Module 27

Accounting, bookkeeping and tax time

6 lessons, 33 stepsOne instruction at a time, each with the result to expect. Tick steps as you go; Helix remembers.

Outcome: you have the right helpers, and your store and your books agree each month. Your stock and product costs are recorded properly. Tax time, whenever your financial year ends, is a checklist, not a panic.

In plain words

Stage: Grow (keep more of every sale, then scale). Every lesson below is tagged with its stage; see Attract, Convert, Grow.

What it is: Keep clean books, record stock properly and make tax time a checklist.

Why it matters: Messy books hide your real profit and make tax time slow and expensive.

Do this:

Pick a registered accountant and bookkeeper who know online stores.

Record each payout as one summary entry and reconcile every week.

Count stock at year end and follow the tax dates Helix puts on your calendar.

Words to know:

Reconciliation: Matching the money in your bank with the sales, fees and refunds in your books.

Clearing account: A holding account in your books. A payment provider's sales and fees sit there until the payout lands in the bank.

Stocktake: Counting every unit you hold, usually at the end of the financial year. Then your books match the shelf.

Landed cost: What one unit really costs once it reaches your warehouse: product, freight, duties and fees.

All words are explained in the glossary.

General information, not tax or legal advice. Check with a registered tax agent or accountant before you act. Your structure, state and situation change the answer.

Lesson 27.1: Choose your structure and your helpersGrow

General information, not tax or legal advice. Check with a registered tax agent or accountant.

In short

Your business structure changes how you pay tax and what you are personally liable for.

Do this now

Step 1: Learn the two roles. A bookkeeper keeps records up to date each week or month.

Why this matters

Your business structure changes how you pay tax and what you are personally liable for. A good accountant pays for themselves, while a poor bookkeeper can cost you a year of clean-up.

Step 1 of 50 of 5 done

Learn the two roles. A bookkeeper keeps records up to date each week or month. An accountant or tax agent does tax returns, gives tax advice and helps you plan.

Expected result

You know which helper you need for what.

Lesson 27.2: Connect your store to your books cleanlyGrow

General information, not tax or legal advice. Check with a registered tax agent or accountant.

In short

Copying every order into your accounting software creates thousands of lines that never match your bank.

Do this now

Step 1: Use one accounting system (your accounting software) for everything.

Why this matters

Copying every order into your accounting software creates thousands of lines that never match your bank. Recording each payout as one summary instead keeps your books clean and quick to check.

Step 1 of 60 of 6 done

Use one accounting system (your accounting software) for everything.

Expected result

All records live in one place.

Lesson 27.3: Cost of goods and stock in your booksGrow

General information, not tax or legal advice. Check with a registered tax agent or accountant.

In short

Stock you hold is an asset (something you own), not an expense, until it sells.

Do this now

Step 1: Record stock purchases at landed cost : product price plus freight, duty and broker fees, without claimable GST .

Why this matters

Stock you hold is an asset (something you own), not an expense, until it sells. Getting this right is the biggest difference between your books' profit and your real profit.

Step 1 of 50 of 5 done

Record stock purchases at landed cost: product price plus freight, duty and broker fees, without claimable GST.

Expected result

Stock values are complete and ex GST.

Tips

Landed cost: What one unit really costs once it reaches your warehouse: product, freight, duties and fees.
GST: Goods and services tax. Each country sets its own rate, such as 10% (Australia) or 15% (New Zealand). Registered businesses add it to most sales.

Lesson 27.4: Records and the monthly closeGrow

General information, not tax or legal advice. Check with a registered tax agent or accountant.

In short

A short monthly routine, called the monthly close, keeps tax time simple.

Do this now

Step 1: Reconcile all bank accounts, cards and payment clearing accounts .

Why this matters

A short monthly routine, called the monthly close, keeps tax time simple. It gives you numbers you can trust. Aim to finish within two weeks of month end.

Step 1 of 60 of 6 done

Reconcile all bank accounts, cards and payment clearing accounts.

Expected result

Every balance matches.

Tips

Reconciliation: Matching the money in your bank with the sales, fees and refunds in your books.
Clearing account: A holding account in your books where a payment provider's sales and fees sit until the payout lands in the bank.

Lesson 27.5: End of financial yearGrow

General information, not tax or legal advice. Check with a registered tax agent or accountant.

In short

In Australia the financial year ends on 30 June.

Do this now

Step 1: In early May, book a planning chat with your accountant about expected profit and tax.

Why this matters

In Australia the financial year ends on 30 June. Helix puts these steps on your calendar from May so nothing is rushed.

Step 1 of 60 of 6 done

In early May, book a planning chat with your accountant about expected profit and tax.

Expected result

The meeting is booked.

Tips

Shortcut: Add it to your calendar.

Profit: Usually means contribution profit: what is left from sales after product cost, shipping, payment fees, discounts, refunds and ads. Net profit also takes off fixed costs.

Lesson 27.6: Year end and tax season in the USGrow

General information, not tax or legal advice. Check with a CPA or enrolled agent.

In short

Most US stores run on the calendar year.

Do this now

Step 1: In December, count stock and review sales tax registrations against each state's threshold.

Why this matters

Most US stores run on the calendar year. Helix puts these dates on your calendar for US stores.

Step 1 of 50 of 5 done

In December, count stock and review sales tax registrations against each state's threshold.

Expected result

Stock is counted and registrations are current.

Tips

Sales tax: In the US, a tax set by most states (and many local areas) that the seller collects at checkout.

Words to know in this module

GST: Goods and services tax. Each country sets its own rate, such as 10% (Australia) or 15% (New Zealand). Registered businesses add it to most sales.
Sales tax: In the US, a tax set by most states (and many local areas) that the seller collects at checkout.
Duties: Taxes charged by a country on goods coming in from overseas.
Profit: Usually means contribution profit: what is left from sales after product cost, shipping, payment fees, discounts, refunds and ads. Net profit also takes off fixed costs.
Chargeback: When a customer asks their bank to reverse a card payment. The money is taken back, and you can send evidence to dispute it.
Payout: The money your payment provider sends to your bank, after taking its fees, refunds and any held amounts.
Reconciliation: Matching the money in your bank with the sales, fees and refunds in your books.
Clearing account: A holding account in your books where a payment provider's sales and fees sit until the payout lands in the bank.
Stocktake: Counting every unit you hold, usually at the end of the financial year, so your books match the shelf.
Landed cost: What one unit really costs once it reaches your warehouse: product, freight, duties and fees.
Product cost: What one item costs you to make or buy, including freight to your warehouse.
BAS: Business activity statement: the form GST-registered Australian businesses lodge with the ATO to report and pay GST.
CPA: Cost per acquisition: how much ad money it took to get one sale.
Buy now pay later: Payment options that let shoppers split the cost into smaller payments.

All words to know