Accounting Tax Issues for RTOs

1
Accounting / Tax Issues for RTOs

• GST Tax Issues
• does my accounting system accurately records GST
  status of each transaction?
• GST Health Check
• Can help protect you from adverse outcomes from
  an ATO audit
• 6 years since GST introduced
• How many changes of staff since 2000?
• New draft tax ruling re forfeited deposits
• Exemption from tax is not automatic you need to
  work through the requirements

2
Accounting / Tax Issues for RTOs

• Cashflow issues
• Get deposits up-front ensure deposit covers
  fixed costs
• Keep expenses variable as much as possible
• Keep large capital expenditure to a minimum
• Keep staff students ratio at right level (use
  benchmarking)

3
Accounting / Tax Issues for RTOs

• Protect your Intellectual Property
• Knowledge management
• Retain ownership of curriculum and course
  materials prepared by your employees
• Diversify your customer base
• Do not rely too much on one source of students
  (customers)
• For overseas students, avoid over-reliance on any
  one country creates high risks in terms of
  exchange rates and political situation in source
  country

4
Accounting / Tax Issues for RTOs

• Audit requirements
• IFRS Review
• Asset Management systems
• Internal Controls

5
Accounting / Tax Issues for RTOs

• Contacts at BDO Kendalls
• Dylan Byrne Business Advisory
  Services dbyrne_at_bdokendalls.com.au Phone 07
  32375764
• Mark Molesworth Taxation Advisory
  Services mmolesworth_at_bdokendalls.com.au Phon
  e 07 32375848
• Chris Skelton Audit Assurance
  Services cskelton_at_bdokendalls.com.au Phone 07
  32375729