Top Tips to Maximise Your Small Business Tax Return

Getting all your paperwork in order for the EOFY? Don’t worry; we’ve got you. We’ve created a list of our top tips to maximise the tax return for your small business this financial year!

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Be sure that you are taking advantage of depreciation measures!

Temporary full expensing, allows for immediate deductions on the business portion of eligible depreciating assets purchased and used for a taxable purpose between 6 October 2020 and 30 June 2022. Find out more here:

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If you have a home office for your business, claim it, friend!

Sole traders and partnerships who have an at home office specifically for business (e.g. dedicated room) can claim a portion of occupancy costs (e.g. mortgage or rent). Yassington!

Note: This cannot be claimed if you just have a desk in your living room. This will be calculated in proportion to the floor area of your home that is a place of business and the proportion of time it is used for business.  

COVID-19 expenses are still very much a thing.

Additional business costs due to COVID-19 will be deductible such as costs of subscriptions and licences to IT products such as Zoom. Find a list of COVID-19 expenses here.  

Deduct your start-up expenses!

Start-up expenses, like obtaining legal or accounting advice on business structure, fees in establishing business structure is totally claimable.  

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There is a tonne of small business grants open at the moment from the government, but fear not; these are eligible as deductions.

Payments your business received under an eligible state or territory grant or Australian Government support program are taxable if you:

• carried on a business, and
• did not have an aggregated turnover of less than $50 million in either the income year the payment was received or the previous income year.

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