2025 FY Tax Planning Checklist: Smart Strategies for Individuals, Property Investors & Business Owners

As the 2025 financial year draws to a close, tax planning is no longer just a smart move—it’s essential. Whether you’re an employee trying to reduce your tax bill, a property investor navigating complex deductions, or a business owner focused on cash flow, having the right strategies in place before 30 June can make a meaningful difference to your bottom line.

At Investax, we’ve spent the past few months deep in strategy sessions—helping business owners fine-tune their structures, and property investors maximise deductions before 30 June. But we know not everyone has had the time—or the clarity—to sit down with an accountant and plan their tax effectively.

This condensed guide brings together key tax planning tips from our in-depth toolkits for individuals, property investors, and small business owners. It’s designed for busy Australians who want clear, practical insights they can act on—without sorting through multiple articles. Our goal is simple: help you reduce tax, protect your income, and feel more financially prepared heading into the next financial year.

If you’re looking to stay ahead of your obligations and make smarter financial decisions in 2025, this guide is for you.

👩‍💼 Individual Taxpayers

For everyday Australians, the 2025 tax year offers both opportunities and pitfalls. Whether you’re working from home, earning a salary, or investing on the side, small tweaks in your financial strategy can lead to meaningful tax savings. Below are practical tips individual taxpayers should consider before 30 June.

1. Income Protection Insurance – If you pay for your own income protection policy, the premium is fully tax-deductible—provided it’s not paid through your super. This type of insurance replaces your income if you’re unable to work due to illness or injury and is especially valuable (and cost-effective) for high-income earners in 2025.
2. Super Contributions – You can contribute directly to your super (beyond your employer’s SG payments) and claim a deduction—up to the $30,000 concessional cap. Just make sure to lodge a “Notice of Intent” with your fund before tax time.
3. Carry-Forward Super Contributions – If your total super balance was under $500,000 on 30 June 2024, you may be eligible to “catch up” unused super caps from the past five years. This is especially powerful if you’ve had years with low contributions or unusually high income this year.
4. Private Health Insurance & MLS – If your income exceeds $97,000 (or $194,000 for families), not having the right hospital cover could trigger the Medicare Levy Surcharge—an avoidable tax of up to 1.5%. Make sure your policy meets ATO requirements and is active before 30 June.
5. Charitable Donations – Donations to DGR-endorsed charities are deductible—reducing your taxable income while supporting causes you care about. Always confirm the organisation has official DGR status before claiming.
6. Prepaid Expenses – Bring forward deductions by prepaying up to 12 months of eligible expenses such as accounting fees, investment loan interest, or income protection insurance. Especially useful for those with high income in 2025.
7. Motor Vehicle Expenses – If you use your own car for work (not including home-to-office trips), you can claim either:

• Logbook method: Claim a portion of actual expenses like rego, fuel, and insurance. You’ll need a 12-week logbook.
• Cents per kilometre: Claim 88¢/km up to 5,000 km without receipts—but keep a diary or records.

8. Electric Vehicle Tax Tip – Salary-sacrificing an electric vehicle through a novated lease can deliver big tax savings. Fully electric or hydrogen fuel cell cars are FBT-exempt if purchased or leased under qualifying rules. Plug-in hybrids only qualify if leased before April 2025.

If you’d like to dive deeper into smart tax planning strategies tailored for everyday Australians, we’ve got you covered. Check out our full article: “Your 2025 Tax Time Toolkit: Smart Tips for Everyday Australians.”

🏘️ Property Investors

In 2025 budget, the ATO has been given $999 million in additional funding to ramp up audit activity—and property investors are squarely in the spotlight. With the end of financial year fast approaching, now is the time to get your investment property affairs in order. Whether you own one rental or several, smart tax planning can help you protect your cash flow and avoid costly compliance mistakes.

1. Record-Keeping Is Essential in 2025 – Given the ATO’s focus this year, even valid claims may be denied if you can’t provide records. Always retain receipts, bank statements, and invoices for at least five years—especially if you’ve refinanced or used redraws.
2. Claim Expenses Even When Vacant in 2025 – If your property was genuinely available for rent but didn’t generate income for part of the year, you can still claim key deductions like loan interest, insurance, land tax, and council rates. Just ensure it was actively listed at market rates with no unreasonable restrictions.
3. Know What You Can and Can’t Claim in 2025 – You can deduct costs like advertising, agent fees, insurance, loan interest, and depreciation. However, acquisition costs (e.g. stamp duty, buyer’s agent fees) and improvements (e.g. a new kitchen or pergola) must be claimed over time via depreciation.
4. 2025 Warning on Interest & Borrowing Expenses – Only the portion of interest used for income-producing purposes is deductible. If you drew equity for a personal expense—like buying a car or funding a holiday—that interest is not deductible, even if secured against your rental. Don’t forget to claim borrowing costs like LMI and loan setup fees (over five years if over $100).
5. Prepay Key Expenses Before 30 June 2025 – Bringing forward expenses like 12 months of loan interest, strata, or landlord insurance can help reduce this year’s taxable income. This is especially useful if 2025 has been a higher-income year for you.
6. Initial Repairs: A 2025 Trap – If you made repairs before the property was rented out, these aren’t deductible immediately. Instead, they’re part of your cost base or depreciated. A common mistake we’re seeing in 2025 audits.
7. Depreciation Deductions Still Add Up in 2025 – Even second-hand properties may be eligible for significant depreciation via Division 43. If you’ve added new appliances or improved the building, get a depreciation schedule from a qualified quantity surveyor.
8. Capital Gains Tax in 2025: Timing is Key – If you’re planning to sell, remember it’s the contract exchange date, not settlement, that determines which financial year CGT applies. Losses can only offset gains in the same year—so timing matters.

