EOFY Tax Planning: What You Should Be Doing Right Now (April 2026 Guide)

If you’re a small business owner, April is one of the most important months of the year — even if it doesn’t feel like it yet.

Most people leave tax planning until late June (or worse… after the fact). By then, your options are limited, and you’re often stuck paying more tax than necessary.

The reality? The best tax planning happens now — in April and May — when you still have time to take action.

In this guide, we’ll walk you through what you should be doing right now to reduce tax, stay compliant, and avoid the EOFY scramble.

Why April Is the Sweet Spot for Tax Planning

By April, you’ve usually got a clear picture of:

• Your year-to-date income

• Your expenses

• Your likely profit position

That means you (and your accountant) can:

• Estimate your tax position early

• Identify opportunities to reduce tax

• Put strategies in place before 30 June

Wait until June, and you’re playing catch-up. Start in April, and you’re in control.

1. Get Your Numbers Up to Date

This is step one — and it’s where most businesses fall down.

Your bookkeeping should be:

• Reconciled in your accounting software (e.g. Xero)

• Up to date for all bank accounts, loans, and credit cards

• Inclusive of all major expenses and income

If your numbers aren’t current, any tax planning is just guesswork.

2. Estimate Your Expected Profit (and Tax)

Once your numbers are current, you can estimate:

• Expected profit for the year

• Approximate tax payable

This is where things start to get real.

Many business owners are surprised when they see:

• How much tax they’ll owe

• How little cash they’ve set aside

Knowing early gives you options. Knowing late gives you stress.

3. Review Potential Tax-Saving Opportunities

With a clear view of your numbers, you can start looking at strategies to legally reduce your tax.

Some common areas to review include:

✅ Bringing Forward Expenses

• Equipment purchases

• Repairs and maintenance

• Professional fees

✅ Instant Asset Write-Off

Depending on current thresholds, you may be able to claim:

• Vehicles

• Tools and equipment

• Technology (laptops, etc.)

✅ Super Contributions

• Additional super contributions can reduce taxable income

• Must be received by the fund before 30 June

✅ Prepaying Expenses

• Rent, insurance, subscriptions (subject to rules)

These strategies aren’t one-size-fits-all — the right mix depends on your situation.

4. Check Your Cashflow (Not Just Your Profit)

Here’s a big one.

You might be profitable on paper… but still tight on cash.

April is the time to:

• Check how much cash you’ve actually got

• Compare this to your expected tax liability

• Start setting aside funds if needed

Tax bills don’t hurt when you’ve planned for them. They hurt when you haven’t.

5. Review Your Business Structure (If Things Have Changed)

If your business has grown, your structure might no longer be optimal.

Questions to consider:

• Are you still operating as a sole trader?

• Should you be in a company or trust?

• Are you distributing income effectively?

You don’t always need to change immediately — but April is a great time to review and plan ahead.

6. Identify Any Issues Early

Tax planning isn’t just about saving money — it’s also about avoiding problems.

Now is the time to pick up:

• Missing income or expenses

• GST or BAS issues

• Director loan account concerns

• Any compliance risks

Fixing these early is far easier than dealing with them later.

7. Speak to Your Accountant (Before the Rush)

Good accountants get booked out in June. That’s just reality.

By getting in touch in April or May, you:

• Get proper time and attention

• Have more strategies available

• Avoid last-minute pressure

Even a quick check-in can make a big difference.

Final Thoughts

EOFY tax planning doesn’t need to be complicated — but it does need to be timely.

If you take action in April:

• You stay in control

• You reduce surprises

• You give yourself the best chance to minimise tax

If you leave it too late:

• Options disappear

• Stress increases

• Tax bills often go up

Need Help With Your EOFY Planning?

If you’d like clarity on your expected tax position and what you can do before 30 June, now’s the time to start the conversation.

We work with small businesses to:

• Estimate tax early

• Identify practical strategies

• Keep things simple and stress-free

Reach out and book a Free Call with us and let’s get you sorted before EOFY hits.