LATEST NEWS & ARTICLES
2020/21 Federal Budget
1. Personal income tax changes 1.1 Changes to personal income tax rates The Government has announced that it will bring forward changes to the personal income tax rates that were due to apply from 1 July 2022, so that these changes now apply from 1 July 2020 (i.e.,...
Tax Entertainment Expenses
Business entertainment tax deduction Back in the late 80’s, the Government became all concerned about the Corporate Fat Cats dining-out and claiming tax deductions in the guise that this was related to marketing and “doing-business”. So, they shut it down. It’s now...
Claiming Car Expenses
CLAIMING CAR EXPENSES FOR BUSINESSES AND INDIVIDUALS Certain tax advantages can come with cars if they are used for work or employment purposes. For income tax and fringe benefits tax purposes: a “car” is any vehicle principally designed to carry less than 9...
Financial Reporting Requirements QBCC Licence
FINANCIAL REPORTING REQUIREMENTS QBCC LICENCE From 1 January 2019, the documents required to fulfil the QBCC licence financial reporting requirements changed. Are you ready? The main QBCC minimum financial reporting requirements changes 2019 are: Businesses with sales...
What is Fringe Benefits Tax – FBT
Fringe benefits tax definition Fringe benefits tax (FBT) is tax levied on employers based on the value of extra payments or benefits provided by employers to employees and their associates over and above wages and superannuation payments. The fringe benefits tax...
Hospitality Industry Tax – Bars, Café, Restaurant taxes
Hospitality Industry, Bars, Café, Restaurant taxes Accounting for Stock Most Small/Medium Enterprise(SME) businesses’ account for stock or inventory on a periodic basis. That is, they do a physical stock-take and record inventory levels and then generally value that...
Recording the Cash Flow boost in Accounting Systems
HOW TO RECORD THE CASH-FLOW BOOST IN YOUR ACCOUNTING SYSTEM March BAS lodgements will see the first credits and/or cash received for the cash-flow stimulus measures legislated by the Federal Government in relation to COVID-19. These measures reduce the amount of...
Wins, Wills and Bankruptcy
When someone becomes bankrupt their ‘divisible’ property vests in their trustee bankruptcy. Divisible property is generally all the bankrupt’s assets, except for certain classes (i.e. non-divisible property) being household items, tools of trade, means of transport to...
Death and Taxes
Australian Estate Taxes - Background Death and Taxes Income tax rules as they apply to deceased Estates can be quite complex so we’ll try to run through them in an easily understandable manner below. When a person dies, their Will controls what happens to their assets...
Residential Rental Property Investment Depreciation
From 1 July 2017, the Tax Office introduced new laws limiting investors ability to claim depreciation on investment properties. The laws target ‘previously owned’ equipment (dryers, microwaves etc.), fixtures and fittings (curtains, carpets etc.). Under the new regime...
Superannuation Contributions
Contributions Concessional (tax deductible) superannuation contributions can be claimed as a personal tax deduction or are tax deductable to the employer entity making the payment. Please note, the concessional contribution caps include any salary sacrifice amounts,...
Directors fees, wages, drawings and superannuation
Directors’ Fees, Wages, Drawings and Superannuation Guarantee From 1 July 2019, changes to the law for the tax-deductibility of payments of Directors’ fees took effect. Failure to comply with these changes will prevent the payments from being a tax-deductible expense...
Car logbook for tax purposes
Car logbook To claim a deduction for motor vehicle expenses the tax office requires substantiation of the business use of the vehicle. This can be documented through a logbook. The percentage of business use determines the tax deductibility of the vehicle expenses....
Taxes for Rental Properties
Taxes for Rental PropertiesIt is a very popular scenario that home owners (called a Principal Place of Residence or PPR for tax) sometimes convert their residence to a rental property and/or use some of the property for income earning activities or that they sometimes...
2019/20 Federal Budget
1. Personal income tax1.1 Changes to personal income tax ratesThe Government has proposed the following changes to the personal income tax rates: From 1 July 2022, the Government will increase the upper threshold of the 19% personal income tax bracket to $45,000. The...
Investment Property Tax
Investment properties are treated differently whether you’re an Australian Tax Resident, or not. Being an Australian Tax Resident doesn’t mean you have to be a Citizen of Australia, it just means your normal place of abode or living arrangements are here. In this...
How Downsizer Contribution Works
Many retirees find they want a smaller home, or a home more suited to their empty-nest requirements. For some, selling the family home can be great way to release built-up equity to pay for retirement living expenses or in-home support that will allow them to stay at...
Tax Deductions for Doctors
Tax Deductions For Medical Professionals The tax environment for all professional practices including medical practices can be complicated. Tax deductions generally are expenses directly incurred to earn income or run a business. They can’t be Capital, Private or...
Business Structures
Business Structures When considering going into a new business, buying an existing business or buying into an existing business, the business structure and the business investment structure is critical. This will determine asset protection and tax liabilities. Types...
Capital Gains Tax Australia CGT
Capital gains tax rate Australia Please note this is general advice only and cannot be acted on without seeking professional advice. Capital Gains Tax in Australia isn’t a separate tax like some think it is. It’s actually part of the general taxation system, just with...