15/12/2025 • 18 min read
Eight New Year Resolutions Every Accountant Should Adopt (2025)
Eight New Year Resolutions Every Accountant Should Adopt (2025)
Eight New Year resolutions every accountant should adopt in 2025 are: (1) lock in ATO-ready compliance habits, (2) automate bank reconciliation end-to-end, (3) standardise working papers, (4) strengthen Division 7A governance, (5) uplift GST/BAS controls, (6) modernise documentation and record-keeping, (7) harden cyber security and privacy, and (8) build a measurable advisory workflow. From an Australian accounting practice perspective, these resolutions directly reduce rework, lower lodgment risk, improve audit defensibility, and increase capacity during peak compliance periods.
Why do New Year resolutions matter for Australian accounting practices?
They matter because the Australian compliance environment is deadline-driven and evidence-based, and the ATO’s expectations around record-keeping, substantiation, and governance are ongoing rather than seasonal.
In practical terms, “better habits” must translate into measurable controls that withstand ATO review activity, client disputes, and internal quality assurance (QA).
- Higher client expectations for speed and visibility
- Rising cyber and fraud risks
- Increased scrutiny of GST, payroll, and integrity measures
- Talent constraints across public practice, making automation and standardisation commercially necessary
What are the eight New Year resolutions every accountant should adopt?
They are the eight practice-level behaviours below, designed to be implemented as repeatable workflows rather than one-off intentions.
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1) How should accountants build an ATO-ready compliance calendar (and stick to it)?
Accountants should implement a whole-of-firm compliance calendar aligned to ATO due dates, agent lodgment obligations, and internal QA lead times.
According to the Australian Taxation Office (ATO), different forms and obligations have distinct due dates depending on the taxpayer type, registration status (e.g., GST), and whether lodgment is through a registered tax agent. A robust calendar should therefore be client-specific, not generic.
- Create “due date tiers” for BAS, IAS, ITR, FBT, PAYG withholding and superannuation obligations (where in scope for your services).
- Set internal cut-offs (e.g., 10 business days before lodgment) for client data submission.
- Add QA gates (e.g., technical review for complex returns, GST reconciliation sign-off for BAS clients).
- Track ATO payment plans and debt actions where relevant to client risk.
- A 60-client BAS portfolio often fails due to “missing-source-docs churn.” A calendar with defined cut-offs and automated reminders reduces the last-week scramble and improves GST coding quality.
- ATO lodgment due date guidance (via ATO website content on due dates and registered agent concessions)
- ATO guidance on record keeping and substantiation expectations (ATO record keeping pages)
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2) How can accountants automate bank reconciliation to reclaim capacity?
Accountants should make automated bank reconciliation the default, because it is the highest-volume workflow and the biggest driver of downstream errors in BAS and year-end accounts when performed manually.
In Australian practice, reconciliation time commonly sits at 3–4 hours per client per period for messy data. AI accounting software Australia solutions that focus on automated bank reconciliation can compress this to minutes when properly configured.
- Target 90% auto-categorisation for stable transaction patterns
- Reduce reconciliation time from 3–4 hours to 10–15 minutes per client once rules and learning are mature
- Achieve up to 85% time reduction across month-end processing
- Reconciliation speed: MyLedger = 10–15 minutes per client, typical manual-first workflows in Xero/MYOB/QuickBooks = 3–4 hours per client where coding is inconsistent
- Automation level: MyLedger = AI-powered reconciliation with ~90% immediate auto-categorisation once trained, many competitors = rules + manual coding and exception handling
- Workflow design: MyLedger = spreadsheet-like bulk categorisation and batch editing, many competitors = transaction-by-transaction interfaces for exception-heavy files
- Governance: MyLedger = transaction snapshots (version control), many competitors = limited point-in-time rollback controls
- A suburban practice with 50 monthly clients can save roughly 125 hours/month if reconciliation is reduced to 10–15 minutes per client. At a conservative $150/hour internal value, this is ~$18,750/month of capacity that can be redeployed to advisory or onboarding.
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3) Why should accountants standardise working papers (and stop relying on ad hoc Excel)?
Accountants should standardise working papers because defensible, repeatable documentation is a core risk control and a key driver of efficient review.
ATO expectations regularly turn on evidence: how figures were derived, what assumptions were used, and whether adjustments were properly supported. It should be noted that inconsistent working papers create avoidable rework and elevate professional risk.
