As June 30 approaches, now is the time for small business owners in Australia to take action and
reduce their tax liabilities for the financial year. The following strategies can help you maximise
your deductions and strengthen your financial position.
Take Advantage of Instant Asset Write-Offs
Eligible businesses can immediately deduct the cost of assets (up to the current threshold) used or installed by June 30. Consider purchasing necessary equipment, tools, or technology before EOFY—but only if they serve your business needs.
Make Super Contributions for Employees
Ensure all super guarantee payments are made and received by the fund before June 30 to claim a deduction this year. Also, consider making additional voluntary contributions if cash flow
allows—it’s tax-deductible and helps employees’ retirement savings.
Prepay Business Expenses
Prepaying expenses like rent, insurance, and subscriptions (up to 12 months in advance) can bring forward tax deductions. This is especially helpful for sole traders and small businesses on a cash basis.
Write Off Bad Debts and Obsolete Stock
Review your receivables and stock. If certain debts are genuinely unrecoverable or inventory is
outdated, write them off before June 30 to claim a deduction.
Keep Records Up to Date
Accurate, up-to-date records make tax time easier and ensure you’re claiming everything you’re
entitled to. Reconcile accounts, track receipts, and maintain digital records in line with ATO
requirements.
Final Tip:
Speak to your accountant or tax adviser to tailor these strategies to your business
situation. Proactive planning before June 30 can make a real difference to your bottom line.