If you’d like to explore smarter tax strategies tailored to landlords and developers, check out our detailed guide: “2025 Tax Planning Toolkits for Property Investors.” It’s packed with practical insights to help you maximise deductions and stay ATO-compliant.

🏢 Business Owners

For small business owners, 2025 is shaping up to be a decisive year for proactive tax planning. With the Federal Government allocating millions in the 2025 Budget to boost ATO audit activity, and no major tax reforms announced post-election, the pressure is on to get your year-end financials right—before 30 June. The focus this year is clear: tighten your records, manage cash flow, and don’t leave deductions on the table.

1. Record-Keeping is a 2025 Essential – With heightened audit activity targeting small businesses, accurate record-keeping isn’t just good practice—it’s protection. Maintain complete records for all income, expenses, payroll, superannuation, and GST obligations. Keep everything for at least five years.
2. Prepay Expenses Before 30 June 2025 – The ATO allows deductions on prepaid expenses if they cover 12 months or less and end before 30 June next year. Consider prepaying:

• Superannuation – Must be cleared by your fund by 30 June to be deductible.
• Rent – Lock in rates and claim now if your lease permits.
• Loan Interest – Especially useful if you’ve had a strong income year.

3. Super Contributions and Catch-Ups in 2025 – As a business owner, you’re not obligated to pay yourself super—but contributing up to the $30,000 cap is still tax-deductible. If your total super balance was under $500,000 on 30 June 2024, you may also catch up on unused concessional caps from the past five years—perfect for high-cashflow years like 2025.
4. Write Off Bad Debts – Operating on accruals? You may be eligible to claim unrecoverable income as a bad debt—but only if the debt genuinely went bad in 2025 and is written off in your books before 30 June.
5. $20,000 Instant Asset Write-Off — Small businesses (with turnover under $10M) can instantly deduct the cost of eligible assets under $20,000—provided they’re first used or installed by 30 June 2025. Don’t forget: the $20K cap applies per asset.
6. Review Your Asset Register – Now’s the time to clean up your asset register. Write off obsolete items and remember: assets claimed under prior instant write-off rules often have a nil tax value—even if still on your books.
7. Car Purchase Limits for 2025 – Depreciation is capped for vehicles. In 2025, the car cost limit is $69,674 and the maximum GST claim is $6,334. Anything above that isn’t deductible plan purchases accordingly.
8. Defer Income Where Possible – If practical, consider delaying invoices or asset disposals until after 1 July 2025 to push income into next financial year. This is particularly helpful if your 2025 income is already high.
9. Conduct a Stocktake by 30 June 2025 – Valuing stock at replacement cost or market selling price (whichever is lower) may reduce taxable income. If you’re holding obsolete or slow-moving stock, reassess your valuation method for possible write-downs.
10. Repairs and Maintenance – Need to fix equipment or maintain business premises? Doing it before 30 June lets you claim the full deduction in this financial year—especially relevant for industries like construction, agriculture, and manufacturing.

To dive deeper into EOFY planning for your business, don’t miss our comprehensive article: “2025 Tax Planning Guide for Business Owners.” It covers everything from asset write-offs to trust resolutions—perfect for time-poor entrepreneurs.

We offer a 15-minute free consultation to discuss your tax, property investment and business needs. Book your complimentary consultation now.

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✅ Conclusion 

With just days left until 30 June, the clock is ticking. Whether you’ve been flat out running your business, managing your property portfolio, or simply too busy to think about tax—this is your moment to take control. A few smart moves now can mean thousands saved, not to mention fewer headaches down the track.

If you want to go deeper, we’ve created tailored guides just for you. Explore “Your 2025 Tax Time Toolkit: Smart Tips for Everyday Australians,” “2025 Tax Planning Toolkits for Property Investors,” and “2025 Tax Planning Guide for Business Owners” to get the clarity and strategies you need.

And if you’re not sure where to start, don’t stress. Reach out to the Investax team today—we’ll help you finish the year strong and set you up for a smarter 2026.