Tax planning

Sam Martel Friday, 09 April 2021

The 2021 financial year has been a whirlwind. With COVID-19 restrictions easing to almost nothing, businesses have learnt to adapt quickly to change. The new rules for temporary full expensing of assets and the write off of all general asset pools will bring large deductions to most businesses, as such, there are a number of strategies that should also be considered, including:

  • Withdrawal or deposit of Farm Management Deposits
  • Review of changes to financing policies of lenders (payment deferrals and fixed interest break costs)
  • Review of subsidised government loans to farming business (RIC loans)
  • Halving of minimum pension withdrawals from a superannuation funds
  • Review potential loss carry back rules (available to companies only)
  • Potential to declare prior year livestock deferrals or defer current year livestock profits

We have adjusted our work papers and processes to ensure we explore all these opportunities and look forward to working with clients as we prepare March 2021 activity statements.