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E invoicing is on its way

E-invoicing is on its way

December 2, 2019

Photo by Clay Banks on Unsplash Along with a more automated exchange and processing of invoices, e-invoicing also promises reduced payment times and better cash flow. The headline above may give the impression that electronic invoices are a futuristic concept, but of course even today there is a version of e-invoices – think PDFs and…

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Personal services income explained

Personal services income explained

December 2, 2019

Photo by Element5 Digital on Unsplash The personal services income (PSI) rules apply to income that is earned mainly from the personal efforts or skills of a person. It does not matter whether the income is earned by the individual in their own name or through an entity such as a business. The rules do…

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CGT CONCESSIONS Does your business qualify

CGT CONCESSIONS: Does your business qualify?

December 2, 2019

Photo by Ashley Batz on Unsplash Wondering if you’re eligible to claim the small business CGT concessions can be settled by answering a few basic questions. In addition to the capital gains tax (CGT) exemptions and rollovers available more widely, there are four additional concessions that allow a small business to disregard or defer some…

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If you’re in business you need to know about the PPSR

If you’re in business, you need to know about the PPSR

December 2, 2019

Photo by Matthew Waring on Unsplash There is a simple step that many businesses can take to better manage the risk that can attach to certain assets. Not so many years ago, a new scheme was introduced, which also established a national register, that could affect anyone who answers “yes” to any of the following…

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Small business Low cost assets the threshold rule

Small business: Low-cost assets & the threshold rule

November 8, 2019

Photo by Pawan Kawan on Unsplash There is a rule in the tax law that allows a business that doesn’t use simplified depreciation to claim an immediate deduction for most business expenditure of $100 or less to buy tangible assets. Known as the threshold rule, this can help small business owners save time as well,…

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Is it just a hobby or are you in business

Keeping busy: but is it just a hobby, or are you in business?

August 7, 2019

It is important to understand the differences between a hobby and a business for tax, insurance and legal purposes among other things. For one thing, there will be certain tax and other obligations that start once you are in business. However it’s a myth that there is a dollar threshold to be in a business…

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Small businesses need to get active to pay less tax

Small businesses need to get “active” to pay less tax

August 7, 2019

For small business owners who are disposing of assets that have risen in value during the time they have owned and used them in their business, accessing one or more of the available small business capital gains tax (CGT) concessions can greatly reduce any consequent tax liability. Indeed, many small business owners find they can…

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The small business income tax offset

The small business income tax offset

August 7, 2019

The small business income tax offset (also known as the unincorporated small business tax discount) can reduce the tax a sole trader business pays by up to $1,000 each year. The offset is worked out on the proportion of tax payable on business income. To be eligible, a taxpayer must be carrying on a small…

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Business trading structures

Business trading structures: What’s best for your business?

July 4, 2019

When you have plans for starting a new business, one of the central decisions is which business trading structure will work best for your venture. The general problem however can be that there are both pros and cons with the main options available, so considerations need to be given with regard to the overall situation…

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Businesses get increased access to losses

Businesses get increased access to losses

July 4, 2019

In the first quarter of this calendar year, legislation was passed that will supplement the ATO’s current “same business test” for losses with a more flexible “similar business test”. The new test will expand access to past year losses when companies enter into new transactions or business activities. The similar business test allows a company…

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