Last Minute 2016 EOY Tax Minimisation Tips

Brisbane Business Accountant - EOFY tax tips

The end of another financial year is upon us!

As a business owner, there are many obligations that you need to consider and action just before and just after 30 June. Some of these will help to minimise your tax.

To help you remember what’s coming up, your obligations and some key changes, we’ve prepared this table and some last minute tips.

Important dates for 2016

DateYour Actions
BEFORE 30 June 2016• Ensure your employee superannuation payments are received and allocated by your employees’ super fund prior to 30 June 2016 to ensure a tax deduction for this year. Any payments made between 1 July 2016 and 28 July 2016 will count towards your Superannuation Guarantee requirement but will not be tax deductible until the 2017 financial year.
• If you operate through a trading company, review shareholder loan accounts and make minimum loan repayments.
• If you operate through a discretionary family trust, ensure that a Trust Distribution Resolution for each Trust is signed by 30 June 2016.
• Carry out a stocktake by 30 June 2016 (companies with turnover over $ 2million).
• Review company shareholder loan accounts and make minimum loan repayments (may need to declare dividends).
1 July 2016• Superannuation guarantee rate is still 9.5%.
• 2% Temporary Budget Repair Levy continues.
14 July 2016 or before• Provide 2016 PAYG Payment Summaries to all employees.
28 July 2016• Quarterly Superannuation contributions due for employees (for the period 1 April 2016 to 30 June 2016). THIS IS A KEY DEADLINE.

(Note: If you fail to meet your requirements by 28 July 2016, you must complete a Superannuation Guarantee Charge Statement and forward it to the ATO together with underpaid superannuation plus administration fees and interest by 14 August 2016. Superannuation Guarantee Charge payments are NOT tax deductible.)

14 August 2016 or before• Lodge your 2016 Annual PAYG Payment Summary Statement (for employees) with the ATO. Penalties apply for late lodgement.
28 August 2016• Taxable Payments Annual Report due for lodgement with the ATO (building and construction industry).


Last Minute Tax Minimisation Tips

Here’s a few final reminders about ways to reduce your tax for 2016.

  1. Write-off Bad Debts.
  2. Write-off any trading stock that is damaged or obsolete.
  3. Review your asset register and scrap any obsolete plant and equipment.
  4. Pay for marketing materials, repairs, consumables, office stationery, and donations before 30 June 2016.
  5. Ensure employee superannuation contributions are made (and received by your employees’ superannuation fund) by 30 June 2016 to allow a tax deduction this financial year.
  6. Realise any capital losses you have before 30 June 2016 to offset against any capital gains you may have made.

Want to talk?

Feel free to call our office any time on 07 3822 7201 or email us at admin@bbaccountant.com.au. We can’t wait to provide you with better advice now for a beautiful future!


 

General advice warning: The advice provided is general advice only, as in preparing it we did not take into account your investment objectives, financial situation or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs, and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product.