As the June 30 End of Financial Year (EOFY) deadline approaches, it’s time to move past just crunching numbers and focus on strategic planning. Taking proactive steps now can maximise your tax returns, protect your cash flow, and set your business up for a successful year ahead.
Here are seven essential strategies to help you navigate EOFY with confidence.
7 Essential Tax Tips to follow before June 30
1. Consult with Your Accountant Early
Don’t wait until July. Meeting with your accountant before June 30 allows you to review your year-to-date position and implement last-minute, legitimate tax-saving strategies.
2. Utilise the Instant Asset Write-Off
If your business needs new equipment, purchasing and installing it before June 30 could offer immediate tax deductions, reducing your overall taxable income for the year.
3. Claim All Eligible Deductions
Review your expenses thoroughly. Ensure you are claiming everything your business is entitled to, including operational costs, office supplies, travel, and professional subscriptions.
4. Top Up Superannuation
Concessional super contributions are generally tax-deductible. Clearing outstanding staff super or topping up your own before the deadline can lower your tax bill—just ensure the fund receives the payment before June 30.
5. Write Off Bad Debts
If you have outstanding invoices that are genuinely uncollectible, officially writing them off in your system before June 30 allows you to claim them as a tax deduction.
6. Conduct an Accurate Stocktake
For businesses selling physical goods, a precise end-of-year stocktake is vital. Identifying and writing down damaged or obsolete stock directly reduces your taxable income.
7. Keep Accurate Records
Good tax planning relies on clear record-keeping. Ensure your receipts, invoices, and bank reconciliations are up to date to make tax time smooth and stress-free.