allowance deductions
Annual BAS lodgement
Annual tax return lodgement

Accounting Services for small business owners

Our qualified team of professional tax accountants are more than just providing tax services. We’re highly experienced in providing tax planning and taxation advice to maximized your business profitability. We’re here to shares the same goals and commitment to maximized your business profit. We will be providing wealth of tax advice and accounting services to help your business thrive and sustainable. Our accountants will endeavor to add values to your business by eliminating business inefficiency operation and devise strategies to increase revenue and legally minimize tax liability.

Our professional accounting and business services include, but are not limited to:
Setting up accounting system for your business
ABN, IAS and GST registration and business name renewal
Advising about bookkeeping processes and procedures
Xero Accounting/MYOB Training
Payroll Processes
Business insurance and worker compo premium
Accounts payable and receivable
Fixed assets maintenance
Creditors/Debtors Management
Balance sheet reconciliations and internal audit
BAS Lodgement
Payroll tax
Superannuation
Capital gains and fringe benefit tax
Profitability and business expenses analysis
Cash Flow & Budgeting forecasting and Analysis
Monthly Management Reporting with KPIs and variances commentaries
Financial Statements
Annual tax returns

Financial Statements Services

Linssy & Co accountants can assist your business to prepare a set of financial statements for all types of external users to make economic decisions regarding your entity reporting obligation to ACNC or ASIC. We can prepare financial statements using AASB accounting standards. These accounting standards will assist in the creation of financial reports such as your balance sheets, income statements and cashflow under an accrual-based accounting system.

Management Accounting Services

Linssy & Co accountants can assist your business with management accounting.

Cashflow and Budget control and forecasting
Managing costs and pricing using standard costing or ABC method
Production planning and allocation of resources
Profitability analysis
Financial analysis and planning from short to medium term
Sales and expenses forecast with variances
Reduce cost drivers to improve bottom line
Financial reporting and Capital budgeting
Financial ratios analysis
Situation analysis of revenue, expenses, capital expenditure on ROI, and profitability
Tax advises on policies and processes
Advise on external effects on business such as government policies and competitors
Risk management of business assets

Accounting for leases-AASB 16 (IFRS 16)

Linssy & Co can help your company comply with the New Lease Accounting Standards. From 1st of January 2019, the lease's standard requires business to records majority of their operating leases on the balance sheet. The business PPE leases previously recognised off-balance sheet will be accounted for as a right-of-use asset and lease liability which will provide more transparency about a company’s lease commitments and subsequently the change key financial metrics such as gearing ratios, asset turnover and EBITDA.

At Linssy & Co accountants can help your business how to account for leases for your business. We will work out the calculation and posted journal entries as right of use asset and liability in the balance sheet. The introducing of the leases’ standard is posing financial and operational challenges. The lease's reporting obligation would have an impact on business obtaining business loans, for example, tax-effected accounting, debt to asset ratios, debt covenants, credit ratings, and impairment of an asset.

What Is Lease Accounting?

Lease accounting is the financial management of leases. Leases are contracts where the lessor grants the right to use their property, equipment or services to a lessee for an agreed amount of time and payment. The two most common lease types are operating and finance leases.

Leasing offers an advantage to a company’s cash flow. There is no large initial outlay of cash in a lease, as compared to a purchase, as many leases finance 100% of the cost. In that financing, many companies take advantage of the revenue that the financed item brings to pay their lease payments. Other benefits of a lease can include:

More flexible payment schedules.
Potential for improved equipment management and maintenance.
Reduced equipment obsolescence due to easier replacement.
In some cases, the lease and associated liability may not show on the company’s balance sheet if it is an operation lease.

Operating vs. Financing Leases

There are two main types of leases, operating leases and finance leases, and a third related type, the sale-lease backs. Finance leases, also called capital leases, allow the lessee to claim depreciation, while the operating lease do not shows on the balance sheet.

The classification depends on the transfer of risks and rewards from the lessor to the lessee.

A company with a finance lease records an asset and its related liability on the balance sheet. It can deduct the computed interest component of the lease payments yearly on its income statement. It has full control of the asset it leased and is entirely responsible for maintaining the asset. In the direct-finance type of a finance lease, the lessor enters the sale on its books and removes it from its assets, creating a receivable for the interest payments.

Accounting for a finance lease has four steps:
Record the present value of all lease payments as the cost of the lease if PV>90% of asset’s fair value.
Record only the interest portion of each payment as an expense.
Depreciate the recognised cost of the asset over its applicable life.
Recognise the asset’s disposal upon its retirement.

Lessor Accounting for Capital Leases

The lessor reports both types of finance lease on its financial statements in the following ways:

Balance Sheet: The lessor reports the lease receivable based on the present value of the lease payments.
Income Statement: The lessor reports the interest revenue based on the lease’s receivables using the interest rate at the loan’s beginning.
Cash Flow Statement:The lessor reports the interest component as operating cash flow and the principal part as the investing cash flow.

Capital allowances/Tax depreciation claims

Capital allowances are tax deductible expense and are available to business qualifying capital expenditure incurred on the provision of certain assets is use for productive purposes such as PPE or rental business. They effectively allow a taxpayer to write off the cost of an asset over a period of time.

What depreciative assets you can claims

If you built or bought a property or incurred capital expenditure on plant and machinery that is in use for the purpose of a trade or rental business, you’re entitled to claim depreciative assets
The purchase of new or second-hand properties.
Business PPE for productive purpose
Office furniture
IT and telecommunication equipment

The fit-out / repair / refurbishment / extension of properties including the following:

Medical Centre
Offices
Retail and shopping centres
Factory and manufacturing plants
Leasehold improvements
Restaurants
Rental properties – apartments and houses
Landlord works
Fixtures

What are the Benefits of claiming depreciative assets

Claim an immediate tax /cash benefit
Reduce or completely shelter a tax liability
Improve bottom line and ROI in your business

In order to claims any depreciative assets, you need to substantiate with documents

Sufficient supporting documentation in place to justify your claim
We will determine whether an entitlement to claim exists. This may involve a review of a purchase contract or development agreement and supporting documentation and lease agreement, as necessary.
Where there is no cost information available, we will arrange a quantity surveyor to prepare an estimate of the likely apportionment of expenditure incurred.
We will carry out a detailed analysis of the total capital expenditure incurred to identify the maximum amount of qualifying expenditure.
We will prepare a detailed, standalone report to support the claim.