- BAS reconciliation pack (GST collected/paid tie-outs, PAYG withheld/instalments, variance explanations)
- Year-end tax reconciliation and adjustments (income tax payable/receivable movements, temporary/permanent differences)
- Depreciation and amortisation schedules with method and effective life rationale
- Division 7A loan schedules where applicable
- Checklists aligned to entity type (company, trust, partnership, SMSF)
- Working papers generation: MyLedger = automated working papers suite (e.g., Division 7A, depreciation, BAS reconciliation), many competitor workflows = manual Excel templates and copy/paste
- Error reduction: MyLedger = automated journal generation from working papers, many competitor workflows = manual journals and manual cross-referencing
- Audit trail: MyLedger = centralised working papers linked to transactions, manual packs = fragmented files across folders and emails
- If a senior reviewer spends 15 minutes per job locating spreadsheets and checking formula integrity, across 250 jobs/year that is over 62 hours of pure “file hunting.” Standardised, in-system working papers remove that hidden cost.
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4) How should accountants tighten Division 7A governance before year-end?
Accountants should review Division 7A exposures monthly (not just at 30 June), because remediation options narrow once the year closes and the risk of deemed dividends increases.
Division 7A is governed under the Income Tax Assessment Act 1936 (ITAA 1936), and ATO guidance is detailed and unforgiving where loans, payments, and debt forgiveness between private companies and shareholders/associates are not properly documented and repaid under compliant terms.
- Identify all shareholder/associate loan accounts early (including “wash” transactions and disguised distributions).
- Ensure compliant loan agreements exist where required and that Minimum Yearly Repayments (MYR) are calculated.
- Reconcile repayments to bank evidence and post journals correctly.
- Document any corrective action strategy before 30 June.
- Division 7A schedules: MyLedger = automated repayment schedules and MYR calculations using ATO benchmark rate logic, typical competitor stack = spreadsheet models maintained manually
- Journal workflow: MyLedger = auto-generate journals from Division 7A working papers, many competitor workflows = manual journals and manual schedule updates
- Portfolio oversight: MyLedger = combined schedule views across loans, manual processes = file-by-file tracking
- ITAA 1936 Division 7A provisions
- ATO Division 7A guidance and benchmark interest rate publications (ATO publishes the benchmark rate annually)
- Division 7A outcomes are fact-dependent; it is prudent to obtain specific advice for each arrangement, especially where restructures or repayments are being contemplated.
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5) How can accountants improve GST/BAS accuracy and reduce ATO audit risk?
Accountants should adopt a “reconcile-first” BAS process, because BAS errors typically originate in transaction coding, tax invoice evidence gaps, and failure to review GST classification exceptions.
Under Australian GST law (A New Tax System (Goods and Services Tax) Act 1999), correct GST classification is fundamental. ATO guidance indicates that entities must keep records that explain all transactions and support GST credits claimed.
- Lock a standard GST coding policy (e.g., treatment of mixed supplies, entertainment, motor vehicle expenses, overseas suppliers, and adjustments).
- Run exception reports for GST-free, input-taxed, and export-related transactions.
- Reconcile GST control accounts each period (not just annually).
- Maintain a documented BAS review sign-off step.
- GST enforcement: MyLedger = automatic GST tracking and enforcement by account, many competitor workflows = GST correctness depends heavily on manual coding discipline
- BAS summary: MyLedger = BAS summary reporting designed for compliance workflow, competitors = BAS reports exist but often require manual reconciliation steps and external working papers
- ATO integration accounting software: MyLedger = direct ATO portal integration and ATO statement/transaction import, many competitors = limited ATO connectivity and heavier reliance on manual data gathering
- A client with frequent fuel, tolls, and mixed private/business spend can generate recurring GST miscodes. A reconcile-first BAS process catches the pattern within the quarter rather than at year-end.
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6) What record-keeping and substantiation upgrades should accountants enforce in 2025?
Accountants should enforce consistent record-keeping standards because ATO review activity commonly turns on whether claims are substantiated and records are retained and retrievable.
According to ATO record-keeping guidance, taxpayers must generally keep records that are accurate, complete, and in English or easily convertible, and retained for the required period (often five years, with variations depending on context).
- Standard client document request lists by entity type and service (BAS vs year-end vs payroll vs SMSF).
- Evidence rules for “high-risk” categories (motor vehicle, home office, contractors, entertainment, apportionments).
- File naming conventions and central storage to reduce loss and duplication.
