The new AIM (Accounting Income Method) of calculating provisional tax works with approved AIM capable accounting systems, like Xero and MYOB, to give businesses another tool to help manage their business and cash better.
If you are a business that already calculates their GST payments on a two monthly basis, then the AIM method of provisional calculation may be best suited to you.
AIM is designed to fit better within the existing and ordinary processes of a business and is more reflective of the current year to date financial performance of a business. Under AIM, provisional tax is integrated into business processes and payment amounts are based on current year tax adjusted income. This should provide businesses using AIM with more certainty that they are paying the right amount of tax as it will be paid as income is earned.
BFA will be assessing if your business is eligible for the AIM method of calculation provisional tax and will contact you to discuss. If you are not on an appropriate accounting software system, don’t worry, BFA will look at which cloud based solution is the best for you, and help you get started