In a previous blog we spoke about the timing of expenses and the Robin Hood effect.
Another option to bring down your taxable income in the current year is to pay staff their super a little earlier. This is ideal if your taxable income is high this year but may be lower next year.
As every business owner knows super must be paid for employees and received by their fund at least 28 days after the quarter.
Otherwise, it’s not tax deductible and you must complete forms and send payment plus interest and penalties to the ATO. Yikes!
The June quarter deadline is the 28th of July.
Super is deductible when 𝐏𝐀𝐈𝐃.
𝐓𝐈𝐏 𝐎𝐅 𝐓𝐇𝐄 𝐃𝐀𝐘: Pay your employee’s super for the June quarter at least a week before the 30th of June to ensure their superfund has received it. This will bring forward your tax deduction to the current year.
Like any tax advice make sure you get help for your specific situation.
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