As we approach the close of the 2016/17 financial year and the opening of the new financial year, here is our checklist of things to do for tax and business "common-sense".

Tax Planning Strategies before 30 June

• Defer invoicing if you are a non-Small Business Entity taxpayer
• Defer receipt of income if you account on a cash basis
• Write off bad debts
• Pay Super Guarantee (SG) before 30 June to obtain a tax deduction in the 2016/2017 year even though not due to be paid until 28 July 2017
• Make additional superannuation contributions up to your aged based limits before 30 June 2017
• Prepay expenses for up to 12 months (Small Business Entity) or up to $1,000 (non-Small Business Entity)
• Make tax deductible purchases such as accounting software and travel expenses before 30 June 2017 (Small Business Entity taxpayers must also physically pay these expenses)
• Purchase and be using/have installed ready for use before 30 June 2017 business assets <$20,000 + GST (Small Business Entity taxpayers) or < $300 + GST (non-Small Business Entity taxpayers)
• Pay staff bonuses
• Pay directors’ fees or dividends
• Adjust owners’ wages if necessary to obtain a more attractive tax outcome

Tax and Business Common Sense “Things to do” before 30 June 2017

• Ensure that your accounting file is up to date and reconciled
• Determine your year to date (YTD) profit or loss
• Determine how much tax you will need to pay
• Implement tax planning strategies to reduce this tax
• Implement cash flow strategies to pay predicted tax when due
• Work on your goals and vision for the 2017/2018 year
• Prepare your 2017/2018 expense budget
• Prepare your 2017/2018 sales budget
• Prepare your 2017/2018 break even sales levels
• Prepare your 2017/2018 schedule of fees/prices that will take effect from 1 July
• Determine your level of wages, tax and superannuation that will take effect from 1 July
• Prepare your annual trust income distribution minute if you operate your business via a trust
• Prepare for stocktake

Tax and Business Common Sense “Things to do” after 1 July 2017

• Prepare 2017 payment summaries and provide to employees by 14 July 2017
• Prepare ATO payment summary report and submit to the ATO by 14 August 2017
• Pay Super Guarantee (SG) for the quarter ended 30 June 2016 by 28 July 2017
• Prepare ATO taxable payments reports and submit to the ATO by 28 August 2017
• Collate paperwork for your 2017 tax

If you want to know more, go to our website at www.otsmanagement.com.au and click on the Contact Us link.