Monthly update, May 2025

Good CGT records can save you money

Welcome to this month’s client newsletter. In this edition, we’ve rounded up a series of important updates and insights that could impact your financial decisions – whether you’re managing investments, planning your estate, or thinking about your super.

1. Reduce capital gains tax (CGT) with good record-keeping Sold an investment and made a capital gain? Good record-keeping could help you legally reduce your CGT liability. We share practical tips to help you keep more of your windfall and avoid an unnecessary tax hit.

2. Super contributions vs mortgage repayments Got some extra cash? We explore whether it’s better to make additional concessional contributions to super or pay down your home loan. Each option has its advantages – and we help you weigh them up.

3. Writing a will: the tax angle There’s more to estate planning than just distributing assets. Writing your will in a tax-effective way can help avoid unexpected CGT issues. If you’re preparing or updating your will, speak with us first so we can guide you through the tax considerations.

4. Binding death benefit nominations (BDBN) Your super doesn’t automatically form part of your estate. To make sure it goes to the right people, a valid BDBN is essential. We explain what a BDBN is, why it matters, and what to keep in mind when making one.

5. The tax side of small-scale property development If you’ve subdivided your property or built multiple dwellings on your land, the ATO may view this as small-scale property development—with profits potentially taxed as business income rather than capital gains. We unpack the tax implications and why professional advice is key in these scenarios.

This issue reflects the law when it was published. Tax and super rules change often, so please call us before acting on anything in it.