Like lawyers, accountants and financial experts always have one eye firmly fixed on the legislative horizon. As new tax laws can have a major affect on small businesses, owners need to ensure they are interacting with small business accounting experts. 

A recent survey has shown that small and medium-sized businesses are not as optimistic about this year's budget as many have been in the past. 

Small business owners don't see benefits in the budget

A recent study from accounting network Bentleys has found that nearly 40 per cent of SMEs think that this coming federal budget will not be comprised of measures that will benefit them. In comparison, 23 per cent of the participants said that the budget would be beneficial to them. 

Tax Partner at Bentleys Dean Steer said that the opaque nature of this year's Budget has left many people unsure about what will transpire.

"It raises questions about the SME community's confidence in the support they will get from government," he said. 

With businesses worried about the lack of SME-focused provisions in the new budget, it is essential for businesses to both find value in old processes and sure up current bookkeeping practices.

Will the budget heed expert advice?

During any run up to a budget, all sorts of characters come out of the woodwork to voice their opinions. But when Deloitte publish a report on tax reform, even governments' tend to listen. 

One of the key recommendations laid out in its report, Shedding light on the debate – Myth busting tax reform, is expanding small business entity eligibility to encompass enterprises worth up to $3 million.

By bringing more businesses under this mantel, the economy could prosper as the concessions offered would accelerate business success. To fund it, Deloitte believes that the tightening superannuation tax breaks for those who have high incomes. 

The report believes that it could lead to dividend of close to $6 billion in 2016-17. Additionally, Smart Company argued for simplifying the small business capital gains tax (CGT). While altering concessions to the $2 million maximum net asset value test is contentious, any changes or alterations could reduce the compliance costs that small businesses pay. 

With so much ambiguity surrounding the Budget, it is important that companies plan for any unseen contingencies. One way to ensure your business is agile enough to roll with the punches is through Jiwa Financials. Using cloud-based software to manage business finances offers you up-to-date information on enterprise health. 

If you would like to learn more, talk to the team today.