With the end of the financial year looming, it’s time to think about your tax planning options before 30 June hits.
We’ve curated a list of top things to focus on when organising your tax affairs for year-end, applicable to businesses, primary producers, trusts and individuals.
The top things to consider include the following:
Business tax planning
- The most commonly overlooked deductions that could reap big refund rewards
- Paying superannuation on time and before year end
- Using instant asset write-off by incurring capital expenditure before year end
- Writing-off bad debts before year end
- Scrapping/disposing of plant and equipment before year end
- Valuing closing stock at lowest value
- Committing to staff bonuses before year-end
- Prepaying expenditure eligible for immediate deduction
- Accruing expenses paid after year-end
- Deducting ‘consumables’ contained within closing stock
- Immediate deductibility of start-up costs
Division 7A loans
- Repaying company loans to shareholder
Primary producers
- Profit from forced disposal of livestock
- Primary production income averaging
Trusts
- Trust distribution minutes
- Division 7A Loans – Trust distributing to a company
Individual tax planning
- Bring forward deductions
- Motor vehicle claims
- Donations
- Income protection policy
- Managing capital gains exposure
- Superannuation contributions – Concessional contributions
- Non-concessional contributions (after-tax contributions)
- Division 293 tax on superannuation contributions
- Medicare levy surcharge
International and multinational enterprises
- New hybrid mismatch disclosure
- Significant Global Entities (SGEs) and Country-by-Country Reporting
- Tax return disclosures and transfer pricing documentation
- Residency