The Ultimate EOFY Checklist for Small Business Owners

Because the EOFY process isn’t just about meeting deadlines – it’s a powerful opportunity to assess your business’s financial performance, claim tax deductions, reduce your taxable income, and set strategic goals for the year ahead. This essential EOFY checklist will help your business stay on top of obligations and unlock long-term financial success.

EOFY, or end of financial year, is a crucial period for Australian small business owners. It’s the time when financial statements are finalised, tax planning for the current year is undertaken, and financial planning for the next financial year begins.

For SMEs, preparing for the end of the financial year is more than a formality. It’s a chance to assess business performance, tidy up financial records, and ensure compliance with the Australian Taxation Office (ATO). It’s also an opportunity to reduce taxable income through legitimate deductions and contributions.

One of the most valuable EOFY tips is to take advantage of every tax deduction available. Small businesses can claim deductions for a wide range of business expenses, including:

• Office supplies and utilities
• Travel and vehicle use (related to the business)
• Depreciation of assets under the instant asset write-off scheme
• Staff training and development

If your business structure allows, you may also be able to claim an immediate tax deduction for prepaid expenses and interest on business loans. It’s crucial to review your income and expenses in detail with an accountant or tax professional to avoid missing out.

Paying superannuation on time is not just a legal obligation; it can also deliver tax benefits. To claim a tax deduction in the current year, ensure all your employee super payments are processed by 30 June.

Late payments are not deductible and may incur penalties from the ATO, affecting your cash flow and tax bill. Use this part of your financial year checklist to verify that contributions are up to date and correctly reported.

Your business structure, whether you operate as a sole trader, partnership, trust, or company, has a big impact on your tax obligations, compliance, and legal responsibilities.

Depending on your structure, different tax treatments apply. The end of the financial year is an ideal time to review whether your current structure still aligns with your business’s financial goals and future plans. An accountant or financial advisor can help you assess whether it’s time to restructure, especially if your business turnover or operations have grown.

Having detailed records of your income and expenses is fundamental for accurate reporting and maximising your deductions. Use this step in the EOFY checklist for small business to:

• Reconcile your bank statements and accounting software
• Organise receipts for all business expenses
• Separate personal and business transactions
• Identify and record any unpaid invoices or accrued expenses

A clean set of books will make it easier to lodge your tax and handle any queries from the ATO.

EOFY is the perfect time to review your financial performance and assess the health of your cash flow. By comparing this year’s results with previous years, you can spot trends, identify gaps, and make strategic financial decisions for the year ahead.

Reviewing your financial statements also helps pinpoint where your profits are coming from, which products or services underperform, and what expenses are dragging you down. This insight is critical for small and medium-sized enterprises looking to grow or protect their business in volatile times.

Accurate financial data starts with efficient tools. Make sure your accounting software is up to date with current tax law and integrates well with your payroll, invoicing, and expense tracking systems.

Modern software can automate your business activity statements, simplify reporting, and alert you to upcoming tax obligations. It’s a great way to keep your small business compliant and save time on admin.

A registered tax agent is your best ally when navigating complex tax compliance. They ensure your business claims the correct deductions, files on time, and meets Australian tax requirements.

Before engaging a tax agent, confirm your tax agent is registered with the Tax Practitioners Board. They can help you lodge your tax return accurately, reduce your taxable income, and stay informed about upcoming changes.

If you’re unsure how recent tax changes affect your business, or you’ve experienced significant growth or loss this year, a tax professional can provide tailored tax advice based on your specific financial situation.

Each year, the ATO implements updates that impact how small businesses operate. For example, changes to the instant asset write-off threshold, capital gains tax exemptions, or superannuation contribution limits can influence your tax liabilities and planning strategy.

Small and medium enterprises need to stay informed about updates to Australian tax law so they can take advantage of tax benefits and avoid compliance problems.

This year, be especially mindful of:

• Any new rules around deductible expenses
• Reporting requirements for digital platforms
• Phase-outs of COVID-era tax relief

Once you’ve ticked off everything on your EOFY checklist for small business, it’s time to look forward. Use this moment to revisit your business and marketing plans, revise your budget, and consider new investments that can support your growth.

Ask yourself:

• Do I need to apply for a business loan?
• Is it time to hire more staff?
• Should I adjust pricing or service offerings?
• What tools or support will improve my financial management?

EOFY is a strategic moment, not just for compliance but also for business planning. Use your fresh financial data to reset your goals and take proactive steps toward a stronger new financial year.

• Understand why EOFY matters and how it impacts your tax return
• Record and reconcile all business expenses
• Make superannuation contributions before 30 June
• Take full advantage of available tax deductions
• Assess if your business structure is still right for you
• Review your cash flow and financial performance
• Ensure your accounting software is current
• Get support from a registered tax agent
• Watch out for relevant ATO updates and tax changes
• Set your business up for success in the next financial year

With the right planning, EOFY can be a launching pad for better financial management, smarter strategic planning, and a more profitable year ahead. Tick off your EOFY checklist for small business owners and go into the new financial year confident, compliant, and ready for growth.