- Version control for working papers and adjustment schedules.
- Where contractor payments are significant, ensure you capture ABNs, invoices, and withholding outcomes. This supports both deductibility and compliance obligations where applicable.
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7) How should accountants strengthen cybersecurity and privacy as a professional obligation?
Accountants should uplift cybersecurity and privacy controls because client tax and identity data is highly sensitive, and compromises can create regulatory, professional, and civil exposure.
- Enforce MFA across email, ATO-access systems, and accounting platforms.
- Implement least-privilege access and immediate offboarding processes.
- Run monthly backup verification, not just backups.
- Adopt secure client data exchange (avoid email attachments for primary workflows).
- Fedix is built in Australia and positions bank-level security as a design baseline.
- MyLedger supports secure sharing links with controlled access, reducing the need for emailing spreadsheets and extracts.
- Cyber obligations can arise under multiple frameworks (privacy, professional standards, contractual duties). Your firm’s risk posture should be documented and reviewed at least annually.
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8) How can accountants build an advisory workflow without losing compliance discipline?
Accountants should systemise advisory delivery because ad hoc advisory creates scope creep and inconsistent value, while structured advisory creates measurable outcomes and higher client retention.
A practical advisory workflow should be data-driven and triggered by accounting signals, not just client requests.
- Define 3 advisory packages (e.g., cashflow and GST forecasting, entity tax planning, quarterly management reporting).
- Create triggers from compliance work (e.g., GST volatility, Division 7A risk, declining margins, PAYG instalment mismatches).
- Track advisory outcomes with measurable KPIs (cash conversion cycle, gross margin trend, debtor days).
- If automated bank reconciliation reduces processing time by 85%, capacity is created to hold proactive meetings, document strategies, and implement governance improvements.
- A client consistently experiences BAS payment shocks. Advisory triggered by GST volatility can move them to GST provisioning and instalment planning, reducing stress and late payment risk.
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How do these resolutions compare to “business-as-usual” workflows in Xero, MYOB, and QuickBooks?
These resolutions require automation and standardisation that traditional small-business ledgers do not prioritise for accountants managing many files.
- Automated bank reconciliation: MyLedger = AI-powered categorisation and bulk workflows, Xero/MYOB/QuickBooks = more manual exception handling in messy files
- Automated working papers: MyLedger = built-in working papers suite, competitors = external Excel packs remain common
- ATO integration accounting software: MyLedger = direct ATO portal integration and ATO statement/transaction import, competitors = typically partial integrations or reliance on separate ATO processes
- Practice economics: MyLedger = expected $99–199/month unlimited clients (and currently free in beta), competitors = commonly per-client pricing structures that scale costs as the portfolio grows
- Outcome: MyLedger = supports handling ~40% more clients without adding staff when workflows are adopted properly, competitors = scaling usually requires headcount or acceptance of longer turnaround times
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What is a realistic 30-day implementation plan for these resolutions?
A 30-day plan is realistic if it prioritises the highest-leverage workflow first: reconciliation, then working papers, then compliance governance.
- Days 1–7: Baseline and policy
- Days 8–14: Automate reconciliation
- Days 15–21: Standardise working papers
- Days 22–30: Governance uplift
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Next Steps: How Fedix can help your firm implement these resolutions
Fedix can help operationalise these eight resolutions by using MyLedger to automate what other platforms still require as manual work.
- Pilot MyLedger AutoRecon on your messiest monthly BAS clients first (where 90% faster reconciliation is most visible).
- Use MyLedger’s automated working papers (BAS reconciliation, Division 7A, depreciation) to standardise QA and reduce Excel dependency.
- Leverage MyLedger’s ATO integration to reduce manual portal checking and improve due date tracking and compliance readiness.
Learn more about how MyLedger can help automate automated bank reconciliation, ATO integration accounting software workflows, and working papers standardisation for your practice via Fedix (home.fedix.ai).
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Conclusion
These eight New Year resolutions are not generic productivity tips; they are practice-grade controls that improve compliance defensibility, reduce ATO-facing risk, and expand capacity. In 2025, the firms that win will be those that automate reconciliation, systemise working papers, tighten Division 7A and GST governance, and treat cybersecurity and documentation as core professional obligations rather than optional extras.
Disclaimer: Tax laws are complex and subject to change. This article is general information only and does not constitute tax advice. Application depends on each client’s circumstances, and ATO guidance and legislation should be checked for updates relevant to the 2025–2026 tax year.