Fiscal Year-End Australia 2025: Key Dates & Strategies

Every June 30, Australia’s fiscal year draws to a close, setting off a flurry of tax-time activity for individuals and businesses alike. While it’s easy to view the fiscal year-end as just another date, this milestone marks a crucial pivot for your financial affairs. With several tax and policy updates in play for 2025, understanding fiscal year-end isn’t just smart—it’s essential for getting ahead.

Fiscal Year-End: The Basics and Why It Matters

Australia’s fiscal year runs from 1 July to 30 June, diverging from the calendar year used in many other countries. This timing influences everything from how businesses report earnings to when individuals claim deductions. The period leading up to June 30 is when key financial decisions are made, tax planning ramps up, and strategies are set in motion for the next year.

• Tax deadlines: All income and expenses up to June 30 count for the current tax year. Miss out, and you could forfeit valuable deductions or rebates.
• Superannuation contributions: The last date to top up your super and take advantage of tax concessions is June 30.
• Business reporting: Companies must finalise financial statements and prepare for audits and compliance reviews as the year closes.

2025 Updates: What’s New for This Year-End?

The 2025 financial year brings several changes that could impact your year-end planning. Here’s what’s on the radar:

• Stage 3 tax cuts: After much debate, the revised Stage 3 personal income tax cuts take effect from 1 July 2024. This means your taxable income for 2024–25 will be calculated under the new brackets—so any last-minute income or deductions processed before June 30 could affect your tax outcome.
• Instant asset write-off for small business: The $20,000 instant asset write-off for eligible businesses is extended into 2025, but assets must be installed and ready to use by June 30 to claim for this financial year.
• Superannuation caps: Contribution caps have increased for 2024–25, but to claim a deduction this year, contributions must hit your super fund before June 30.
• ATO focus areas: The ATO has announced it will scrutinise work-from-home deductions, rental property claims, and cryptocurrency transactions—so keeping records up to date before year-end is more important than ever.

Smart Moves Before June 30: Maximising Your Position

Whether you’re an employee, a sole trader, or a business owner, proactive steps before fiscal year-end can mean the difference between a big tax bill and a healthy refund. Here are some strategies to consider in 2025:

• Prepay deductible expenses: If you have work-related costs or investment expenses, paying them before June 30 could bring forward your tax deduction.
• Review capital gains: Selling assets? Consider the timing—crystallising gains or losses before year-end can help manage your tax position, especially with new ATO scrutiny on crypto and share transactions.
• Super top-ups: Boost your retirement savings and reduce your taxable income by making extra concessional contributions before the cap resets on July 1.
• Write off bad debts and obsolete stock: Businesses should review their ledgers and inventory—writing off irrecoverable debts or unsellable stock can reduce taxable profit.
• Get your records in order: The ATO is increasingly data-matching, so digital receipts, mileage logs, and clear documentation are your best defence against audit headaches.

Looking Beyond June 30: Setting Up for the New Year

Fiscal year-end isn’t just about closing the books—it’s a springboard for the year ahead. With policy shifts, new thresholds, and evolving compliance requirements, the actions you take now can set you up for a smoother, more profitable year to come. Businesses should be planning budgets, cash flow forecasts, and investment strategies for FY2025–26, while individuals can use this reset to review superannuation, insurance, and long-term wealth goals.