As we reach the new financial year, many small businesses will be looking forward to indulging in reducing their tax bill or increasing their tax refund. So why not do it? Now is a great time to sag a tax-deductible bargain and reduce the cash flow impact before you place your tax return sometime after July 1. One can deduce their tax in many ways such as by solar panel installation, working from home deductions, mobile phone uses, etc. we will look further into these points.
To claim the deduction, one should keep in mind that you need not just make the purchase, but the asset purchased must be installed and ready for use by June 30. So please don't leave it to the last minute and never buy something out of stock and won't come back in store until July.
What are the different types of deductions that you can claim?
Solar Panel Installation:
A solar panel installation currently generates a tax-free, reliable return which is way higher than government bonds or bank interest rates at the time of writing. Usually, people buy a solar panel with cash. So, if you are debt-free and have cash looking for a place to go, investing in a solar panel system is worth some serious consideration.
Solar Secure promises their customers the best quality, best experience, and best value solar panel and solar power systems. We believe in creating satisfied customers to gain the company's rapid growth and expand nationally over many years to come.
By just a quick call, you can discuss your solar requirements with our experts. We handle both the paperwork and permits. Your retailer does the intelligent meter changeover, then we suggest and design a custom solar solution for you.
We provide system monitoring setup and warranty, and our solar experts review the design before installation. The solar system is tested, and if you are satisfied, we sign off and provide a lifetime of support. You can add on a Battery Storage Solution along with your solar panel system as it is also an asset that will help you get a tax deduction.
Working from Home deductions
Some portion of home office expenses can be claimed as tax deduction if you carry out all or some part of your employment activities from home. The ideal case scenario would be to have a room set aside as your home office, but if you don't have a room set aside for your home office claim.
You are using a room with multiple or double purposes, such as your dining room or a room shared with others. You can only claim the deductions for hours you had full use of the area.
Professional associations, trade union fees, or magazine subscriptions
You might be a member of an association as a part of your profession – here, the good news is you can lay claim to your subscriptions. Your fees are also deductible if you are a part of a trade union.
A magazine subscription can make a big dent in your pocket. If you are an investor, financial researches and publications services are claimable. Prepay the following year's fees before June 30 and claim your deduction by thinking ahead.
Mobile phone use
You can claim a deduction if you use your phone for work purposes and you paid for these expenses and have records to support your claims. If you use your phone for both private and work purposes, you will require to work out the percentage that considerately relates to your work use. But keep in mind that you can't double-dip and claim for phone expenses that your employer has reimbursed.
So, for your solar panel query, talk to us as we are available throughout the day. Grab your solar panel as soon as possible to deduce your tax and enjoy peace of mind.