Sent: On Tuesday, January 03, 2015 1:05 AM, wrote:
Good Day Sir,
I would like get some accounting advice and also considering getting accounting service from your agency.
I have a few issue that I hope you can provide me with some advice.
In April 2014, I am still working but I had registered a company under sole-proprietor, providing retail business solution.
I managed to get a project in May 2014 but the business contract start in July 2014. My employment ended in June 2014
Using my own saving, I hired a part-time worker under training probation. Basically all the expenses are using my own saving account.
Due to insufficient fund, I only manage to open my company account in August 2014, after my first payout . I am facing difficulty in separating my saving with company fund and find it hard to monitor my cash flow and finance status.
1) How much is the charges for preparing this account record, consider it as a Back Track from April - December 2014?
2) I am using my own saving for most purchase & expenses, and claim back from my company account in TOTAL + Drawing for my personal use (I did not declare salary for myself), which mean my company account transaction only have salary payout, claim & drawing by account transfer. Please advice the solution on what document is necessary if I want to prepare the said accounting record.
3) Basically I do not have permanent staff, only 2-3 who worker (friends & family) as part time base on hourly + commission, do I need to pay for their EPF?
4) I have not declare a salary for myself and I learn that this might cause problem to my finance flow in the future, what is your advice? I come across this promo website at http://promo.kwsp.gov.my/sp1m.html. Please advice.
5) I come across one of the FAQ stated that it is OK if we did not submit the first year LHDN report. Please advice
6) My average monthly Gross income is 9-10K, do I need to register Sdn Bhd?
Kindly advice and provide the quotation for the accounting report.
Your advice to me are highly appreciated.
Salam and good morning.
Thank you for the questions. As for your questions:
- The accounting fees on preparing the accounts depends on the workload, time frame of the transactions and the number of documents provided. The estimated accounting fees for a year start at RM1,500 to RM2,500 per annum. However, the fees are excluded from disbursements such as:
· Postage and courier
· Fax and telephone
· Travelling and transportation
- The documents that are necessary for the accounting record are such as follow:
· Bank statements
· Cheque butts
· Payment vouchers
· Bank-in slips
· Cash/Petty cash book, if any
· Stocks listing, if any
· Purchases invoices and Sales invoices
· Trade Debtor Statements and Trade Creditors Statements
· Salary listing
· Statement of EPF and Socso
· Hire Purchase Agreement/Rental/Loan/S&P
· Billing expenses/ Utilities costs
- For part-time staffs, the payment of EPF is based on the discretion of the Employer. However, for the permanent staffs, basically the Employer should consider on the payment of EPF.
- Regardless salaries for owner or staffs, the salaries will reduce the profit of the business. However, if the owner’s salaries want to be declared in Income Statement as an expenses, thus it will be considered as non-allowable expenses in tax computation. Hence, it is advisable for the salaries of the owner to be declared in drawing of the business.
- It is best for the business to submit Form B of the Income Tax Personal regardless whether the Company is first year or not to avoid queries from the Income Tax.
- As the first steps to build a business, you may remain the Sole Proprietor status. However, if the business cash flows are strong in the future, it depends on the owner discretions to register the business and upgrade from Sole Proprietor/ Enterprise to Sdn Bhd. In conclusion, if you think that your business target will be long lasting depending on your objectives, you should consider upgrading to Sdn Bhd.
We hope the explanations will help you to understand roughly on the pertaining matters.