News

The work Christmas party

The work Christmas party

November 6, 2018

It’s not quite Christmas time yet, but most businesses will be in the process of thinking ahead to the yuletide festivities, if not already into well-advanced planning. One of the perennial questions is if and how fringe benefits tax applies to these activities. There is no separate fringe benefits tax (FBT) category for Christmas parties…

Read more
ricardo gomez angel 162935 uns

Personal services income: An overview

October 4, 2018

It is not uncommon for professional people who provide services to set up a separate entity to run their business, be it a trust, partnership or incorporated company. The allure of course is the lower tax rate that these can secure, rather than at the top marginal tax rate that an individual would generally wear.…

Read more
Self employed you could claim a deduction for saving for your retirement

Self-employed? You could claim a deduction for saving for your retirement

September 11, 2018

A recent change to the rules around superannuation means that more Australians may be eligible to claim a tax deduction for putting money into super. Before June 30, 2017, if more than 10% of your income was sourced from salary or wages from an employer, you were rendered ineligible to claim any tax deduction for…

Read more
Change in creditable purpose for GST reporting purposes

Have you had a change in creditable purpose for GST reporting purposes?

September 11, 2018

Sometimes your business may end up using an asset you purchased, such as a property for example, in a way that is different to what you had originally planned. It pays to remember that if you claimed GST credits for assets that have had their intended use change from that originally planned, you need to…

Read more
Your claim for a business tax loss can be denied

Your claim for a business tax loss can be denied

August 2, 2018

Business owners are naturally keen to be able to absorb a business loss as a tax deduction, but it also pays to not stray too far from the generally accepted rules regarding tax losses — there are circumstances where the ATO is legitimately able to deny such claims. The ATO has the discretion to disallow…

Read more
Let a GST credit slip through the cracks

Let a GST credit slip through the cracks? All is not lost!

August 2, 2018

Most small business owners stay on top of their GST refunds, mainly because of cash flow concerns, but it’s not all that uncommon to now and then lose track of a credit. What quite a few small business owners may not know is that you have four years to claim any GST credit you’re entitled…

Read more
Are you Division 7A compliant?

Are you Division 7A compliant?

July 19, 2018

Division 7A is an integrity measure that was designed to prevent companies from making tax-free distributions to shareholders or their associates. This can occur where distributions of profit are disguised as loans or other transactions. This effectively allows the shareholder or their associate to have access to the corporate tax rate. A consequence of Division…

Read more
2 minute quiz: Partnerships

2 minute quiz: Partnerships

July 19, 2018

How well do you understand the taxation of partnerships? Try these questions to find out. Question 1 Which of the following is the definition of a tax law partnership? An association of persons (other than a company or a limited partnership) carrying on a business in common with a view to profit An association of…

Read more
Builders: Get your taxable payments report ready before August 28

Builders: Get your taxable payments report ready before August 28

June 7, 2018

Businesses in the building and construction industry, take note – the deadline is August 28, 2018 to report the total payments you made to each contractor you enlisted the services of in 2017-18. You will need to report these payments to the ATO on the Taxable payments annual report. The taxable payments reporting system was…

Read more
Franchise businesses and tax

Franchise businesses and tax

May 4, 2018

The Australian Competition & Consumer Commission (ACCC) is the government body responsible for enforcing the Franchising Code of Conduct, and if you or someone you know are considering entering into a franchise arrangement, this will probably be a good starting point to get an idea of what to expect. The code imposes strict obligations on…

Read more