It’s best to focus on balance sheet accounts first and ensure balances are correct. If they are, it’s more likely the overall accounting system is accurate. 

Most common things to look out for on a balance sheet –  

Any accounts associated with frequent transactions such as bank accounts and credit card accounts should be reconciled.  

Bank account balances should be checked/reconciled against the bank statement. Either the bank balance in the accounting software should match the bank statement or there should be a reason for any difference i.e. outstanding deposit where the transaction is recorded in the software, but is yet to appear in the bank statement. 

Trade debtors/accounts receivable should be checked/reconciled against aging reports.

Inventory balances should be checked/reconciled against inventory records or stock sheets. If you are a small business entity you can apply the simplified trading stock rules

Most common things to look out for on profitLoss report - 

Fixed assets should be depreciated to help maximise expenses and minimise tax. Learn more about depreciation here.

Ensure salaries and wages match the gross wages on the payroll report for the time frame in question. Use the LodgeiT Payroll Analyser. to check the payroll values equal the amounts submitted at W1 on the activity statements.

Check that superannuation expense is roughly 9.5% of gross wages.