Geraldton is a commercial and agricultural hub located in the Midwest region of Western Australia. The town is near Perth where there are multi-billion natural gas and petroleum mining companies. No wonder the city’s population has grown up to 38,030 and its taxable residents have been recorded at 15,325. This also means, though, that the Australian Taxation Office is also busy monitoring the tax returns of the city’s citizens.
If you live or work in the city, it might come in handy to take steps to reduce the taxes you have to pay even before the end of the financial year happens. See, tax planning is not a last-minute process, rather something that should be carefully thought out.
Whether you are looking to lodge your tax return online, get the help of your family and friends, or hire a tax accountant – it might be good to glean some insights from these personal tax or business tax tips:
Personal Tax Return
1. Prepay expenses
When you prepay your 12 months of tax deductible expenses, the deduction can be forwarded into the 2013/2014 financial year. Some examples include prepaying interest on investment loans or having the income protection insurance.
2. Participate in charity
Gifts and donations you give to charities in Geraldton can be included as you lodge your tax return online. Once assessed and approved, it will be deducted from your tax and you can receive that deduction this financial year.
3. Repairs and maintenance
Do minor repairs and maintenance if you hold an investment property, and make sure to do it before 30th June, 2014 so you can include it in your tax returns.
4. Get health insurance
If you are a high-income earner, it might be a wise choice to buy health insurance, particularly private health cover. This way, you can avoid the Medicare Levy Surcharge. You need to be aware, though, that it will be prorated if the insurance is not held for the entire year, though.
Business Tax Returns
1. Pay as early as possible
Even though the superannuation guarantee payments for your staff will be due in July, if you pay in June – the deduction will be done within this financial year (and not in the next financial year).
2. Trusts and companies
Trust and companies can minimise tax payments by distributing funds to the recipients that belong to the lower tax brackets. Talk to your financial adviser about your tax returns, or perhaps your tax accountant can help.
3. Structure
It is good to review your current business structure from time to time – and find out whether your current situation is still appropriate to your structure or not.
These are only some of the many ways you can minimise your tax while in Geraldton. Whether you are going to lodge your tax return online, or going to use a tax accountant – it’s always good to prepare ahead of time.