Why plan EOFY around cash, not just tax?
End of financial year conversations usually focus on tax: what can be claimed, brought forward or deferred. That matters. But for many businesses the bigger risk sits just after 30 June, when several ATO obligations fall due together in what is often a quieter trading month — and when money spent on June “tax planning” has already left the account.
This checklist works through both halves: the decisions to make before 30 June, and the cash to have ready after it.
Before 30 June: the checklist
| Item | Why it matters | Who it suits |
|---|---|---|
| Time super contributions | Generally deductible in the year the fund receives them | All employers |
| Stocktake or estimate | Closing stock value affects taxable income | Retail, wholesale, hospitality |
| Write off bad debts | A debt generally has to be written off before year end to claim it | Businesses on accruals |
| Review prepayments | Some small businesses can deduct prepaid expenses up front | Small businesses with steady costs |
| Install assets ready for use | The $20,000 instant asset write-off needs this by 30 June | Businesses under $10 million turnover |
| Chase debtors | Cash in before year end helps both July and the ATO | Everyone |
| Clear slow stock | EOFY sales turn dead stock into cash | Retail and wholesale |
Super: what changes under Payday Super?
Since 1 July 2026, Payday Super requires super to reach the employee’s fund within 7 business days of each payday. The old quarterly deadline of 28 July for June-quarter super no longer applies to wages paid under the new rules — each pay run carries its own deadline.
For EOFY, two things follow:
- Deduction timing. Employer super is generally deductible in the income year the fund receives it. Super on a payday in the last week of June may be due — and paid — in early July, landing in the following year.
- Don’t rely on a quarterly float. Payroll in late June and early July needs wages, PAYG withholding and super funded within days, regardless of end-of-year trading.
If you want contributions counted before 30 June, pay early enough for your clearing house or software to process them. Super is only paid when the fund receives it.
Stock: count it, value it, clear it
Trading stock at 30 June affects taxable income: a higher closing value increases it. The ATO’s simplified trading stock rules let businesses with aggregated turnover under $10 million skip a formal stocktake if they reasonably estimate the value changed by $5,000 or less over the year.
Whether or not you need a full count, EOFY is the moment to deal with slow and damaged stock. Clearance sales in June convert it to cash before winter, and a clear-out reduces what you’re carrying into the new year. Our retail stock planning guide covers planning EOFY markdowns at the time you buy.
Bad debts and prepayments
- Bad debts. If you account for income on an accruals basis and a customer won’t pay, a bad debt deduction generally needs the debt written off in your records before 30 June. Record it properly — and keep chasing.
- Prepayments. Small businesses may be able to claim an immediate deduction for some expenses prepaid for up to 12 months, such as insurance or rent. It’s worth considering only if the cash is genuinely spare.
Asset purchases
The ATO has made the $20,000 instant asset write-off permanent from 1 July 2026 for businesses with aggregated turnover under $10 million. It applies per asset, in the year the asset is first used or installed ready for use — so an item ordered in June but installed in July counts for the following year.
The write-off improves your tax position; it doesn’t make an unnecessary purchase worthwhile. If you’re buying equipment at a June auction, see our auction checklist.
After 30 June: the cash calendar
From the ATO’s due dates for lodging and paying:
| Date | Obligation |
|---|---|
| 14 July | Single Touch Payroll finalisation for the year |
| Within 7 business days of each payday | Payday Super contributions |
| 21 July | June monthly BAS, for monthly reporters |
| 28 July | April–June quarterly BAS and PAYG instalment |
| 11 August | April–June quarterly BAS if you lodge online and qualify for the two-week concession |
| 28 August | Taxable payments annual report, for industries that must lodge one |
Then comes the tax return, with its own due date depending on whether you lodge yourself or through a registered agent — and any balance owing on top of instalments already paid.
A five-step EOFY cash plan
- In May, forecast July and August week by week, including every item in the table above.
- Protect that cash first. Only spend on deductible purchases what’s left after July and August are covered.
- Chase debtors hard in June. Every invoice collected before 30 June eases July.
- Clear slow stock. Cash beats inventory going into winter.
- Arrange a facility before 30 June if the forecast shows a gap. It’s easier with strong June statements than in a thin August.
Example scenario — illustrative only. A Geelong furniture retailer spends $30,000 on new display fittings in the last week of June to reduce its tax bill. In late July its June-quarter BAS and PAYG instalment fall due in the same fortnight as higher winter wages, and trading is soft. The tax saving was real but only a fraction of the $30,000, and the business now needs short-term funding it didn’t need before. Protecting the July cash first would have left it better placed.
Where funding fits
If EOFY lands awkwardly, a line of credit can pay the June-quarter BAS or PAYG instalment on time and be repaid from spring trade; it’s generally for businesses trading six months or more. Accumulated ATO debt can be refinanced or paid out with a property-secured loan of $20,000 to $1m. See our GST and BAS timing guide, start a 60-second enquiry, or read how we help with paying the ATO on time.
This guide is general information only — talk to your accountant before making EOFY tax decisions.