EOFY Tax Tips for Tradies and Contractors: What You Need to Do Before 30 June
The end of the financial year (EOFY) is one of those dates that sneaks up fast — especially when you're flat out on site, managing jobs, or juggling multiple clients across different states. But getting your finances in order before 30 June can make a genuine difference to your tax bill, your cash flow, and your compliance standing.
Whether you're a sole trader, a subcontractor on a labour hire arrangement, or a self-employed tradesperson, this guide breaks down the most important EOFY actions Australian tradies and contractors should take right now.
1. Reconcile Your Income and Expenses — Every Dollar Counts
Before anything else, pull together every income source from the 2024–25 financial year. This includes wages, contract payments, ABN invoices, and any cash jobs (yes, those too — the ATO's data-matching capabilities are more sophisticated than ever).
Once income is sorted, go through your expenses with a fine-tooth comb. Common deductible expenses for tradies include:
- Tools and equipment purchased during the year
- Work-related vehicle expenses (logbook or cents-per-kilometre method)
- Safety gear, PPE, and workwear with a logo or required for the job
- Mobile phone and internet costs (work-use percentage)
- Union fees and industry association memberships
- Training, licences, and certifications directly related to your trade
- Income protection insurance premiums
If you haven't been keeping receipts, now is the time to chase them down. Most suppliers and retailers can reprint receipts, and many expenses can be verified through bank statements.
2. Understand the Instant Asset Write-Off Rules for 2024–25
The federal government's instant asset write-off provisions have been a go-to for tradies buying new tools and equipment. For the 2024–25 income year, eligible small businesses (with an aggregated turnover under $10 million) can immediately deduct the cost of eligible depreciating assets costing less than $20,000.
This means if you purchased a new drop saw, pressure washer, generator, or even a work trailer below that threshold, you may be able to write it off in full this financial year rather than depreciating it over several years.
Pro tip: If you've been putting off buying a piece of equipment, purchasing it before 30 June could bring forward that tax benefit. Speak to your accountant before making any major purchase purely for tax reasons — the decision should still make business sense.
3. Review Your Superannuation Contributions
If you're a sole trader or contractor, super isn't automatically deducted from your pay — it's your responsibility. Many tradies get to June and realise they haven't made a single contribution all year, which means a smaller retirement balance and a missed tax deduction opportunity.
Personal super contributions made before 30 June may be tax-deductible if you lodge a Notice of Intent to Claim a Deduction with your super fund before you lodge your tax return. For 2024–25, the concessional (before-tax) contributions cap is $30,000.
Even contributing $2,000–$5,000 before the end of June can reduce your taxable income and help build your long-term financial security. If you're unsure where to start, the ATO's MoneySmart website has a solid super calculator worth bookmarking.
4. Check Your PAYG Withholding and Invoicing Setup
If you operate under a labour hire arrangement, your host employer or labour hire agency should be withholding PAYG tax from your wages and reporting through Single Touch Payroll (STP). Before 30 June, log into your myGov account and confirm that your income statements are marked as "Tax ready" — previously known as payment summaries.
If there are discrepancies between what you've earned and what's been reported, contact your payroll provider or labour hire services partner immediately. Errors caught before tax time are far easier to resolve than disputes that drag on after lodgement.
For those issuing ABN invoices, double-check that GST has been charged correctly (if you're registered) and that your BAS lodgements are up to date. Penalties for late BAS can compound quickly.
5. Know Your Obligations Around Contractor vs Employee Classification
With the Fair Work Commission having reinforced the distinction between employees and genuine independent contractors in recent years, EOFY is a timely reminder to make sure your working arrangement is correctly classified.
The ATO uses a multi-factor test to determine whether someone is an employee or contractor. Getting this wrong can mean unexpected PAYG obligations, superannuation liabilities, and potential penalties. If your working arrangements have changed — more regular hours, direction from one client, less autonomy — it's worth reviewing your status before you lodge.
According to reporting from Inside Construction, the construction sector continues to face workforce compliance scrutiny, making it more important than ever for tradies and contractors to stay across their obligations.
6. Sort Out Your Logbook if You Claim Vehicle Expenses
Vehicle expenses are one of the most commonly claimed — and most commonly audited — deductions for tradies. If you're using the logbook method (which generally allows a higher deduction than cents per kilometre), you need a valid 12-week logbook that's less than five years old.
If yours has expired or you never started one, it's not too late to begin — but you'll need to backfill your records as accurately as possible using calendar entries, job records, and mileage estimates. Going forward into 2025–26, apps like ATO myDeductions or mileage trackers like Driversnote make this process much less painful.
7. Get in Front of a Registered Tax Agent
For most tradies and contractors, a registered tax agent is worth every dollar. They know the industry-specific deductions, they can spot opportunities you've missed, and — critically — using a registered agent often extends your lodgement deadline beyond the standard 31 October.
The Australian Financial Review has noted that tax agents are increasingly in demand as the gig economy and labour hire workforce continue to grow, meaning booking early is smart. Don't leave it until August — good agents fill up fast after 30 June.
If your income includes wages across multiple employers, ABN income, and perhaps interstate allowances, having a professional manage your return isn't a luxury — it's risk management.
8. Plan Ahead for 2025–26: Lock In Your Workforce Strategy
EOFY isn't just about looking backwards — it's an opportunity to plan smarter for the year ahead. Whether you're an employer reviewing your labour costs or a contractor assessing your salary guide position against the market, the data you gather at tax time tells a story about what's working and what isn't.
For employers in construction, manufacturing, and logistics, EOFY is often when budget cycles reset. That makes it the ideal time to review your workforce mix — permanent headcount versus flexible labour hire — and ensure you're structured to handle upcoming project demand without unnecessary fixed cost overhead. Explore how construction staffing solutions can help you scale efficiently.
What This Means for You
- Tradies and sole traders: Act now on deductions, super contributions, and income reconciliation before 30 June
- Labour hire workers: Verify your income statements in myGov and confirm PAYG withholding is correct
- Contractors on ABNs: Review your employee vs contractor classification and ensure BAS is current
- Employers: Use EOFY as a planning trigger to assess workforce structure for the year ahead
Whether you're looking for your next project or need experienced tradespeople to hit the ground running after the new financial year, Harrison Barratt Group connects skilled workers and quality employers across construction, manufacturing, mining, logistics, and more. Register as a candidate or request a quote to get started today.