7 Things Property Investors Should Do Before 30 June

The end of the financial year is one of the most important windows for property investors. Taking the right steps before 30 June can reduce your tax bill, improve your cash flow, and set your portfolio up for a stronger year ahead. Here is a practical guide to what you should be doing right now.

Review Your Rental Income and Expenses

Before anything else, make sure all of your financial records are in order. Gather every invoice, receipt, and statement related to your investment property over the past 12 months. This includes property management fees, council rates, insurance, water charges, repairs, maintenance, and any other costs directly associated with producing rental income.

The Australian Tax Office only allows deductions for expenses that are properly documented and directly related to your rental property. If you cannot substantiate an expense with a receipt or statement, you cannot claim it. Now is the time to chase down anything that is missing before the year closes.

If your property is managed professionally, your property manager should be able to provide a consolidated annual income and expense statement. We provide this to our KBP clients.

Complete Outstanding Repairs and Maintenance

Any legitimate repair that is completed and paid before 30 June may be claimable as a deduction in the current financial year. This means immediate tax relief rather than carrying the expense into next year's return.

Think about what has been sitting on the to-do list. Leaking taps, damaged blinds, broken appliances, worn carpet—if the work is genuinely a repair, meaning it restores something to its original working condition, it is likely immediately deductible.

It is important to understand the distinction between a repair and an improvement. A repair restores something to what it was. An improvement upgrades or enhances it beyond its original state and is generally depreciated over time rather than deducted immediately. If you are unsure which category your work falls into, speak with your accountant before proceeding.

Tradespeople are in high demand in the final weeks of June. Do not wait until the last week to book — secure your dates now and ensure the invoice is issued before the 30th.

Check Your Depreciation Schedule

Tax depreciation is one of the most valuable and most overlooked deductions available to Australian property investors. A depreciation schedule prepared by a qualified quantity surveyor calculates the annual decline in value of your investment property, covering both the building structure itself and the plant and equipment inside it, such as appliances, carpet, hot water systems, and blinds.

Depreciation is a non-cash deduction, meaning you claim it on your tax return without spending any money at the time. On a typical investment property, a current depreciation schedule can uncover thousands of dollars in additional annual deductions.

BMT Tax Depreciation is Australia's leading quantity surveyors specialising in tax depreciation schedules for property investors. If you do not have a current schedule, or if your property has been renovated or had significant work carried out, it is worth having an updated schedule prepared. BMT can be contacted at bmtqs.com.au or on 1300 728 726 and their fee is itself tax deductible.

Do not assume that a schedule prepared at the time of purchase still accurately reflects your current entitlements. Any upgrades, renovations, or significant maintenance may mean there are additional deductions you are currently missing out on.

Prepay Deductible Expenses

Under Australian tax rules, individuals can generally prepay certain deductible expenses up to 12 months in advance and claim the full amount in the current financial year. For property investors this can include loan interest where your lender permits it, landlord insurance premiums, strata levies, and property management fees.

The rationale is simple. If you are going to pay these expenses anyway, paying them before 30 June brings the deduction forward by 12 months. Depending on your marginal tax rate, this can make a meaningful difference to your tax position this year.

Prepayment rules have specific conditions and do not apply in all situations. Rules can differ for individuals, companies, and trusts, and lender policies around interest prepayment vary considerably. Always seek advice from a qualified accountant before prepaying any expenses.

Review Your Rental Return

Has your property's rent kept pace with the market? Rental markets across much of Australia have tightened considerably over the past few years, and if you have not reviewed the rent recently, there is a reasonable chance you are below current market rates.

Conducting a rental review now, with any increase taking effect from 1 July, means the improved income flows into the new financial year from the outset. Even a modest increase of $40 to $50 per week compounds to over $2,000 in additional annual income.

To assess current market rent, check comparable listings on Domain and realestate.com.au in your suburb. A property manager can also provide a formal rental appraisal using current leasing data. Keep in mind that each state has different rules around notice periods for rent increases, so make sure any review is handled in line with your local legislation.

If you are a KBP investor, rent reviews are already planned for 90 days before the end of the fixed lease term. It is also worth noting that NSW permits only one rental increase per calendar year.

Finalise Your Year-End Financial Reports

This is the step that brings everything together. Your accountant can only work with the information you provide them. Walking in with a clean, complete set of financial records before 30 June means a more straightforward return, fewer back-and-forth queries, and the confidence that nothing has been overlooked.

Make sure you have a full year of rental income statements, all expense receipts and invoices, your loan interest statement from your lender, your current depreciation schedule, and your property management annual statement. If there have been any capital works during the year, have documentation for those as well.

Do not wait until after 30 June to pull this together. Having everything ready before the year closes puts you in the strongest possible position heading into lodgement. At KBP this is seamlessly handled by ManagedApp, our client portal system.

Book a Portfolio Performance Check

Beyond the tax considerations, the end of the financial year is a natural moment to step back and assess how your portfolio is performing more broadly. Is this property delivering the yield and capital growth you expected? Are there maintenance items coming up that you should be planning and budgeting for? Does your current loan structure still reflect the best available rate in the market?

These are the questions that often get pushed aside during the year when day-to-day decisions take priority. Taking the time to address them before 1 July means you enter the new financial year with clarity and a clear plan rather than carrying unresolved questions forward.

Not a KBP investor—we'd love to provide you with a Healthy Rental Property plan to step into the New Financial Year with confidence. Book a short catch-up with Kate here: https://www.katebenjamin.com.au/meet-with-us