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Tax Planning
Every business decision carries tax planning opportunities and challenges. Without a proactive approach, you risk paying more tax than necessary or missing out on valuable deductions.
By the time 30 June arrives, it’s often too late to make meaningful changes to your tax position. That’s why year-round tax planning is essential. Working with an experienced tax accountant who understands your business ensures you have strategies in place to minimise your tax liability and maximise financial growth.
At Carbon Accounting & Tax, we specialise in strategic tax planning to help businesses reduce their tax burden, optimise cash flow, and stay compliant with the latest ATO regulations. Our expert tax accountants work closely with businesses of all sizes to develop tailored tax strategies that align with financial goals and long-term business success.
Why Tax Planning is Essential for Business Growth
Tax planning isn’t just about compliance—it’s about maximising after-tax profits and creating a stronger financial foundation for your business. At Carbon, we:
- Minimise tax liabilities through proactive planning
- Improve cash flow by forecasting tax instalments
- Ensure ATO compliance to avoid penalties
- Identify tax-saving opportunities tailored to your business
- Help you structure your business for maximum tax efficiency
Webinar – Strategies for Success: Tax Planning and Property
Missed our recent webinar on enhancing tax planning and property investment strategies? Watch the recording online! Led by Accounting & Tax Partner Wayne French, with insights from Lachlan Delahunty (Performance Property) and Lucia La Bella (NAB), this session offers key strategies for optimising your financial portfolio.
Small Business Tax Strategies
Small businesses face unique tax challenges, from managing cash flow to ensuring compliance with GST, BAS and PAYG obligations. Our small business tax planning services help you:
- Estimate and plan for income tax payments
- Maximise deductions and tax offsets
- Develop tax-effective superannuation strategies
- Ensure compliance with all ATO tax obligations
A proactive tax plan reduces financial stress and improves your bottom line, giving you confidence in your business’s financial future.
Tax Planning & StrategyBenefits
Effective tax planning allows you to:
- Estimate your tax payable to avoid EOFY surprises
- Plan for tax instalments to maintain healthy cash flow
- Implement tax minimisation strategies to reduce liabilities
- Track profitability and adjust financial strategies accordingly
- Review and optimise superannuation contributions
- Ensure your business structure remains tax-efficient
With Carbon’s expert guidance, you can take control of your taxes, stay compliant, and keep more money in your business.
RED OHMS Group Case Study
RED OHMS Group is a safety and industrial hygiene consultant to the mining and offshore markets. They were using online accounting software, Xero, but wanted to utilise it more effectively for their tax planning.
Carbon Accounting & Tax worked closely with RED OHMS Group on their tax planning, and offered strategic advice to minimise their tax payable.
Ready to transform your business through proactive accounting?
How to minimise your business tax
Download our eBook for free!
Frequently Asked Questions
Tax planning in Australia refers to the process of analysing a financial situation or plan from a tax perspective to ensure tax efficiency. The goal of tax planning is to ensure that all elements of a financial plan work together in the most tax-efficient manner possible. Tax planning is arguably the most important thing that a business owner should be working on with their accountant. Tax planning assists you through effective strategies that could reduce your overall tax payable while growing your net worth.
Tax planning is crucial in Australia for several reasons, impacting both individuals and businesses in significant ways. By effectively planning for taxes, you can ensure that you are meeting legal obligations while optimising your financial strategy to support your business goals. Thorough tax planning can minimise your tax position, as well as allow you to budget for the next 12 months of tax payments. For some businesses, this can be substantial and having the foresight is an incredibly powerful tool. Businesses need to engage in tax planning as it can help them save money and improve their cash flow.
There are multiple benefits of tax planning, including:
- Improved cash flow
- Minimises your business tax liability
- Peace of mind knowing that your financial affairs are in order
- Better financial management
- Compliance with tax laws
- Identify and mitigate risks
- Efficient timing of expenses and purchases, and
- Improved credibility with financial institutions.
Tax planning can help Australian businesses with:
- Cash flow management: Improves your business’ cash flow by ensuring that tax payments are predictable and spread out. This avoids large, unexpected tax bills that can disrupt financial stability.
- More working capital: With lower tax liabilities, more cash remains in the business, which can be used for day-to-day operations, to invest in growth opportunities or to build a financial cushion for future needs.
- Lower taxes: By strategically timing income and expenses, claiming all allowable deductions and utilising tax credits, tax planning helps minimise your tax liability. This ensures you don’t pay more tax than necessary.
- Strategic investment: With a clear understanding of tax implications, businesses can make more informed decisions about investments, acquisitions and other strategic moves.
- Legal compliance: Proper tax planning ensures that your business adheres to all tax laws and regulations, avoiding legal issues and penalties from the ATO.
- Efficient use of resources: By saving on taxes, your business can allocate resources more efficiently, perhaps hiring new staff, expanding marketing efforts or increasing production.
Tax saving investments in Australia include shares, property, superannuation and managed funds. These investments offer various tax benefits, such as capital gains tax concessions and franking credits.
Tax planning season kicks off in February. This gives you enough time to sit down with your accountant to ensure you are on track with your financial and personal goals before the end of the financial year (30 June). Often tax planning meetings will generate discussion and allow your accountant to be proactive to reduce taxes for many years into the future, not just the current financial year.
Tax minimisation strategies for businesses include tax effective structuring, maximising deductions, claiming all eligible tax credits, and utilising tax concessions and exemptions.
You can optimise your business tax in Australia by:
- Claiming all deductible expenses
- Taking advantage of asset depreciation
- Restructuring your business in the most tax-effective manner
- Making pre-tax superannuation contributions
- Looking into grants and other small business concessions
- Deferring income where possible to the next financial year, or
- Use capital losses to offset capital gains. Also, if you’ve held an asset for over 12 months, you might be eligible for a 50% capital gains tax (CGT) discount.
- Tax-effective structuring: We can help you structure your business in a way that minimises your tax liability while maximising your after-tax profits.
- Maximising deductions: We can identify all eligible tax deductions and ensure you claim them on your tax return.
- Tax credits and concessions: We can help you take advantage of all tax credits and concessions that your business may be eligible for.
- Superannuation planning: We can help you optimise your super contributions and maximise your superannuation tax benefits.
- Corporate tax planning: We can develop a tax strategy tailored to your business needs and goals to minimise your tax liability and improve your cash flow.
- Small business tax planning: We can help small businesses identify tax-saving opportunities and develop a tax strategy that aligns with their long-term goals.
As a small business owner, you want to keep more of your hard earned money in your pocket. Let us help you create a tax plan that fits your unique situation. Get in touch with us to learn more.
Contact us today Book a free consultation
To find out more about our tax planning service and learn how it can benefit your business, submit your details below and our accountants will be in touch.
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