The best way to legally minimise your tax burden for 2023 is to seek professional advice early from Caroline at TaxGo.
Individual Tax Tips
- Appoint a tax agent before 31 October 2023. Tax agents have special provisions to legally lodge after this deadline without you incurring a fine for late lodgement.
- Consider making voluntary super tax payments (up to the yearly maximum cap of $27,500) which will lower your assessable income.
- Consider salary sacrificing. This allows you to lower your taxable income by packaging allowed necessary business expenses such as laptops and phones.
- Gifts and donations to registered charities before 30 June are tax deductible.
- Deduct working-from-home expenses. This includes but is not limited to electricity, water usage, internet, printing and rental costs depending on the proportion of usage that was for work.
- You may be eligible for various tax offsets such as low-income offset, low-and-middle-income offset and the offset for super contributions made on behalf of a low-income spouse.
Small Business Tax Tips
- Temporary full expensing allows eligible businesses to claim an immediate deduction for the business portion of the cost of an asset in the year it is first used or installed ready for use for a taxable purpose. So simply purchase any business asset and take advantage of the immediate deduction!
- Don't accidentally fall trap to division 7a and be deemed to have
- Write off any old stock or obsolete equipment as a loss to reduce your tax liability.
- Carry back tax losses
- You can prepay for rent, insurance and subscriptions
- If you write off bad debts you can claim them as a deduction.
- Pay your super contributions prior to 30 June and claim a deduction for this financial year.
Tax Tips for Investments and Capital Gains Tax
- Get your rental deductions right and only for expenses incurred.
- If you dispose of a property before 30 June, you may need to include that property in your tax return, which could significantly impact your tax return.