Financial year end tax planning

We spoke to director Tony Connolly from Connolly and Associates on goals and tax planning for next FY 2019 and we are super excited to implement, see below for tips on what your business should be taking into consideration:

 

Due to multiple tax changes 2018 is a critical year to plan your YEAR END TAX POSITION.

We are going over your FINAL position 2017 and 2018 interim profit reports to April and May to determine your prospective Taxable Income for this year.

 

Some of the matters to consider:

  1. Your Profit Position.
  • Subject to cashflow deferring income recognition and bringing expenditure forward.
  • Maximising Superannuation deductions
  1. Profit is not equal to Taxable Income.
  • What reconciliation items (Non-deductible Expenses) need consideration
  • Ensure SGC for employees is paid by June 25th to ensure clearing in Superfunds bank account by June 30th
  • Do you have dividends required to be paid to satisfy Div A positions?
  • Do you need an asset costing less than $20K where you can obtain a 100% deduction as an SME?
  • Do you have assets owned overseas or are a non-resident need to consider Aussie held assets?
  1. Who gets the Profit
  • What extra Directors Fees, Management Fees of Wages need to be paid to business owners before July 14th
  1. What will the final Tax Position be for 2018
  • Can we reduce the June quarters business or personal tax instalment?
  1. What is the optimal Trust Distribution for 2018 (must be completes by 30th June).
  • Does your deed need updating to better accommodate Income Streaming?
  • Dealing with Imputation Credits and Capital Gains.
  • How should the minute be drafted?
  • Do you have family members who can take distribution and pay a lower rate of tax (they must get the benefit of the distribution – but in most cases they do and/or have anyway)
  1. Research & Development.
  • Do you have a project that could be considered a R & D Project?

 

Business Plans

Whilst discussing the end of 2018 and the resulting tax position I should also strongly recommend the preparation of a Business Plan.

A Budget and cashflow is simply a business plan in numbers.

Every business decision has a cost and an outcome.

The business world – Your World – is changing.

You might dislike THE DIGITAL DISRUPTION; however Successful clients are those that have been bold and worked out a Digital Marketing Strategy and invested in Technology development.

 

Talk to us about about an introduction to Tony and the team at Connolly and Associates, an accountant that embodies the strategist, tax advisor and business mentor is critical for business growth and success.

About
Belinda (ex- Macquarie Bank) is an accredited Finance Broker and holds a bachelor of Communications (minor in Business). She has accumulated over 10 years of banking and lending experience across credit, sales and senior manager roles. Belinda combines her passions of finance, business, property and people to provide an enriched client experience and takes the time to investigate and understand what is required for each of her clients.
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