At Stewart & Smith Advisory, proactive tax planning is a key part of our annual service map — we kick things off after the close of Q3 results, ensuring our clients are informed and prepared well ahead of 30 June.

If your accountant isn’t planning with you before year-end, it might be time to find a more forward-thinking firm.

Why It Matters
Tax planning is critical for high-income earners, investors, and business owners with complex structures. Our goal? No surprises when it’s time to lodge your return. We assess expected profits, trust distributions, dividends, and tax liabilities — and model out scenarios to help you understand the cash flow impacts now and into the next financial year.

We first wrote about this in Tax Planning – Key Strategies prior to 30 June 2021, which still holds up as a solid overview.

Today, we dive into what individuals should consider ahead of 30 June 2025. Future posts will explore:

• Part 2 – Business Tax Planning + Div 7A
• Part 3 – Trusts
• Part 4 – Tax planning for Primary Producers

11 Key Considerations for Individuals

1. Bring forward deductions

• If you have an investment loan or margin loan, consider prepaying interest before 30 June to bring forward deductions.

2. Work from home expenses

• The ATO has revised the fixed-rate method and introduced stricter record-keeping.
• If you’re working from home, reach out to our team to ensure you’re compliant.

3. Motor vehicle claims

• Using your car for work? A logbook might give you a higher deduction.
• Without one, the maximum claim is 5,000km at 88c/km for 2024–25.
• Reminder: home-to-work travel is generally not deductible.

4. Donations

• Only donations to Deductible Gift Recipients (DGRs) are tax deductible.
• If you receive a benefit in return, e.g. a dinner ticket, different rules apply. Speak to us for guidance.

5. Income protection insurance

• Premiums for income protection policies held personally (not via super) are tax deductible.

6. Capital gains

• If you’ve made a capital gain, consider whether it’s appropriate to sell underperforming assets to offset that gain.

7. Superannuation – concessional contributions

• The concessional cap is now $30,000 (up from $27,500).If you’re under 67, you can contribute without needing to meet the work test. If you’re aged 67–74, the work test applies.
• If your total super balance was under $500,000 at 30 June 2024, you may carry forward unused concessional contributions from the past five years.
• If you’ve had multiple jobs or made contributions across funds, ensure you haven’t exceeded the cap – excess amounts are taxed at your marginal rate, minus a 15% offset, plus an Excess Contributions Charge.
• To claim a personal tax deduction for contributions, you must:
  • Lodge a Section 290-170 notice with your super fund.
  • Receive an acknowledgement from the fund before lodging your individual tax return.

8. Superannuation – non-concessional contributions

• The annual non-concessional cap is $120,000, or $360,000 under the 3-year bring-forward rule.
• Bring-forward eligibility is based on your Total Super Balance (TSB) at 30 June 2024:
  • < $1.66m → up to $360,000 over 3 years
  • $1.66m–$1.78m → up to $240,000 over 2 years
  • $1.78m–$1.9m → $120,000 this year only
  • ≥ $1.9m → no non-concessional contributions allowed
• You cannot make non-concessional contributions once you turn 75.
• Exceeding the cap may result in tax of up to 47%. Always speak to us before making large contributions.

9. Superannuation – Government co-contribution

• If you earn a lower income, you may be eligible for a government co-contribution of up to $500:
• To receive the maximum $500, you must:
  • Contribute $1,000 after-tax to your super
  • Have total income of $43,446 or less

• A reduced amount applies if you earn up to $58,445
• You must also:
  • Earn at least 10% of income from employment or business
  • Have a Total Super Balance under $1.9 million at 30 June 2024
  • Not exceed your non-concessional cap

10. Division 293 tax

• If your income + concessional super contributions > $250,000, you may pay an extra 15% tax on those contributions.

11. Medicare Levy Surcharge

• Applies to individuals and families without adequate private hospital cover.
• Thresholds start at $97,001 (singles) or $194,001 (families) — with an increase of $1,500 per dependent child after the first.

At Stewart & Smith, we help our clients make informed decisions with expert insight and care. Want to review your personal tax planning options before 30 June? Reach out to our team, we’re here to help.