The final sprint – Finish 2021 correctly with this checklist
2021 is coming to an end. Time to put things in order and close this financial year properly. Here you can find a checklist that will help you complete your business administration at the end of the year, so it’s ready to submit to your bookkeeper.
1. Make sure you’ve collected all the invoices you sent in the past year and upload them to your online administration. Check the numbering of the invoices: if there are any invoice numbers missing, there’s probably also income missing. If the missing invoice numbers never existed, make sure that this can be logically explained and notify your accountant.
2. Make sure that all your expenses have been uploaded to your online administration, and that you’ve added all receipts and invoices to substantiate. Without a receipt (or, exceptionally, a bank statement) it’s difficult to determine whether the expenditure has actually been made. Moreover, you’re not allowed to reclaim VAT if you do not have a receipt or invoice.
3. Have you listed all recurring monthly costs, such as telephone or internet costs? Make sure you really count twelve in total: one invoice per month.
4. Please note that you need to apply a correction for private use to your internet and telephone costs; assuming you also use your phone and internet for private matters, of course. It’s up to you to determine the percentage for business use. Apply this percentage to the total amount and also state this percentage in the description.
5. Don’t forget to include other direct debits for which you don’t get periodic invoices, such as bank charges or office space rent. If you don’t have a substantiation, you can also add a copy of your rental contract or a bank statement.
6. If you don’t have a company car, but you do use your private car (or bicycle) for business, you’re allowed to add travel allowance to your business administration. In that case, you must be able to provide a kilometre registration, which you add as a substantiation. Calculate the total number of kilometres and multiply by €0.19. Then enter this number in the total amount field and select no VAT.
7. Always double check all major expenses, such as the purchase of a computer, camera, bicycle or airline tickets. It would be a shame if you forgot to add these to your business administration!
8. In addition, the end of the year is the perfect time to consider further investments. If you invest more than €2,400 excluding VAT in 2021, you can make use of an additional investment deduction: KIA. So if you’re just below that limit now, it might be worth considering making an extra investment before the end of the year.
9. If you’ve applied for NOW (Temporary Emergency Bridging Measure for Sustained Employment) to cover personnel costs due to the impact of the COVID pandemic, this also needs to be included in your business administration. It’s best to notify your personal accountant of this by email.
10. When you’ve received TOZO support (Temporary bridging measure for self-employed professionals), this is also regarded as income. In that case, you’ll receive an annual statement from your municipality at the beginning of 2022. Upload this document under the questions about the income tax return.
11. If this is the first time we’re filing your income tax return and another accountant has handled the previous financial year, please add the annual accounts of 2020 under the questions about your business data.
12. If you have any further questions or if you’re not sure about something, you can always click on ‘More information’ under the frequently asked questions regarding business data and income tax.