The Difference Between Cash And Accrual Accounting
While cash accounting might “make more sense” for a very small business or one that is just starting out, once the business starts to grow an accountant can help you take care of the rules under accrual accounting — and may even help you minimise your tax bill!
Earnings Defined And What Is The Difference Between Profit, Earnings And Revenue?
Earnings is another word for profit, but what makes it confusing is how people use it. Typically, revenue is the same thing as “sales” or the “top line”. They all appear at the top of the income statement.
Which expenses are tax deductible in Australia?
In Australia, amongst other things, one rule is that the tax expense that you have already paid must be directly related to earning income. You also need to keep a record of the expense to prove you have paid for it!