Every year, leading up to June 30, it’s a good time to remember Kerry Packer’s infamous maxim: “If anybody in this country doesn’t minimise their tax, they want their heads read”.
The extraordinary lengths multinational companies are going to in order to reduce their tax shows that Mr Packer’s advice is still being taken to heart.
The tax debate will continue, but as it goes on accountants will continue to do their jobs by making sure businesses are being smart in their tax affairs.
At the parliamentary inquiry where Mr Packer uttered those words, he also denied evading tax, and it is important to understand there is a difference.
He also added, “As a government I can tell you you’re not spending it that well that we should be paying extra”.
What businesses should not be doing is paying “extra” tax.
If you want to minimise your tax, then there’s only a small window each year to do it, and that is before 30 June.
MWM Advisory’s Pre 30 June Tax Planning Service
To make sure you minimise your tax, we’ve developed the MWM Advisory Pre 30 June Tax Planning Service, where we work with you to reduce your tax obligation by following these 6 steps:
1. Prepare financial accounts as of 31 March
We’ll review and check your data and accounting software as of 31 March and prepare an accurate profit and loss account and income position
2. Estimate profit and income position as of 30 June
We’ll then extrapolate that data and forecast your profit and loss and income position as of 30 June
3. Calculate your tax liability as of 30 June
Before looking at strategies to reduce your tax, we’ll calculate an estimate of what your tax liability position would be on 30 June
4. Identify tax minimising strategies
We’ll complete a detailed review of your situation and identify strategies to reduce your tax liability
5. Calculate the potential tax saved on each strategy
We’ll calculate exactly how much tax you could save on each strategy and what difference that would make to your payments
6. Review strategies and decide on implementation
We’ll then go through the possible strategies with you and decide which strategies to implement
So, get in contact with MWM Advisory before 30 June, or get your head read.
To find out more or to book your Pre 30 June Tax Planning Service, call 07 5596 9070.