Transport

How We Help Transport Businesses

Our accounting and advisory services include:

• Financial statements and income tax returns
• Bookkeeping and account reconciliations
• GST and BAS preparation
• Payroll, superannuation and payroll tax compliance
• Driver and subcontractor payment reconciliations
• Vehicle and route profitability reporting
• Cash flow budgeting and forecasting
• Management reporting and KPI tracking
• Vehicle purchases and depreciation reviews
• Equipment finance and loan reconciliations
• Fringe Benefits Tax reviews
• Business structuring and tax planning

Vehicle and Route Profitability

Revenue alone does not show whether a transport operation is profitable. Fuel, wages, subcontractors, insurance, registration, repairs, tyres, tolls and vehicle finance can significantly reduce the margin earned from each job.

We prepare financial and management reports that help business owners understand operating costs and profitability. Where suitable records are available, reporting may also be prepared by vehicle, route, contract or service type.

This information can support pricing, contract reviews, fleet planning and decisions about underperforming work.

Cash Flow Budgeting and Forecasting

Transport businesses often need to pay wages, fuel, maintenance and finance instalments before receiving payment from customers.

We prepare cash flow budgets and forecasts to help business owners anticipate upcoming commitments, assess funding requirements and plan for vehicle purchases, major repairs and tax payments.

Forecasts may also support applications for vehicle finance, working capital or other business funding.

Drivers, Employees and Subcontractors

Transport businesses may engage a combination of employees, owner-drivers and subcontractors. These arrangements can affect payroll, superannuation, workers’ compensation, payroll tax and other obligations.

We assist with payroll processing, Single Touch Payroll reporting, superannuation reconciliations and subcontractor payment records. We can also identify arrangements that may require further accounting, tax or legal review.

Employment or legal advice may be required when preparing or changing driver and subcontractor agreements.

Vehicles, Equipment and Finance

Trucks, vans, trailers and specialised equipment can represent a substantial investment.

We review purchases to determine the appropriate accounting and tax treatment, including depreciation and any available immediate deductions. We can also assist with recording hire purchase, chattel mortgage and other finance arrangements, as well as reconciling loan balances.

Before purchasing a new vehicle, cash flow and finance costs should be considered alongside any potential tax deduction.

Fuel, Maintenance and Operating Costs

Accurate expense records are essential for understanding the true cost of operating a transport business.

We help classify and review expenditure relating to:

• Fuel and fuel tax credits
• Repairs and maintenance
• Tyres and replacement parts
• Registration and insurance
• Tolls and parking
• Vehicle finance
• Depreciation
• Driver travel expenses
• Other fleet operating costs

Where relevant, we can assist with reviewing eligibility for fuel tax credits and maintaining appropriate supporting records.

Tax and Compliance Support

We assist transport businesses with ongoing obligations, including:

• Income tax returns
• Business Activity Statements
• GST reporting
• Payroll tax
• Superannuation
• Fringe Benefits Tax
• Fuel tax credit reporting
• Taxable Payments Annual Reports, where applicable
• Year-end tax reconciliations
• ATO correspondence

Management Reporting and KPIs

Regular management reporting can help transport operators identify changes in costs and performance before they become larger problems.

Depending on the business, reports may include:

• Revenue by vehicle or contract
• Fuel cost as a percentage of revenue
• Repairs and maintenance costs
• Labour and subcontractor costs
• Gross profit and operating margins
• Vehicle finance commitments
• Debtor days
• Cash flow
• Performance against budget

Business Structuring and Tax Planning

The appropriate structure for a transport business may depend on ownership, fleet size, staffing, contract arrangements and future plans.

We provide accounting and tax advice for businesses establishing a new operation, adding vehicles, introducing additional owners or preparing for succession. We also conduct tax planning reviews before the end of the financial year.

Legal advice should also be obtained when changing ownership or business structures.

Who We Work With

We support a range of transport and logistics businesses, including:

• Road freight operators
• Courier and delivery businesses
• Owner-drivers
• Passenger transport providers
• Refrigerated transport businesses
• Equipment and machinery transport operators
• Warehousing and logistics providers
• Other transport service businesses

Talk to Our Transport Accounting Team

Whether you need assistance with tax compliance, bookkeeping, payroll, vehicle reporting, cash flow forecasting or business planning, our team can provide support relevant to your transport business.

Contact J&N Accountants to discuss your accounting needs and the financial priorities of your operation.