According to the Australian Taxation Office, businesses can claim a tax deduction on the majority of expenses incurred when buying, maintaining, repairing, and selling business assets or stock. To maximise your tax refund, it’s important to keep appropriate records. As part of this process, if your business buys or sells goods or inventory, you’ll most likely need to conduct a thorough stocktake at the end of each financial year.
In this article, we take a deep dive into what a stocktake is and provide a stocktake preparation checklist to ensure you know how to conduct a successful stocktake to prevent stockouts and avoid deadstock.
Our stocktake preparation checklist is designed to facilitate an efficient stocktake process in 8 steps. Read through our stocktake preparation checklist or jump ahead to the relevant section by clicking on the links below:
- Define your stocktaking methods
- Set a time and date for your stocktake
- Have the right tools ready
- Prepare your stockroom
- Categorise your stock
- Count each inventory item
- Validate your stock
- Keep clear and accurate inventory records
Before you learn how to do stocktaking, let’s look at what a stocktake is.