Keeping your business’s financial records up to date is more important than you might think, especially when it comes to submitting tax returns. Here’s why staying on top of your accounting matters:
1. Avoid Expensive Mistakes
If your financial records aren’t up to date and accurate, you might end up reporting wrong information to SARS, which could lead to penalties and interest charges.
2. SARS can audit your business at any time.
If your accounting isn’t up to date, you might not have the correct information to show them, which could lead to more penalties or even legal trouble.
3. Getting your backlog done.
A backlog means you have unrecorded transactions or incomplete records. These gaps can make it hard to get an accurate picture of your finances. Clearing up any backlogs ensures that when you submit your returns, they’re accurate and complete.
4. If your business bids for contracts or tenders, having up-to-date accounting is crucial. It shows you’re reliable and fully compliant with the rules, giving you the opportunity to seizenew business opportunities.
Submitting returns without current financial records is risky. It can lead to fines, trouble during audits, and missed opportunities. Keeping your accounting up to date helps you avoid these problems and keeps your business running smoothly. Don’t let outdated records hold you back—stay on top of your accounting.