With only days to go until the end of this financial year those keen to reduce their tax bills should be very busy.
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Higher earners are always interested in tax savings.
So to others who have earned bonuses, or sold assets for significant capital gains, or had an unusually good year in business should be too.
One fruitful area is the pre-payment of expenses.
The Tax Office allows people to prepay deductible expenses in June that relate to their next year's operations and claim the tax deduction for them in this financial year.
For investors this means they can prepay interest on investment loans.
It could be a loan against an income-producing investment property.
It could be a bank loan that is used to fund the purchase of managed funds and shares, or a margin loan.
For example a deduction equal to twelve months interest on a property loan could provide a large tax refund.
Investment property owners can also pre-pay expenses such as insurance, body corporate fees and costs related to repair and maintenance work to be carried out soon.
People who have income protection insurance can pre-pay premiums.
Most working people who have mortgages, debts or young children should have income insurance to protect their families if an unfortunate event should happen that makes them unable to work.
The premiums are tax deductible and can be pre-paid for a deduction now.
Work related expenses can also be paid now and the deduction claimed in this year.
Self-employed people and small business owners can pre-pay business expenses that relate to the next twelve months such as rent.
They can also purchase equipment that will be used in the next year such as computers.
It is important to remember that the tax rate is less than one hundred cents in the dollar so buying deductible items that you don't really need doesn't pay.
Superannuation contributions also offer great tax saving potential for some people as discussed last week.
People under age 65, or up 74 if still working, can claim deductions if they top up their employer contributions so the two total $25,000 maximum.
Also if they didn't contribute the full $25,000 in the 2019 and/or 2020 financial years and their total super balance was under $500,000 on 30 June 2020, they can make catch-up contributions equal to the unpaid gap.
It is essential to complete the ATO claim form and submit it to the super fund.
Spouse superannuation contributions can also provide smaller but handy tax savings and the government co-contribution scheme can provide benefits too.
People wishing to maximise their super by putting in non-deductible contributions also need to act quickly now.
In all cases the money must be in the super fund on June 30 to qualify for the benefit.