To round out our week regarding deductions, I wanted to point out one particular deduction where special rules apply…superannuation.

Regardless of whether you are making the superannuation contribution for your employees or for yourself, in order to claim a tax deduction for the amount, there are a couple of conditions…

Firstly the amount must be physically paid and received by the superannuation fund by 30th June – if you usually wait until the end of the month to make these payments, you might want to diarise to do the June payment a little earlier so there is enough time for the payment to be processed by the banks.

This is particularly important if you or your employees have a strategy in place to maximise concessional contributions for the year – if you don’t get that payment in on time, there can be significant tax implications!

Also, if you are making a personal contribution, you will need to notify your superannuation fund of your intent to claim a tax deduction so they can record it correctly.

So remember…diarise those June superannuation payments so you and your employees don’t miss out!

Regards