Impact of Budget on Small Businesses May 2017 and Tax Planning Tips

Small Business Tips

Extending small business $20,000 immediate write off – proposed to keep it running for another 12 months up to 30^th June 2018. The business must have a turnover of under $10 million to access such concessions.

From 1^st July 2018, it will revert back to $1,000 immediate deduction

TAX TIP: If you need to acquire any large assets more than $1,000 and valued under $20,000 you can take advantage of this immediate write off for 2017 year and 2018 year.

 End of financial year planning tips 2017

• Ensure superannuation is paid and received by your fund for all employees by 30^th June 2017
• Review assets list for 2017 Depreciation Schedule for any scrap/obsolete items
• Delay issuing invoices for non-cash basis to post 30^th June 2017
• Pay all expenses incurred prior to 30^th June 2017 if on cash basis
• Write off all bad debts prior to 30^th June 2017
• Make sure you have a diary for working from home for internet/phone usage for 4 weeks of the year to verify claim
• Make sure logbooks are up to date for company/work related vehicles
• If a low income earner, ensure pay up to $1,000 prior to 30^th June to receive government co-contribution of up to $500.