8 Tax Mistakes New Ipswich Businesses Make, and How to Avoid Them

When you’re launching a new business in Ipswich, you’ve got a million things to think about—branding, sales, hiring, marketing, and growth. Tax often falls to the bottom of that list, until it’s too late. The problem? Early tax mistakes can lead to fines, audits, and lost profits.

At Skyways Accountants Ipswich, we’ve work with Ipswich startups and small businesses and see the same issues pop up again and again. So, let’s walk through the most common tax mistakes new Ipswich businesses make, and how you can get it right from the start.

Let's get started.

1. Delaying Business Registration and ABN Setup

Every business in Australia must register for an Australian Business Number (ABN). But many new owners delay it or choose the wrong structure, sole trader, company, or trust. Getting this wrong business structure can affect your tax rate, legal protection, and ability to access business services like insurance or finance. We help you register your business correctly with the right structure for your goals, whether you’re launching a side hustle or scaling fast.

2. Not Registering for GST on Time

If your turnover hits $75,000 or more per year, you must register for Goods and Services Tax (GST). Many new Ipswich businesses don’t track this and end up being fined by the ATO. Even if you're under the threshold, registering early could be helpful - especially if you're investing in equipment and want to claim GST credits. We’ll assess your situation and manage your GST registration and BAS setup, so you’re fully compliant from day one.

3. Poor Record Keeping From The Start

It’s tempting to just keep receipts in a drawer or email folder, but poor record keeping is one of the most damaging tax mistakes new Ipswich businesses make.

If the ATO asks for documentation and you can’t provide it, you may lose deductions or face penalties. We’ll help you implement digital bookkeeping systems like Xero or MYOB, so every invoice, receipt and payment is tracked and accessible.

4. Mixing Business and Personal Finances

This one's a big one. New business owners often use their personal bank account or credit card for business expenses just "to get it done". But, this creates confusion at tax time, makes it hard to track costs, and can trigger ATO scrutiny. We recommend setting up a dedicated business bank account, using separate payment methods, and linking your accounting software to track transactions cleanly.

5. Missing Out on Eligible Tax Deductions

When you're busy building your business, it’s easy to overlook tax deductions you're legally entitled to claim. We make sure you claim everything correctly and avoid over claiming - keeping your deductions clean, smart, and fully compliant.

Commonly missed deductions include:

• Marketing and website costs
• Business vehicle expenses
• Work-from-home utilities
• Software subscriptions
• Professional development and training

6. Forgetting Superannuation and Payroll Obligations

If you hire staff or pay yourself a wage, you need to handle superannuation, PAYG withholding, and Single Touch Payroll (STP) reporting. Many Ipswich startups skip these steps and later face ATO penalties or Fair Work disputes. We help you get your payroll system right - ensuring your team (and your business) are fully compliant with Australian employment laws.

7. Failing to Plan for Income Tax and BAS Payments

You’ve made a profit, congrats! But have you set aside money to pay the tax? Many new businesses forget that tax isn’t taken out automatically. If you don’t plan for it, you could end up cash-strapped when your first tax or BAS bill hits. We help you calculate your estimated tax each quarter and set aside funds, so you’re always prepared and stress-free.

8. Trying To Do It All Without Professional Advice

Tax law is complex, and it's easy to make costly mistakes when you go it alone. Using a spreadsheet or free software might seem fine at first, but as your business grows, your tax needs will change. That’s where Skyways Accountants Ipswich comes in. We’re not just about lodging returns - we help you build strong financial systems, minimise tax, and grow confidently.

FAQs: Common Tax Mistakes New Ipswich Businesses Make

What is the most common tax mistake made by new businesses in Ipswich?
Mixing personal and business finances is one of the most frequent and costly mistakes. It leads to messy books and missed deductions.

When do I need to register for GST?
If your business earns or is likely to earn $75,000 or more per year, you must register for GST. We help you monitor this and register on time.

Can I claim tax deductions before my business starts trading?
Yes, certain startup costs like legal fees, training, and marketing may be deductible. We’ll help you track and claim them correctly.

How do I keep business records for tax purposes?
Use cloud accounting software like Xero or MYOB. Keep digital copies of all receipts, invoices, and contracts for at least five years.

Do I need to pay myself super as a business owner?
If you’re paying yourself a wage through a company, then yes. Sole traders are not required to pay super to themselves, but it’s still recommended.

What happens if I miss a BAS or tax payment?
You may incur ATO interest, penalties, or compliance action. It’s best to act fast and contact an accountant to manage the situation.

Can an accountant help me avoid these tax mistakes?
Absolutely. We provide guidance, set up your systems, and ensure your business stays compliant from day one.

Let’s Get Your Tax Right From The Start

Starting your business is a bold move, and you deserve a clean, confident financial foundation. By avoiding these common tax mistakes new Ipswich businesses make, you give yourself more room to grow and succeed. At Skyways Accountants Ipswich, we specialise in working with new and growing businesses across Ipswich. We’re here to guide you through every step of your tax and accounting journey—clearly, efficiently, and with your goals in mind.

Call us today on 0400 348 482 or visit Skyways Accountants Ipswich to book your free consultation. Let’s take the stress out of tax and get your business on the right track.