Xero is leading the way in the agricultural sector. We are helping advisors to provide much more focused and informative advice to their farming clients. This in turn will help drive better business decisions.
We’ve been working in close partnership with members of the Rural Advisory Committee (RAC), and together we’ve designed specific Agricultural reporting templates that make reporting easier for New Zealand farmers. The new reports are more detailed and comprehensive, giving farmers and advisors better insights into how the business is performing.
In 2015 New Zealand made a number of changes to the Financial reporting framework in which small businesses report their year end financial statements. The final framework didn’t cater for all sectors and didn’t meet the requirements for New Zealand’s agri sector. The agri specific Notes in the original report in particular needed a good make over. The templates had very little detail around the requirements for NZ farming businesses
New Agri Report Templates
The new agricultural reporting templates contain three profit and loss reports for grouping of farm and rental activities. Also a detailed schedule of expenses and predefined pages to guide you in adding trading accounts and production reports. Additionally, notes to the accounts now include specifics for agricultural activity, revaluations as well as accounting for the Income Tax Act 2007 changes. If you need more extensive notes, there’s a complete set in the report template “Notes to Accounts (Agriculture — RAC). A template for the Schedule of Expenses (Agriculture — RAC) has also been included if needed separately for management reporting.
As an advisor, you can now use the Xero template by going into your advisory tab in your Xero file. There you’ll find an extra level of detail in places like the tax note, and that detail will run through the entire report. Plus, the report is still customisable and you can tweak it to suit you. However, keep in mind that different accounting firms have different ways of doing things.
Learn more on the blog about how your clients can tailor smart financial reports to suit their business.