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Tax Practitioners Board & Registered BAS Agents.

The clamp down on audit of book keepers providing a BAS Agent Service by the Tax Practitioners Board was music to my ears at a recent ICB Meeting (Institute of Certified Book Keepers). Initially, with a Degree in Business and the introduction of Registered BAS Agents in 2010 I completed my Certificate IV in Bookkeeping. Along with my references, insurances and designated hours of bookkeeping experience and much effort, I became a Registered BAS Agent. I take this status very seriously. Thelegislationhas now been in force for over 6years – but I am still amazed how many book keepers are providing a BAS Agent Service without being qualified or their work being overseen by a BAS Agent.

The TPB will audit BAS Agents and this will strengthen the status. If you want your bookkeeping checked by a BAS Agent, or need to catch up on your BAS Lodgements – The BookSitters can assist you.

Happy New Year and Happy Record Keeping!

Well, I am nearly 3/4’s of the way through completing my Certificate IV in Bookkeeping. Despite having a Degree in Business, this is essential to conform to the new regulations for bookkeeping effective as from 1st March 2010. All subcontract book keepers must be able to prove certain qualifications and experience to be able to offer such a service. I had a friend comment that such regulations were simply the governments way of putting another tax on people trying to do a job and earn an income. I say not so. Bookkeeping is an essential service and a position of trust and I welcome any changes that protect small business and ensure that they get a professional and well qualified person to do a fit and proper job. We are talking about people’s business….their livelihood…their babies…….their future in many cases and sometimes their families future.

I was shocked to hear at a recent ATO Seminar that apparently some 40% of small business (ie under $2 million a year turnover) have no form of official record keeping. That is, they do not know their current expenses, sales or budget or plan any of their financial matters. I call that…..’Trading in the Dark’. This is certainly setting one’s self up to fail!!

We had a planning session before we started back after the Christmas break and developed a very simple 3 page plan which outlined how we would be managing the business over the year, what our objectives were and how we were going to get there. I recommend this for all business – start the year by determining where your focus will be and the path that you will take.

If you don’t keep clear, concise and well documented records on the financial state of your business so that you have a budget to work to and an understanding of how your business is tracking against that budget each step of the way…..you are not giving your business – absolutely best chance of success that you can. If you need help, call in The BookSitters…….

New Legislative Changes

There are a number of new legislative changes that become effective from 1st March 2010 with the purpose of regulating the Bookkeeping industry. We believe this is a good thing and support these legislative changes.For example, when utilising a sub-contractor book keeper, you should make sure that:

1. They provide you with a ‘Letter of Engagement’ so that you know the service that you are going to be provided with and the fees associated with this;
2. They have Professional Indemnity & Public Liability Insurance Cover;
3. They have the necessary skills, experience and qualifications to provide you with a professional bookkeeping service;
4. Your BAS should be completed by a Registered BAS Agent and always signed off by the Director/Owner of the business before lodgement.

We are aiming to keep up to date with these legislative changes to make sure that we are ahead of our game through the various bodies of interest like AAT (Association of Accounting Technician’s Australia) and The Institute of Certified Book Keepers (ICB).

BAS Agent Registration

Any book keeper who wishes to provide a BAS service for a fee, or indeed code expenses and provide a bookkeeping service where decision are made in relation to GST must be registered as a BAS Agent. This was implemented on 1st March 2010. It is of course a good thing as it provides protection to business and individuals seeking the services of a book keeper without necessarily understanding themselves the skill set of a compliant book keeper.

The BookSitters have lodged applications to become BAS Agents for both the Company The Sitters Pty Ltd and our bookkeeping staff as individuals. I lodged our applications in early April and have just received confirmation of both my registration (Justine Day) and The Sitters Australia Pty Ltd. We are more than happy to provide our Registration Numbers for verification where required to our clients, potential clients or clients Accountant.