Your Small Business EOFY Checklist

Mar 13, 2026 | Uncategorized

Small Business EOFY Checklist

What Every Small Business Owner Needs to Do Before 30 June

Don’t Wait Until the Last Minute – Start Tax Planning Now

The end of the financial year is one of the most important times on the Australian business calendar. For small business owners, it can also be one of the most stressful. Between reconciling accounts, reviewing super obligations, and identifying every deduction you’re entitled to, there’s a lot to manage in a short window.

The good news is that with the right preparation, EOFY doesn’t have to feel like a scramble. Here at TSP, we’ve been helping Newcastle and Hunter Valley businesses navigate this time of year for over 43 years, and the businesses that come through it smoothly are always the ones that start early.

This checklist covers the key areas every small business owner should address before 30 June 2026. If anything on this list is unfamiliar or you’re unsure how it applies to your situation, give us a call. That’s exactly what we’re here for.

1. Get Your Financial Records in Order

Before anything else, you need clean, complete records. This means all income received during the financial year should be recorded, all expenses accounted for, and your bank statements reconciled against your bookkeeping software. If you’re running MYOB, Xero, or QuickBooks, now is the time to do a thorough review.

The ATO requires businesses to keep records for at least five years, and good record-keeping doesn’t just keep you compliant, it also makes sure you don’t miss deductions you’re legitimately entitled to. Sloppy records cost businesses money every year in missed claims.

Check that all invoices are issued and dated correctly. If you use cash accounting, make sure income and expenses are recorded in the period they were received or paid. If you’re on an accruals basis, confirm that income earned and expenses incurred before 30 June are reflected in this financial year regardless of when cash changed hands.

2. Maximise Your Tax Deductions

One of the most valuable things you can do before 30 June is review your expenses and confirm you’re claiming everything you’re entitled to. Common deductions for small businesses include motor vehicle costs, home office expenses, professional subscriptions, business travel, training and education costs, and equipment and technology purchases.

The key rule is that an expense must be incurred in the production of assessable income and must not be private in nature. If you’ve been putting off a business purchase, now may be the right time to make it, particularly if it qualifies under the instant asset write-off provisions. However, be cautious about purchasing things purely for the tax benefit. A dollar spent is a dollar spent, and the tax saving is only a portion of that.

It’s also worth reviewing whether you’ve pre-paid any allowable expenses before 30 June. Prepaying up to twelve months of business insurance, subscriptions, rent, or interest on a business loan can bring those deductions into the current financial year.

3. Review Your Superannuation Obligations

Superannuation contributions are only tax deductible when they’re actually paid and received by the super fund before 30 June. This is a point that catches many business owners out every year. If you leave it too late and the payment doesn’t clear before the end of the financial year, the deduction shifts to the following year.

For the 2025-26 year, the Superannuation Guarantee rate is 11.5 per cent of ordinary time earnings. Make sure all employee super has been calculated correctly and that payments are processed with enough time to clear before 30 June.

If you’re a business owner and you want to make a personal concessional (before-tax) contribution to your own super fund this year, ensure you’ve submitted a valid Notice of Intent to Claim a Deduction with your fund before lodging your tax return. And if you’re an SMSF trustee, there are additional considerations around contribution caps and timing, so speak to us if you’re unsure.

4. Payday Super Is Coming in July 2026

If you’re not already across this, it’s time to pay attention. From 1 July 2026, the way employers pay superannuation will fundamentally change. Under the new Payday Super rules, employers will be required to pay super contributions at the same time as wages, rather than quarterly.

This is a significant shift in cash flow management for many small businesses. Rather than setting aside super and paying it every quarter, you’ll need to factor it into every payroll cycle. If your payroll processes, software, or cash flow planning aren’t ready for this change, July 2026 is going to arrive sooner than you think.

We’ve been helping our clients prepare for Payday Super well in advance, and if you haven’t reviewed your payroll systems yet, there’s still time to get ahead of it. Don’t wait until the last minute on this one.

5. Write Off Bad Debts

If you have outstanding invoices from customers who are unlikely to pay, now is the time to formally write them off before 30 June. Bad debts that are written off in the current financial year may be deductible, but you need to be able to demonstrate that the debt is genuinely irrecoverable.

This means actually writing the amount off in your accounts, not just making a note that it might be doubtful. If the debtor has closed down, is in liquidation, or you’ve made genuine attempts to recover the debt without success, document all of that clearly. This is especially relevant if your business has been dealing with any challenging client relationships over the past year.

6. Instant Asset Write-Off

The instant asset write-off provisions allow eligible small businesses to immediately deduct the cost of eligible depreciable assets in the year they’re first used or installed, rather than depreciating them over time. The rules around eligibility, thresholds, and applicable asset types have changed several times in recent years, so it’s important to confirm what applies for the 2025-26 financial year.

If you’ve purchased equipment, machinery, vehicles for business use, or technology during this financial year, check whether those assets qualify. If you’ve been considering a purchase that would qualify, and you need it for your business, making it before 30 June could bring the deduction into this year. Again, please talk to us before making significant purchases on this basis, as the rules are specific and the thresholds matter.

