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Real Estate Tax Planning
If you’re juggling multiple investment properties or running a real estate business, what you need is a clear understanding of exactly how much tax you’ll owe each financial year and that you’re doing everything legally possible to minimise your taxes.
That’s what our experienced accountants based in Perth help you with – robust tax planning for buying, holding and selling investment properties, or managing a real estate business.
The Problem
Many property investors and real estate business owners face uncertainty every financial year. Questions such as:
- How much tax will I owe on my growing portfolio?
- When will tax payments be due?
- Am I missing out on generous concessions that must be claimed before 30 June?
Without a clear plan, unexpected tax liabilities or missed savings opportunities can put undue pressure on your cash flow and restrict your ability to reinvest in your property business.
Our Solution
At Munro’s, our seasoned tax accountants and business advisors take a holistic, problem-solving approach to tax planning that goes far beyond filling in returns.
At the outset, we recommend an Advanced Tax & Asset Protection Strategies report to set the groundwork for short, medium and long-term tax saving opportunities.
Once your structure is in place and optimised, our specialist tax accountants work closely with you before the end of each financial year to:
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Calculate and Forecast: Analyse your financial performance to determine the taxable profit you’ve already achieved and forecast the remainder of the financial year.
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Plan for Payments: Clearly identify when tax payments will be due over the next 12 to 18 months, helping you avoid last-minute scrambles and ensuring smooth cash flow.
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Uncover Tax Savings: Pinpoint legal strategies that can reduce your tax liability.
Key Benefits & Outcomes
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Clarity and Control: Understand your taxable profit and future obligations well in advance, so you can plan your cash flow with confidence.
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Proactive Tax Savings: Identify and act on opportunities to reduce your tax liability—ensuring you take advantage of all eligible concessions and incentives.
Read Key Points & Transcript
Tax Minimisation Advice For Real Estate Businesses by Perth-based Accountants
video key points
- Speak with a tax specialist from the beginning and regularly to mitigate taxes and stay compliant.
- Real estate activities can be classified as a business or investment, impacting tax deductions and obligations.
- Owning multiple rental properties, engaging in subdivisions or flipping real estate is often classified as a business.
- Different classifications affect your tax deductions, income declaration, CGT discount eligibility, GST payment and Business Activity Statements.
- Professional advice can help manage financial statements, trading stock rules, Division 7A, non-commercial loss rules and annual tax minimisation planning.
- Book a free Get To Know Each Other meeting to discuss how we could help you.
Presented by: Ben Paul
video transcript
Every Australian business, whether or not they are involved in property, should speak with a tax specialist from the very beginning and on an ongoing basis. This is crucial because to legally mitigate taxes and simplify compliance obligations, you need to be optimally set up from the start and remain on top of your obligations quarter by quarter, year by year.
Real estate activities can sometimes be classified as a “business”. Real estate agents who act as selling, buying or leasing agents are examples. However, the classification is not always straightforward.
Generally, owning one or two rental properties is classified as an “investment”. However, if you own several rental properties, engage in subdivisions or flipping real estate, your activity might be classified as a “business”.
There is also another classification known as a “profit-making endeavour”.
The classification that applies to you will impact your tax deductions, how to declare income, eligibility for the CGT discount, and whether or not you need to pay GST and lodge Business Activity Statements.
There are several other implications, such as which financial statements, if any, need to be prepared, how to best utilise trading stock rules to mitigate taxes, professionally managing Division 7A, handling non-commercial loss rules if applicable, and annual tax minimisation planning.
When you’re ready to seek the professional assistance you need and deserve, please feel welcome to book a free Get To Know Each Other meeting.
We look forward to discussing how we could help you.
Frequently Asked Questions for Property Tax Planning
- What exactly is property tax planning?
Property tax planning involves analysing your financial performance from investment properties or a real estate business, forecasting your taxable profit and identifying strategies to legally minimise your tax. It’s about being proactive rather than reactive when it comes to your tax obligations. - When should I start planning for my tax obligations each year?
We advise beginning the planning process well before the financial year-end. Ideally, start in April or May as soon as you have the necessary financial data so that you can forecast your taxable profit and act on any opportunities to save tax. - Should I invest in an Advanced Tax & Asset Protection Strategies report?
There can be many opportunities to minimise tax and safeguard assets, however, you need the right advice and setup to make a significantly positive impact. The Advanced Tax & Asset Protection Strategies report provides the necessary framework and roadmap for tax minimisation and asset protection, helping you avoid costly mistakes and build a solid foundation for wealth generation and protection. - Is Munro’s tax planning service right for me?
If you’re looking for responsive, specialist knowledge and the peace of mind that our clients talk about in our over 100 five–star Google reviews, then we’re going to be a good fit for one another. - Are your real estate tax planning services available Australia-wide?
While Munro’s is based in Perth, our accounting, tax and business advisory services are available and effective for property investors and real estate businesses throughout WA and Australia. - What do you cost for tax planning?
Our pricing is clear and reflective of the complexity of your needs. Please refer to our pricing page or get in touch for a personalised quote. - How do I get started with your real estate accounting and tax services?
For tailored tax advice, book a tax consultation. To get to know us, book a brief initial Get To Know Each Other meeting.
Where To Begin
Advanced Tax & Asset Protection Strategies Report
$4,000 (excl. GST)
Tax Minimisation Strategies Report
Can you say with absolute confidence that you are paying the legally minimum amount of tax possible?
Take the spam-free* Tax Minimisation Diagnostic
* You’ll receive only two emails, which deliver the results, analysis and recommendations from the diagnostic. You won’t be added to our mailing list unless you explicitly opt-in.
Discover Our Key Services & Solutions
Real Estate Accounting
Business Accounting
Business Advisory
Asset & Wealth Protection
Tell us about your problem and we’ll respond within 1 business day.
- Call Us 1800 818 924
- Email Us hello@munros.com.au
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Visit Us
308 Fitzgerald Street
Perth WA 6000