With only 8 weeks until 30 June 2026<\/strong>, every Melbourne small business owner faces a narrow window to make decisions that can permanently change their tax position for the year. Tax compliance \u2014 what most accountants do \u2014 happens after the fact. Tax planning<\/strong> happens now. The difference between the two is often $5,000-$50,000, depending on your structure.<\/p>\n This article walks through the seven strategic tax decisions every Melbourne small business owner \u2014 sole trader, company, or trust \u2014 should consciously make before 30 June 2026. None of these are last-minute tactics. They are structural choices that need 4\u20138 weeks of lead time, and most of them cannot be undone<\/em> after 30 June.<\/p>\n The team at Wiselink Accountants<\/a> \u2014 CPA-qualified, NTAA-registered, with offices in Melbourne (Camberwell) and Brisbane (Eight Mile Plains)<\/a>, serving clients across Australia \u2014 works through this exact framework with our business advisory<\/a> clients every May and June. Below is a condensed version any owner can use to identify which decisions are worth a deeper professional conversation.<\/p>\n For 2025-26, eligible small businesses (aggregated turnover under $10 million) can instantly deduct the cost of qualifying assets up to $20,000 each<\/strong>, provided the asset is purchased and installed ready for use by 30 June 2026<\/strong>. The cap and threshold have been politically uncertain over the last several years; assume nothing about future budgets.<\/p>\n Strategic action items:<\/p>\n If you are considering a $50,000 vehicle purchase, the difference between buying on 28 June 2026 versus 1 July 2026 can be one full year of depreciation deduction \u2014 about $7,000 of tax cash difference for a 30% tax rate.<\/p>\n The concessional contribution cap is $30,000<\/strong> for 2025-26 (combining employer SG and personal deductible contributions). For business owners with strong years, this is one of the most efficient tax-deductible spends available \u2014 money goes into super taxed at 15% instead of your marginal rate of up to 47%.<\/p>\n Three key rules:<\/p>\n For a high-earning sole trader, a properly structured $30,000 personal concessional contribution can save $9,000-$10,000 in tax \u2014 at the cost of locking the money in super until preservation age. For most owners 50+, that trade is excellent.<\/p>\n If your business is held in a discretionary (family) trust<\/strong>, the trustee resolution determining who is presently entitled to the trust’s income for 2025-26 must be made and documented by 30 June 2026<\/strong>. Late or missing resolutions can result in the trustee being assessed at the top marginal rate of 47%.<\/p>\n Beyond the deadline, the larger 2026 issue is Section 100A<\/strong>. The ATO’s 2022 ruling significantly narrowed the conditions under which adult-child distributions can be made without being labelled a “reimbursement agreement” \u2014 which would result in the income being taxed back to the trustee, often catastrophically.<\/p>\n What every trust owner should pause and verify with their accountant:<\/p>\n This is the single area where a one-hour advisory conversation<\/a> is most likely to prevent a six-figure ATO problem.<\/p>\n If you carry inventory, the cost flow method<\/strong> you use to value closing stock \u2014 FIFO (first in, first out), Weighted Average, or Specific Identification \u2014 directly affects your taxable income. In an environment where input costs are rising (which 2025-26 has been for many sectors), FIFO will generally produce higher taxable income<\/strong> than Weighted Average, because older, cheaper costs flow to cost of goods sold first.<\/p>\n Decisions to make before 30 June:<\/p>\n To claim a bad debt deduction in 2025-26, the debt must be actually written off in your books before 30 June 2026<\/strong>. Writing it off in July is too late \u2014 you lose the deduction for an entire year.<\/p>\n Conditions:<\/p>\n If you have customers more than 90 days overdue, this week is the time to start the recovery process, document it, and \u2014 if recovery fails \u2014 write the debt off cleanly in June.<\/p>\n If you are sitting on either capital gains or capital losses on assets (shares, crypto, investment property, business equipment), the contract date determines the income year<\/strong>, not settlement date. This means selling on 28 June 2026 puts the gain in 2025-26, while 1 July 2026 defers it to 2026-27.<\/p>\n The strategic questions:<\/p>\n Crypto holders deserve a special note: the ATO is now data-matching directly with all major Australian and many international exchanges. If you have unrealised gains and were planning to dispose during 2025-26, your accountant needs to know now \u2014 not in October.<\/p>\n If you operate through a Pty Ltd company and have drawn money out as a loan to yourself or a related party<\/strong>, Division 7A rules require the loan to either be repaid by the lodgement date of the company’s return \u2014 or be put on a complying loan agreement (typically 7 years, secured) \u2014 to avoid being deemed an unfranked dividend.