Valuing Innovation In Business

Innovation is integral to the development and growth of a business.

Innovation doesn’t have to be fully transformative, it can be improving a small process or introducing new technology in the workplace. Innovation helps businesses stay updated, continually improving efficiency and productivity. Innovative businesses that seek to improve all aspects of their operations will be able to thrive against their competitors.

There are different types of innovation:

Product or Service: Enhancing or developing new or existing products or services or introducing new technologies that were not previously used.

Process: Improving the way various types of processes take place in the business. This could include financial systems, information and communications technology (ICT) or human resource management.

Marketing: The way products and services are promoted and the mediums of promotion.

Business model: Implementing strategies to improve relationships with suppliers, distributors and customers and/or restructuring a business to improve functionality.

Innovation should be actively encouraged.  Some ways to do this include:

Seeking customer feedback: This lets you know where change is needed so you can begin to focus on those areas if you are unsure of where to begin.

Encourage your staff to provide suggestions: Your employees will also have ideas based on their day-to-day experiences in the workplace, so listening to them will make them feel appreciated and improve productivity.

Building innovation into your processes: Your usual business process could have in-built mechanisms which encourage innovation i.e. every month everyone suggests new technology which might make working easier.

Rewarding innovative thinking: When there are good suggestions or demonstrations of innovative thinking, reward them with acknowledgment in front of other staff.

Regular innovation enables you to adapt to change easily and stay on top of your competitors. Businesses should consider setting the time aside to encourage innovative thinking as it is extremely beneficial.

Accountancy Insurance – Audit Shield Service

Clients of Harris Black would have received a letter from us offering you the opportunity to participate in our Audit Shield Service. Whilst we make all efforts to prepare your accounts and tax returns accurately, we cannot stop a government authority choosing to undertake a review or an audit.

With government authorities increasingly using data matching with other government bodies, banks, Single Touch Payroll and even companies such as AirBnB, audits and reviews are on the increase.

The Audit Shield service has provided effective financial protection to those of our clients who have been subject to an audit, enquiry, investigation or review from the Australian Taxation Office or any other relevant government revenue agency in relation to lodged returns. Whilst we act as your registered tax agent, you are able to opt into this service.

Below is a chart outlining the 2019-2020 Audit Shield claims across Australia:

Source: Accountancy Insurance

To understand more about the Audit Shield Services or to opt in, please contact your Harris Black team member

Australian Financial Review – Top 100 Accounting Firms 2020

Harris Black is proud to be a founding member of the Brentnalls National Affiliation, which has just been ranked 30th in the Australian Financial Review Top 100 Accounting Firms of 2020.

The growth of Harris Black and all firms in the affiliation is a testament to the collaborative model and culture of the group, where the focus is on being better positioned to help our clients achieve their goals.

JobMaker Hiring Credits Up To $200/week

JobMaker will take the form of a payment to employers for each new eligible job they create over the next 12 months.

Generally, the amount of the JobMaker Hiring Credit payment depends on the age of the eligible additional employee when their employment starts.  Employers can receive up to $200 per week for each eligible additional employee aged 16 to 29 years, and up to $100 per week for each eligible additional employee aged 30 to 35 years.

JobMaker started on 7 October 2020 and ends on 6 October 2022, but payments will only apply for eligible people who commence employment between 7 October 2020 and 6 October 2021.

If you have any questions regarding JobMaker, please contact your Harris Black tax specialist.

ATO Concedes Digital PAYG Instalment Notices Are Not Working

Over the last 9 months the ATO commenced sending PAYG Instalment Notices via myGov or other digital means to you directly.  Given the inconsistencies of this system, Tax Agents such as Harris Black were finding it extremely difficult to be certain clients actually received these notices. 

Following feedback from the tax profession, the ATO has now agreed to send out paper notifications for PAYG Instalment Notices until a more effective digital solution can be implemented.  The sending of paper notifications will commence from the June 2021 quarter.  As a result of this, and without notice to Harris Black, your method of delivery of PAYG Instalment Notices may change yet again. 

Should you miss paying a PAYG Instalment Notice due to the change of delivery method and are then charged with either penalties or interest, it is important that you contact the ATO and ask that they remit the penalties / interest applied.

Please contact us for assistance if you are concerned about the method of delivery of your PAYG Instalment Notices and we will do our best to get the best solution in place for you.

ASIC Director Resignation Changes

From 18 February 2021, if you resign as director of a company, you or the company need to notify ASIC within 28 days of resignation.  A director can personally write to ASIC to notify them of their resignation if concerned that the company will not do the paperwork.

Where you or the company do not notify ASIC within 28 days, the effective resignation date will be the date notice was lodged.

For example, if you resign on 1 March 2021 but neither you nor the company notify ASIC until 1 August 2021, your resignation date will be recorded as 1 August 2021.  Late fees will still apply.

To fix the resignation date to a date earlier than 28 days, applications must be made to ASIC (if less than 56 days late) or the court.

How can we help you?

Today’s financial environment demands a regular review of strategy and a focus on execution.