The start of the financial year is more than a lodgement milestone. It is also an important point for reviewing tax planning decisions, closing out the previous year and preparing for the financial year ahead. An end of financial year checklist brings deductions, asset write-offs, super contributions, trust distributions and compliance obligations into one place, helping businesses identify what needs to happen before 30 June and what can be addressed after EOFY.
This matters most for businesses running through trusts, multiple entities or agricultural operations. Timing decisions made before and around EOFY can affect the tax outcome for the entire group instead of a single return.
A proper EOFY review runs across income, deductions, superannuation, trust structures and compliance obligations. Missing one area rarely stays contained. A skipped deduction can flow into a distribution problem, or a missed contribution can affect the tax treatment or contribution caps that apply.
A useful end of financial year checklist separates these tasks into three stages:
Across those stages, key areas include:
Working through each area in a set order, rather than reacting to whichever issue surfaces first, keeps decisions in one area from undoing progress in another.
Some tax planning opportunities depend on action being taken before the financial year ends. Reviewing these areas ahead of 30 June gives businesses time to consider their position and act where appropriate.
Every deduction claimed needs a direct connection to earning income, backed by records that prove it. As part of the year-end review, check that:
Paying certain expenses before 30 June may allow an eligible deduction to be brought forward into the current financial year rather than the next. Depending on the circumstances and the tax rules that apply, expenses such as insurance premiums, subscriptions and some interest payments may be eligible for prepayment treatment.
This can be a useful addition to your end of financial year checklist if cash flow allows, but eligibility and timing rules should be checked for the relevant financial year. It comes down to a comparison between your income position this year and your expected position next year. Running that comparison before making the payment, rather than after, is what determines whether prepaying actually helps.
Asset purchases are one of the most commonly misapplied parts of an EOFY review. Before making year-end asset decisions, consider:
An asset that doesn't qualify for immediate write-off may instead be claimed over time under the applicable depreciation rules. Because thresholds and eligibility requirements can change between financial years, check the current rules before relying on an immediate deduction.
The timing of a purchase alone does not necessarily determine the deduction available, so it is worth reviewing planned asset expenditure before 30 June rather than waiting until the tax return is prepared.
Where an individual or business is planning additional superannuation contributions for tax purposes, timing matters. Generally, a contribution must be received by the super fund within the relevant financial year to count in that year. Processing or initiating a payment before 30 June does not necessarily mean the fund has received it.
Clearing times vary between funds and payment methods, so contributions made in the final days of June can slip into the following financial year if they're not sent early enough. If a deduction or contribution strategy depends on the amount counting in the current financial year, allow enough processing time and confirm the applicable requirements.
This is separate from an employer's obligation to pay superannuation guarantee contributions for employees. Employer super has its own payment rules and due dates, which should be reviewed separately as part of EOFY compliance.
If your total super balance sits under the relevant threshold, unused concessional cap amounts from previous years can sometimes be carried forward, allowing a larger contribution in a particular financial year.
Eligibility, contribution caps and balance thresholds can change, so check the requirements applying to the relevant year before making additional contributions. Exceeding a cap can create additional tax and reporting obligations, making it important to review the position before acting.
Trustees should review the trust deed and applicable requirements to determine when distribution resolutions need to be finalised and documented. For many trusts, this means taking action by 30 June.
If an effective resolution is not made within the required timeframe, the resulting tax treatment will depend on factors including the terms of the trust deed, any default beneficiary provisions and the applicable tax rules. This can result in outcomes that differ significantly from the trustee's intended distribution strategy.
Before finalising resolutions, check each beneficiary's individual tax position. Splitting income evenly across beneficiaries without checking their other earnings can push the group's total tax bill up instead of down, which undoes the purpose of the review.
Trustees should also ensure resolutions reflect the trust deed and the actual income and distribution strategy rather than treating year-end resolutions as an administrative formality.
Not every item on an end of financial year checklist has to be completed before 30 June. Once the financial year closes, attention shifts to finalising records, meeting employer and reporting obligations, and preparing accurate information for tax returns and financial statements.
Key post-EOFY tasks can include:
Each item has its own timing and compliance requirements. Keeping these tasks separate from pre-30 June tax planning helps businesses distinguish between decisions that must be made before year-end and administrative or reporting work that can only be completed once the financial year has closed.
It also provides an opportunity to identify gaps in record-keeping while supporting information is still readily available, rather than waiting until lodgement deadlines approach.
Closing out one financial year properly also creates a stronger starting point for the upcoming year. Rather than treating EOFY as the end of the process, businesses can use the information gathered during the review to improve planning for the year ahead.
Areas worth reviewing include:
Agricultural businesses have an added layer here. Income averaging options and applicable drought-, disaster- or primary producer-related concessions are far easier to plan for at the start of a financial year than to retrofit partway through the year. Eligibility and available concessions should be checked based on the business's circumstances and the rules applying at the time.
What is included in an end of financial year checklist?
An end of financial year checklist typically covers deduction reviews, asset purchases and depreciation, superannuation contributions, trust distribution resolutions, and compliance and close-out tasks such as STP finalisation, super obligations, stocktakes and record preparation. It should also include planning for the financial year ahead.
When do super contributions need to be received to count for this financial year?
Where a contribution needs to count towards a particular financial year for contribution or tax purposes, it generally needs to be received by the super fund within that financial year. Processing or initiating a payment before 30 June may not be sufficient, so allow for clearing times and check the requirements that apply to the contribution.
Employer superannuation guarantee obligations have separate payment deadlines and should not be treated as having a universal 30 June due date.
What happens if a trust doesn't finalise its distribution resolution by 30 June?
The outcome depends on the trust deed, any default beneficiary provisions, the timing requirements that apply and relevant tax law. A missed or ineffective resolution can change who is assessed on the trust's income and the tax treatment that follows, so trustees should confirm their requirements before year-end.
Can I still claim the instant asset write-off this year?
Eligibility depends on the rules applying for the relevant financial year, including the current threshold, business eligibility requirements and the timing of when an asset is first used or installed ready for use. Because these requirements can change, confirm the current rules before making or claiming an asset purchase.
Every business reaches 30 June with a different set of moving parts: different entities, income timing and super positions. Working through an end of financial year checklist on your own can flag the issues, but effective EOFY planning is also about knowing which actions need to happen before 30 June, which obligations follow after year-end and what can be done now to prepare for the next financial year.
Boyce's full range of services covers each part of that picture, from tax consulting and business advisory through to agri services, private wealth and assurance. Get in touch with the Boyce Tax team to work through your end of financial year checklist, identify the actions that need attention before 30 June and prepare for the financial year ahead.
