As 30 June approaches, EOFY planning often turns into a last-minute rush—but a few well-timed actions can make a real difference to your tax position and help you avoid surprises.
Here are some key areas to focus on before year-end:
1. Bring Forward Deductions (Where It Makes Sense)
If cash flow allows, consider bringing forward expenses into this financial year:
- Pay for marketing, repairs, consumables, and professional fees
- Prepay expenses like rent, insurance, or subscriptions (subject to prepayment rules)
Timing matters—expenses need to be incurred before 30 June to be deductible this year.
2. Clean Up Your Accounts
EOFY is the perfect time to tidy up your numbers:
- Write off bad debts that are no longer recoverable
- Write off damaged or obsolete stock
- Review your asset register and remove any obsolete equipment
This ensures your financials accurately reflect your business position.
3. Consider Asset Purchases
With the instant asset write-off still available, eligible small businesses may be able to immediately deduct assets under $20,000 (per asset).
- Must be installed and ready for use before 30 June
- Ordering or paying alone isn’t enough
This can be a useful way to reinvest in the business while managing tax.
4. Superannuation Timing
Super is only deductible when received by the fund:
- June quarter super (due 28 July) can be paid early to claim this year
- Allow time for payments to clear before 30 June
Note: This may be the last year this timing strategy is relevant with Payday Super changes on the horizon.
5. Review Income & Capital Gains
Depending on your situation:
- Consider deferring income (where appropriate)
- Realise capital losses to offset gains made throughout the year (however be mindful of wash sale rules)
6. Final Checks Before Year-End
A quick review now can save time later:
- Reconcile bank accounts and key balances in Xero
- Ensure payroll and STP are up to date
- Prepare trust distribution resolutions (if applicable)
- Review dividends and director loan accounts
The Bottom Line
EOFY isn’t just about compliance—it’s an opportunity to reduce tax, clean up your accounts, and start the new financial year on the right foot.
If you’d like help working through what’s relevant for your business, get in touch with our team—we’re here to help you make the most of EOFY planning.ean things up and make your numbers work for you.
