EOFY Tax Checklist for Small Business (2025-26): Key Actions Before 30 June

General information only. This is not tax or financial advice. Consult a registered tax agent for advice specific to your situation.

For small businesses, the weeks before 30 June are when planning turns into action. Deductions, super obligations, and compliance tasks all have hard deadlines tied to the end of the income year. This checklist covers the key items.

Instant asset write-off timing

The $20,000 instant asset write-off threshold (per asset) is proposed to apply through to 30 June 2026 for small business entities with aggregated turnover under $10 million.

• Assets must be first used or installed ready for use before 30 June to qualify in the 2025-26 year
• The threshold applies per asset, so multiple items under $20,000 each can all qualify
• Assets costing $20,000 or more go into the small business depreciation pool
• If the extension bill has not passed by the time you purchase, there is legislative risk — monitor the bill status

Do not buy assets you do not need just for the deduction. The write-off reduces taxable income, but you are still spending real money.

BAS reconciliation

Before 30 June, reconcile your BAS reporting against your actual books.

• Compare GST collected and GST paid with your accounting records for each quarter
• Check for any unfiled or amended BAS from earlier in the year
• Ensure PAYG withholding reported on BAS matches actual amounts withheld from employees
• If you report GST on a cash basis, confirm that the timing of receipts and payments is correctly reflected
• Lodge any outstanding BAS to avoid penalties and interest charges

Employee super payments

Super guarantee payments must be received by the employee’s fund by the quarterly due date to be deductible in that quarter. For the April-June 2026 quarter, the due date is 28 July 2026, but there is a reason to pay earlier.

• To claim a tax deduction in the 2025-26 year, the super must be paid and received by the fund before 30 June 2026 for the first three quarters. The Q4 payment received by 28 July is still deductible in 2025-26.
• Check year-to-date SG amounts against the 12% rate on ordinary time earnings
• Pay any shortfalls before 30 June to avoid the super guarantee charge (SGC), which is not tax deductible
• From 1 July 2026, payday super rules begin to phase in — now is a good time to review your payment systems

Stocktake

If your business holds trading stock, a stocktake at 30 June is required if the value of stock on hand has changed by more than $5,000 during the year.

• Count physical inventory as close to 30 June as practical
• Identify obsolete, damaged, or slow-moving stock
• Value stock at cost, market selling value, or replacement value (whichever method you choose must be applied consistently)
• Write down stock to its actual value if it has fallen below cost

Bad debt write-off

Debts that are genuinely unrecoverable can be written off as a deduction, but the write-off must happen before 30 June to be claimed in the 2025-26 year.

• Review your aged debtors list for amounts unlikely to be collected
• Document the steps taken to recover the debt and the decision to write it off
• If GST was included in the original invoice, you can claim a GST adjustment on the written-off amount
• The debt must have been previously included in assessable income

Prepaid expenses

Small businesses using the simplified tax system can claim an immediate deduction for prepaid expenses where the service period is 12 months or less and ends before the end of the next income year.

• Prepay rent, insurance, or subscriptions before 30 June
• Prepay interest on business loans (check with your lender on timing)
• The 12-month rule is strict — prepaying for longer periods requires apportionment

Trust distributions by 30 June

If the business operates through a trust, the trustee must make a distribution resolution by 30 June to establish present entitlement of beneficiaries.

• Ensure the resolution is documented and signed before midnight on 30 June
• Confirm the resolution is consistent with the trust deed
• If no beneficiary is presently entitled, the trustee may be assessed at penalty rates under section 99A
• Consider streaming of capital gains and franking credits to specific beneficiaries where the deed permits

Action items before 30 June

• Purchase and install any qualifying assets before 30 June
• Reconcile BAS lodgements against accounting records
• Pay employee super to funds (not just to the clearing house) before 30 June
• Complete stocktake and value closing stock
• Write off genuinely bad debts and document the decision
• Prepay eligible expenses for up to 12 months
• Finalise trust distribution resolutions before 30 June
• Lodge any outstanding BAS or activity statements

Key dates

• 30 June 2026 — End of income year. Asset write-off, bad debt write-off, trust resolutions, and most deduction timing actions must be completed by this date.
• 28 July 2026 — Q4 super guarantee due date.
• 28 August 2026 — June quarter BAS due date (or 28 October if lodged by a tax agent).

Next step

• Check your BAS position with the BAS Calculator
• Estimate company tax with the Company Tax Calculator
• Sole traders can estimate total tax with the Sole Trader Tax Calculator

This is general information only. Rules and thresholds can change. Check with the ATO or a registered tax agent for your specific situation.