After another year coloured by the COVID-19 pandemic, tax time is upon us again.

The good news is there’s a number of steps small business owners can take to make life a little easier as well as take advantage of range of supporting measures Government has made available.

But remember, whether it’s through your local accountant or directly with the Australian Taxation Office (ATO), no one has to face these challenging times alone, and below are a few tips to remember when considering tax time this year.

Similar to last year – there are deductions that small business can make that relate to the running of the business or in the purchase of business assets. Some areas business owners could consider include:

Instant Asset Write-Off

The popular Instant Asset Write-Off has been extended again and is now available to business owners through to 30 June 2023.

The Instant Asset Write-Off is where businesses can write-off the cost of new, eligible expense required to run a business. These expenses might include new machinery, equipment or technology.

Business from Home expenses

If you operate your business as a sole trader or partnership you can also claim a deduction for the costs of running your business from home. The cost deductions vary, depending on your running expenses, and what proportion of your home you have set aside for business activities.

Start-up Expenses

The government has also extended concessions to small businesses (under $50 million turnover) with the ability to immediately deduct start-up expenses, like professional advice from a lawyer or accountant.

Loss Carry Back

For a limited period, business owners can also carry a loss back. Eligible corporate tax entities that previously had a liability to pay corporate income taxes in a relevant year and have subsequently made a tax loss can claim a refundable tax offset. If you end up with a loss this year and have paid tax in prior years, you may want to consider carrying back your loss and claiming a tax refund.


Depending on your circumstances, you may also be able to claim the fees and interest from your business accounts and loans. Speak to your UBT adviser and get the right advice for you.

The ATO has a great small business tax toolkit with information, factsheets and quick tips for small businesses as well as highlighting the tax implications of COVID-19 support.

You can find information about home-based business expenses, motor vehicle and travel expenses, and what you can do if your business was forced to pause trade or close permanently because of COVID-19.

Ultimately, every situation is different – so getting good professional advice is important. Remember it is never too late to speak with your accountant if you are not sure about something or need a helping hand.

The golden tax rule that never goes out of fashion is start planning ahead for next Financial Year. New technology can capture invoicing, expenses and payroll as you go and is worth exploring to make sure next tax time is  as painless as possible.

About UBT

UBT is a diversified business consultancy that supports businesses with business-advisory and group-buying services with the objective to help businesses develop a competitive edge.

The UBT workforce is comprised of employees from both within the Plymouth Brethren Christian Church community as well as outside the community.