<\/p>\n Action items before 30 June:<\/p>\n Consider a Melbourne family business operating through a Pty Ltd holding 100% of the shares of a trust, with the family on a combined taxable income of $250,000:<\/p>\n Total upside: ~$30,000 of legitimate tax savings, plus avoidance of ~$30,000+ of compliance risk. This is why the conversation with your accountant in May matters more than the conversation in October.<\/strong><\/p>\n Compliance is reporting what already happened \u2014 your BAS, your tax return, your year-end accounts. Planning is making structural decisions before the fact: when to buy assets, where to direct distributions, which entity to operate through. Compliance has fixed deductions; planning has options. Most accountants do compliance well; far fewer do planning well.<\/p>\n The directly applicable ones are #1 (asset write-off \u2014 sole traders qualify under the same small business rules), #2 (personal concessional super contributions), #5 (bad debts, if you account on accruals), and #6 (capital gains timing). Trust distributions and Division 7A don’t apply to sole traders \u2014 but if your business is growing, this might be the year to discuss whether moving to a Pty Ltd or trust structure is appropriate.<\/p>\n Asset purchases need 4-8 weeks lead time (orders, delivery, installation). Super contributions need at least 1 week before 30 June for clearing house processing. Trust resolutions can be drafted in days but need to be signed before 30 June. Director loan strategies are best resolved 4 weeks before 30 June so that any restructuring can be documented properly.<\/p>\n Yes. Most of these decisions are forward-looking \u2014 they affect 2025-26 tax. The catch-up super contribution rule even allows you to deduct unused caps from 2018-19 onwards (subject to the $500,000 super balance threshold). Many clients have $40,000-$80,000 of unused concessional cap they can still use in 2025-26.<\/p>\n For Wiselink, a strategic tax planning engagement for a typical small business is structured as either a fixed-fee project (usually $1,500-$5,000 depending on entity complexity) or a monthly business advisory retainer. The cost is almost always recovered many times over by the tax savings identified. We provide a written quote upfront \u2014 no hidden fees. Contact us<\/a> for a scoped engagement proposal.<\/p>\n Wiselink Accountants offers professional pre-EOFY strategic tax reviews for Melbourne, Brisbane, and Australia-wide small business clients. In a focused 1-hour session our CPA team will:<\/p>\n Wiselink Accountants is a CPA-qualified, NTAA-registered tax agency. We are ASIC-registered agents and Xero, MYOB and QuickBooks Partners. Our team has 13 years of experience advising 500+ small business clients across Melbourne, Brisbane, and Australia. We work with both English and Mandarin-speaking owners.<\/p>\n Related reading: EOFY 2026 Small Business Tax Checklist (10-Step Tactical Guide)<\/a> \u00b7 Melbourne Tax Return 2026: ATO Focus Areas & New Rules<\/a> \u00b7 Payday Super: What Employers Must Do Before July 2026<\/a> \u00b7 Strategic Management Accounting Services<\/a><\/p>\n This article was prepared by the team at Wiselink Accountants. CPA Australia \/ Registered Tax Agent \/ NTAA Member \/ ASIC-registered. Last updated: 5 May 2026. This is general information only based on legislation in force at the date of publication and does not constitute personal tax or financial advice. Please contact us for advice specific to your circumstances.<\/em><\/p>\nDecision 1 \u2014 Asset Acquisition: Use the Instant Asset Write-Off Before It Disappears<\/h2>\n
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Decision 2 \u2014 Superannuation: The Single Most Underused Tax Lever for Profitable Businesses<\/h2>\n
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Decision 3 \u2014 Trust Distributions: Section 100A Has Permanently Changed the Game<\/h2>\n
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Decision 4 \u2014 Stocktake Method: The Decision You Make Once and Live with for Years<\/h2>\n
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Decision 5 \u2014 Bad Debts: Write Them Off Before 30 June, Not After<\/h2>\n
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Decision 6 \u2014 Capital Gains Timing: Realise Before or After 30 June?<\/h2>\n
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Decision 7 \u2014 Director Loans and Division 7A: Reconcile Before Year End<\/h2>\n
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What These Seven Decisions Are Worth \u2014 A Worked Example<\/h2>\n
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Frequently Asked Questions<\/h2>\n
What’s the difference between tax planning and tax compliance?<\/h3>\n
I’m a sole trader \u2014 do these strategies apply to me?<\/h3>\n
How early do I need to start before 30 June to make these decisions?<\/h3>\n
I missed last year’s tax planning. Can I still benefit from these strategies in 2025-26?<\/h3>\n
What does professional tax planning cost?<\/h3>\n
Book a Strategic Tax Review Before 30 June<\/h2>\n
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