7. Do a Stocktake

If your business carries trading stock, you’re required to do a stocktake at 30 June. This includes finished goods, raw materials, and work in progress. The value assigned to your closing stock affects your taxable income, and you may have the option to value stock at cost, replacement value, or market selling value. In some circumstances, you can even write down obsolete stock to a lower value.

It’s worth reviewing your stock carefully and making sure slow-moving or damaged items are written down to their realistic value. Speak to us if you’re unsure which valuation method is most appropriate for your business.

8. Review Your Business Structure

The end of the financial year is a natural checkpoint to review whether your current business structure is still working for you. This is particularly relevant if your business has grown significantly, if there have been changes to ownership or key relationships, or if you’ve been thinking about asset protection.

Common structures include sole trader, partnership, company, and trust, and each has different tax, liability, and succession implications. If you’ve been considering whether a family trust or corporate structure might better suit your circumstances, now is a good time to have that conversation before the new financial year begins.

We don’t make structural changes lightly, but we do make them strategically, and planning early means any restructure can be properly implemented from day one of the new financial year rather than mid-stream.

9. Lodge Your BAS and Review PAYG

Make sure all Business Activity Statements are up to date. If you’re on a quarterly BAS cycle, your April to June quarter lodgement will be due after 30 June, but gathering the information in advance makes the process smoother. If you have PAYG withholding obligations as an employer, confirm that all amounts have been withheld and remitted correctly.

Also review your PAYG instalments for the year. If your business income has changed significantly compared to the prior year, you may be able to vary your instalments to better reflect your actual position. Overpaying throughout the year ties up cash unnecessarily.

10. Talk to Your Accountant Before 30 June

This might sound self-serving, but it genuinely isn’t. The majority of tax planning opportunities can only be acted on before 30 June. Once the financial year has closed, your options are limited to what was done, not what could have been done.

A pre-EOFY meeting with your accountant is one of the highest-value conversations you can have. We look at your year-to-date numbers, identify any actions worth taking before 30 June, and make sure nothing is being missed. If you haven’t had that conversation yet this year, call us. We still have time.

TSP Accountants & Business Advisors has been helping small businesses across Newcastle and the Hunter Valley prepare for EOFY for over 43 years. If you’d like to book a pre-EOFY review, call us on 4926 4155 or email ad***@****************om.au. We’re here to make sure you walk into 1 July in the best possible shape.

FREQUENTLY ASKED QUESTIONS

When is the end of the financial year in Australia?

Australia’s financial year runs from 1 July to 30 June. The end of the financial year (EOFY) falls on 30 June each year. Tax returns for individuals and businesses generally need to be lodged by 31 October, although registered tax agents like TSP can access extended lodgement deadlines.

What expenses can a small business claim as a tax deduction?

Small businesses can generally claim deductions for expenses that are directly related to earning income. Common examples include operating costs such as rent, utilities, and wages; business-related vehicle expenses; equipment and technology; professional subscriptions and memberships; accounting and legal fees; advertising and marketing costs; and training and professional development. Personal or private expenses cannot be claimed, and where an expense has both business and private components, only the business portion is deductible.

What is the instant asset write-off and does my business qualify?

The instant asset write-off allows eligible small businesses to immediately deduct the full cost of a qualifying asset in the year it is first used or installed ready for use, rather than depreciating it over time. Eligibility depends on your business turnover, the type of asset, and the applicable threshold for the financial year. The rules have changed several times in recent years, so it’s important to confirm the current provisions with your accountant before making a purchase on this basis.

Does superannuation need to be paid before 30 June to be deductible this year?

Yes. Superannuation contributions are only deductible in the financial year in which they are actually paid and received by the super fund, not when they are calculated or accrued. If you want to claim a deduction for super contributions in the 2025-26 year, they must be paid and cleared by 30 June 2026. Leaving payments until the last few days carries risk due to processing times, so we recommend not leaving this until 28 or 29 June.

What is Payday Super and when does it start?

Payday Super is a significant reform to Australia’s superannuation system that requires employers to pay super contributions at the same time as wages rather than quarterly. It takes effect from 1 July 2026. This represents a change to cash flow management for many small businesses, and preparation now, including reviewing payroll software and processes, is strongly recommended.

How long do I need to keep business records?

The ATO generally requires businesses to keep financial records for a minimum of five years from the date the records were prepared, obtained, or the transactions completed, whichever is the latest. For records related to capital gains tax assets such as property, records should be kept for at least five years after you dispose of the asset. Digital records stored securely are acceptable.

Should I review my business structure at EOFY?

EOFY is a logical time to review whether your current structure, whether that is sole trader, partnership, company, or trust, continues to suit your circumstances. If your business has grown, if asset protection has become more important, or if you’re planning ahead for succession, a structural review may be worthwhile. Any changes should be planned carefully and implemented with proper accounting and legal advice.

David Apps | BCom, CA
Latest posts by David Apps | BCom, CA (see all)