Etairos Accounting and Finance
we guide you to a better future
Etairos Accounting and Finance
Strength in Numbers
Interested to know how an SMSF
can work for your future?
Are you looking for something better from your
Accounting and Finance experience?

Tax tips for the new financial year

Added on by

Just as many people make New Year’s resolutions, it might also be a good idea to look to make changes in the new financial year and become as tax effective as you can be. 

The new financial year is a great time to reassess your financial position and look for any tax benefits you qualify for. 

One of the first things you should do is review deductible and nondeductible debt. Having high levels of non-deductible debt – such as a home loan mortgage, a car loan or a credit card – is a disadvantage as there is no tax deduction that can be claimed on the interest payments for these kinds of loan facilities. Paying down this kind of debt should be a priority and any spare funds you have (such as a tax refund) should be used to do this as quickly as possible.

Deductible debt on the other hand – such as the interest on a loan over an investment property or a share market portfolio – can be claimed as a tax deduction and should, generally speaking, be paid off only after your non-deductible debt has been eliminated.

If you're looking to maximise cash flow you might should consider having an interest-only loan over all your income generating investments and contribute the cash your save to making principal repayments on your non-deductible debts, such as your home loan.

However, care must be taken when restructuring loans minimise tax. In addition, in the current lending environment, make sure you pay attention to the rate of interest being charged for interest only investment loans. 

Latest from the blog

Don't pay the Lazy tax 22 November 2017

With the number of products available, comparing home loans can be a daunting experience. For this reason most of us don't consider reviewing... READ MORE

4 tips to better manage your cash flow 15 November 2017

Everyone would love to have not only the cash flow to pay all our bills on time, but also to be organised enough to do so. Ultimately we prioritise... READ MORE

Tax Deadlines 14 November 2017

If you are worried that you may have missed the much publicised lodgement deadline for individual Income Tax Returns, worry no more…. That deadline... READ MORE

“I'd just like to state how awesome Jaeneen and Etairos are. I stupidly attempted to get my current bank to supply finance for another property. After 2 weeks of messing me around, I gave up with them, and Jaeneen comes to the rescue and within 5 days has it all done and approved. I will NEVER go anywhere else!” more testimonials

Roger Chappell, Brisbane

Call  1300 55 22 30  now