Rethinking Tax Compliance:
Are You Using Tax Planning as a
Growth Lever for Your Business?

Many Australian businesses consider tax to be just a compliance and reporting requirement. What they don’t realise is how strategic tax planning helps shape core business decisions. From how profits are distributed and reinvested to ownership structures, tax touches every part of the business lifecycle.

Yet, for many owners, it remains a once-a-year conversation with their accountant. The result? Missed opportunities, pressure on cash flow, and decisions made without a complete picture.

Strategic tax planning is all about the mindset. What if you could have a proactive, year-round approach to integrating tax into operational and financial decision-making? Planning would add structure to decisions that are otherwise driven by deadlines, and that structure would lead to more predictable results.

Now you have a powerful lever for reinvestment, risk management, and business confidence!

A trusted financial adviser brings perspective to the process: identifying risks early and weighing options through a tax and business lens.

1. Forecasting Your Tax Bill to Protect Business-Critical Cashflow

While most businesses know when tax is due, many do not plan for it with the same intent they bring to wages, supplier payments, or capital spending. Without a proper plan, tax bills can pressure cash flow and force business owners to make reactive decisions.

By building tax into your working capital model, reviewing actuals against projections, and adjusting PAYG instalments when needed, businesses can avoid disruption. This approach to tax planning preserves financial stability and ensures operational priorities are not compromised to meet statutory obligations.

2. Reviewing Business Structure with the Next Stage of Growth in Mind

Your business structure directly shapes how profits are taxed, how ownership is managed, and how adaptable the business is to change. A periodic review ensures that your structure continues to serve your goals and understand whether:

• Your structure allows for tax-effective profit-sharing
• You are at risk of missing Capital Gains Tax (CGT) concessions in a future sale
• There are better ways to protect assets or introduce new stakeholder

3. Planning for Major Events Before You’re Locked In

Every major business decision, from asset acquisitions to ownership changes, restructures or exits, has tax consequences. These consequences influence contract value, timing, and long-term outcomes.

Strategic tax planning gives you time to review eligibility for CGT small business concessions. You can plan significant transactions to minimise tax liabilities and take practical steps to protect you and your business from unintended costs.

4. Building Long-Term Value Through Consistent Planning

Tax planning is about the systems and habits that support lasting business value. This includes extracting profits, preparing for succession, and presenting the business to investors or buyers.

Consistency matters in your documentation and your approach to compliance. Over time, this builds credibility. It allows for smoother transitions, clearer reporting, and stronger valuations.

With this financial year approaching its end, you can start laying the groundwork for the year ahead. Here’s a quick litmus test to see where your current tax planning stands, and what you can start planning now to maximise deductions and minimise tax liabilities.

Learn more about our tax planning solutions here: https://uniteadvisory.com.au/compliance-and-tax-planning/