In this PDF we help to outline some of the methods of reducing your taxable income. DOWNLOAD PDF HERE
For example:
To minimize your taxation liability for the current year, some options are:
- Delay deriving assessable income (i.e. payment after 30 June can mean income is treated as next year’s)
NOTE: THIS MUST NOT BE CONTRIVED FOR JOBKEEPER ENROLMENT or HARDSHIP GRANTS! - Bring forward paying deductible expenses or losses
- Pre-pay next year’s expenses (beware of the 12 Month Rule)
- Move income to a taxpayer with a lower marginal tax rate (e.g. your Super Fund)
- Negative Gearing strategies (extreme caution is required)
- Depreciation Schedules for Rental Property investments
- A reduced taxable income can also have the effect of allowing receipt of Government benefits which are “income” tested e.g. family allowance, child care benefit etc.
Note:
Legislative conditions may limit the application of the above principles e.g. not all pre-payments will be allowable tax deductions; and some types of income can’t be shifted