Tax Planning – Organise yourself before 30 June 2022
With the end of the financial year fast approaching a well-organised and proactive approach will get you the best results when it comes to saving tax. This is why, attending to your annual taxation planning before 30 June 2022 is crucial.
To ensure you are in the best position possible, please find below some tax planning tips and tricks.
Basic tax planning ideas
1. Prepay expenses
If you are a small business entity with an aggregated turnover of less than 50m (and cash flow allows), consider prepaying expenses for up to a maximum of 12 months to bring forward deductions.
2. Stocktake
You must account for the value of your trading stock at the end of each income year (closing stock) and at the start of the next income year (opening stock). Performing an accurate stocktake at end of financial year will ensure you account for any stock loss, damaged or obsolete items to ensure you aren’t paying too much tax. Advantages of stocktake also include improving cashflow, detecting gaps and theft and is a great time to review pricing strategies.
3. Consider buying an asset for Instant Asset Write-Off
The Instant Asset Write-Off (or Temporary Full Expensing rules) ends on 30 June 2023. For the current financial year you can still take advantage of the instant asset write off allowing eligible business to claim a full tax deduction for eligible assets acquired.
Other Strategies
Consider deferring income until after 30 June if possible, giving consideration to cashflow implications.
Ensure any bad debts that wont be collected are written off before 30 June
Pay your employer super contributions on behalf of your employees before 30 June to obtain a tax deduction in the current year
Need Cordner Advisory to help?
If you have concerns or require further information in the meantime, please do not hesitate to contact our team who can provide you with guidance. Contact us on (07) 5504 5700 to speak to one of our trusted advisors today.
Cordner Advisory - Your Business Advisory, Accounting & Tax Specialists. Catering for clients all across Australia, from the golden beaches of the Gold Coast and Sunshine Coast to the capital cities such as Brisbane, Sydney and Melbourne
Ensure a smooth tax season by organising your finances early. Cordner Advisory Broadbeach, Gold Coast is here to guide your tax planning. Act now for a stress-free tax experience!
