This month for you we have the following Insights & Updates: Business Improvement Insights Key Business Succession Issues The Crucial Importance of an Up-to-Date Will Succession Planning Diagnostic Tax Updates New Financial Year Compliance Checklist for Businesses Streamlined STP Finalisation for Employers Payroll Tax Annual Reconciliation: Including Key Considerations for Employers with Remote Workers Taxable […]
Relevant For: Everyone. Key Points: ATO impersonation scams are rising. In May 2024, ATO impersonation scam reports increased by 31%. Scammers use unsolicited SMS, email and social media to offer fake refunds or resolve tax issues. ATO is removing hyperlinks from unsolicited SMS to prevent phishing. Verify ATO communications through official contact numbers. The ATO […]
Relevant For: Australian investors. Key Points: Fake ASIC branding is being used in social media scams. Reports include misleading social media ads, cold calling and fake Telegram accounts. ASIC does not endorse investment training or platforms. ASIC does not cold call investors about investments. Investor need to be cautious and verify ASIC-related communications. Full Article: […]
This month we have the following Insights & Updates for you: Business Improvement Insights Implementing a Performance Improvement Plan for Employees Staff Performance Diagnostic 10 End of Financial Year Tasks For Businesses Tax Updates Uncertainty over the instant asset write-off threshold for 2023-24 Why your PAYG withholding reporting cycle must soon change Tax Issues to […]
Relevant For: Business owners, financial controllers and bookkeepers preparing for the end of the financial year. Key Points: Reconcile all financial accounts for accuracy and clarity. Conduct thorough inventory audits to correct discrepancies and update valuations. Review and analyse financial reports to assess performance and identify improvement areas. Assess and ensure compliance with all tax […]
Relevant For: Australian investors and superannuation holders. Key Points: ASIC warns against cold callers urging super fund switches using personal data from brokers or baiting techniques. Particular note to people aged 25-50, due to significant risk of reduced retirement savings due to unsuitable investments and high fees. ASIC calls for increased vigilance from super trustees. […]
Relevant For: Individuals and businesses considering investment opportunities, particularly in bonds and term deposits. Key Points: Rise in scams involving fake bonds and term deposits. Scammers impersonate legitimate financial services using real business details. Scams often involve online ads and social media posts. Professional and convincing counterfeit investment materials are used. Scammers gain trust by […]
The Government will provide $3.5 billion over three years from 2023–2024 to extend and expand the Energy Bill Relief Fund and provide a $300 rebate to all Australian households and a $325 rebate to eligible small businesses on 2024–2025 bills.
The Government will extend the instant asset write-off concession for small businesses for another 12 months. This will allow small businesses with turnovers capped at $10 million to immediately deduct the full cost of eligible depreciating assets costing less than $20,000 that are first used or installed ready for use for a taxable purpose between […]
There are no further details contained in the Budget papers on the announced changes to the way that the indexation factor applied to HELP debts will be calculated. Here is an outline of the recently proposed changes. A student who receives a HELP loan under any of the student loan schemes has an “accumulated HELP […]
In the 2024–2025 Federal Budget, the Government did not announce any further changes to the personal tax rates. The Government’s revised Stage 3 tax changes (as announced on 25 January 2024 and enacted into law by the Treasury Laws Amendment (Cost of Living Tax Cuts) Act 2024) commence from 1 July 2024. The Treasurer said […]
No changes were made to the low income tax offset (LITO) in the 2024–2025 Budget. For completeness, and as a reminder, while the low and middle income tax offset (LMITO) ceased from 1 July 2022, low and middle income taxpayers remain entitled to the LITO. The maximum amount of the LITO is $700. The LITO is […]
The Medicare levy low-income thresholds for 2023–2024 would normally have been announced in this 2024–2025 Budget. However, the Government released the 2023–2024 Medicare levy thresholds on 25 January 2024 when it announced the changes to the Stage 3 tax cuts. The new thresholds to provide cost-of-living relief were enacted by the Treasury Laws Amendment (Cost […]
The Budget papers did not reveal any further details on the Government’s proposal to require all employers to pay their employees’ super guarantee (SG) at the same time as their salary and wages from 1 July 2026. However, the Government said it will provide $111.8 million over four years from 2024-25 (and $12.4 million per year […]
The Budget confirmed the proposal to pay superannuation on Government-funded paid parental leave (PPL) for births and adoptions on or after 1 July 2025. From that time, the super guarantee (SG) rate will be 12% (up from 11.5% for 2024–2025). Therefore, eligible parents will receive an additional payment (12% of their PPL payments) as a […]
The Government will extend the time the ATO has to notify a taxpayer if it intends to retain a business activity statement (BAS) refund for further investigation. The ATO’s mandatory notification period for BAS refund retention will be increased from 14 days to 30 days to align with time limits for non-BAS refunds. The extended period […]
The Government will provide $187.0 million over four years from 1 July 2024 to the ATO to strengthen its ability to detect, prevent and mitigate fraud against the tax and superannuation systems. Measures to be funded includes: upgrades to information and communications technologies to enable the ATO to identify and block suspicious activity in real […]
The Government will extend the ATO Shadow Economy Compliance Program for two years from 1 July 2026. This measure is estimated to increase receipts by $1.9 billion and increase payments by $610.2 million over the 5 years from 2023–2024. This includes an increase in GST payments to the states and territories of $429.6 million. It will […]
This month for you we have the following Insights & Updates: Business Improvement Insights Tips for Improving Cash Flow in Your Business Profit Improvement Diagnostic Tax Updates Increase in the instant asset write-off threshold to $30,000 Self-education expenses not tax deductible First ASIC prosecution for failing to have a director ID Small business skills and […]
Relevant For: Business owners dealing with private company loans, who need to ensure compliance with tax laws to avoid costly mistakes. Key Points: Division 7A treats loans from private companies to shareholders/associates as dividends unless conditions are met. Loans must be repaid by the lodgement day or meet specific conditions to avoid dividend classification. Complying […]
This month for you we have the following Insights & Updates: Business Improvement Insights Navigating the 5 Stages of Growth to Maximise Business Value Business Growth Diagnostic Tax Updates Revised stage 3 tax cuts now law Refresher on deductibility of self-education expenses ATO scrutinising novated leases Paying super on expanded government paid parental leave Small […]
The ATO has been trying to crackdown on the use of trusts for many years and has recently released the following draft ruling, guideline and taxpayer alert relating to trust distributions that have associated reimbursement agreements: Draft Taxation Ruling (TR 2022/D1) – this deals with the ATO’s views on when section 100A will apply; Draft Practical Compliance Guideline […]
A recent Federal Court tax case is a sobering reminder you and your spouse cannot take asset protection for granted. In the Commissioner of Taxation v Bosanac [2021] FCAFC 158, the court made a judgment against the taxpayer for unpaid taxes. It established that a $4.5 million property acquired in the name of one spouse (despite being […]
The expansion of Single Touch Payroll (STP2 / STP Phase 2), significantly increases the amount of payroll information that needs to be reported to the ATO. It is hoped that this additional reporting will assist in ensuring employees are paid correctly as well as reducing the need for employers to report information about employees to […]
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