END OF FINANCIAL YEAR
It’s amazing how tax time can focus our attention so clearly. It’s typically a busy time from all aspects but it does often give us the opportunity to take stock of investments and make any tweaks that will help minimise our tax obligations.
With the June 30 deadline looming large, there are still a couple of last minute items that might be worth considering, depending on your situation.
The timing of interest payments can help smooth out unexpected income this financial year by pre-paying next year’s interest costs before the June cut off. The same goes for any maintenance issues. Not only will your tenants thank you for doing the repairs or making the replacement so promptly but your tax position will also appreciate the extra deductions. The timing of rent receipts, either before or after June 30, may also provide a little more flexibility this tax year.
However, the end of the financial year is often a good time to start looking ahead to the new year. It has been many decades since interest rates have been so low and lenders have been so accommodating when it comes to refinancing. The new year is always a good time to run a health check over your property or your portfolio and see if we can get your money working harder for you. With the comparatively cheap cost of money in the present market, a check with you bank or broker as to whether you are getting the best deal should be high on your list of priorities
Until next week,