Make tax time work harder for your small business

As tax time approaches, small-business owners are navigating a shifting economic landscape. With more potential interest rate cuts on the horizon, a volatile Aussie dollar and potential policy changes now the Federal Election is over, it’s more important than ever to be across what’s new – and what’s smart. Whether you're a sole trader, managing payroll or juggling multiple cost pressures, these practical tips might help you get prepared, stay compliant and potentially uncover savings.

1. Revisit the Federal Budget – it matters now

The 2024-25 Federal Budget might have been handed down over a year ago, but it’s suddenly front and centre for small business owners. Here’s what you might want to consider for your business:

• $20K instant asset write-off extended: For businesses with aggregated turnover under $10 million, you may be entitled to immediately deduct the full cost of eligible assets under $20,000 (per asset), where the asset is first used or installed ready for use by 30 June 2025.
• Energy rebate: Eligible small businesses can receive up to $325 as a rebate on electricity bills to help with rising costs.¹
• Tariff cuts: From 1 July 2024, the removal of 457 ‘nuisance tariffs’ on a range of imported goods may have helped to lower your supply costs.²

Tip: Want to know what applies to you? As the rules can be complex, head to the ATO’s Small Business Newsroom or speak to your accountant – they’ll help you apply it all to your specific situation.

2. Don’t miss out on deductions

From vehicle expenses and business travel to digital tools and home office costs – every dollar counts. Make sure you’re claiming everything you’re eligible for and keeping your receipts and records along the way.

Tip: If you’ve invested in new tech, equipment or green upgrades, check whether they qualify for deductions or fall under any current tax incentives by consulting with an accountant.

3. Review your super obligations

The Super Guarantee rate rose to 11.5% from 1 July 2024. It’s important to check that your payroll reflects this increase to stay compliant and avoid penalties. While reviewing your super obligations for this financial year, be mindful that from 1 July 2025 the super rate will rise to 12%, so it might be a good time to update this.

Tip: Make sure all your employee super contributions are up to date, as penalties may apply if you fail to comply.

4. Plan for cash flow

With the Reserve Bank expected to cut interest rates several times this year, some financial breathing room may be on the way. In the meantime, review your cash flow, tax obligations and savings buffers to avoid a scramble come EOFY.

Tip: Work with your bookkeeper or accountant on forecasting – quarterly planning can help you stay ahead of your obligations.

5. Lean on trusted support

You're not alone. Whether you’re growing, pivoting or just trying to get through, support is available. Contact your local CommBank business banker or message us via the CommBank app.