News

Shares and tax a stockmarket investment primer

Shares and tax: A stockmarket investment primer

September 11, 2018

Investing in the stockmarket is a lot more common than it was years ago, with ordinary Australians having experience with shares and the stockmarket either directly or through managed funds or via their superannuation fund. Recent research conducted by the Australian Securities Exchange (ASX) found that around 60% of Australians hold share investments outside of…

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Dealing with tax and renting via Airbnb

Dealing with tax and renting via Airbnb

April 6, 2018

Airbnb is one of many examples of the “sharing economy” — connecting buyers (users) and sellers (providers) through a facilitator that usually operates an app or a website. Airbnb acts as this facilitator by allowing individuals, referred to as “hosts”, to rent out a room of their house or their whole house for a short-…

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Investing: Growth vs income

Investing: Growth vs income

March 2, 2018

Every investor goes in with dreams of a pot of gold, but there is a fundamental difference between investor types – one looks to line their pockets with investment returns along the way, and the other has the patience to wait until the end of the rainbow to reap the rewards. The distinction between investing…

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Ten tips for rental property owners to avoid common tax mistakes

Ten tips for rental property owners to avoid common tax mistakes

December 5, 2017

Below is a list of tips from the Australian Taxation Office (ATO) that should help rental property owners avoid what it has found are the 10 most common tax errors made by rental property investors. The ATO says that avoiding these tax mistakes will save many taxpayers both time and money. 1. CLAIMING THE RIGHT…

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Deductions for finance on a rental property

Deductions for finance on a rental property

August 2, 2017

Interest can be claimed for the cost of funds borrowed to purchase a rental property and to meet maintenance costs or running expenses while the rental property is being let (or is available to be let) under a commercial arrangement to generate assessable income. In these circumstances the interest paid is deductible even if it…

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Share dividend income and franking credits

Share dividend income and franking credits

March 9, 2017

Mum and dad investors in receipt of dividends from their share portfolio often benefit from investing in blue chip shares because they usually have franking credits attached. As a general rule, an Australian resident shareholder is assessed for tax on dividends received plus any franking credits attached to those dividends. The shareholder is assessed on…

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Maximise your claim: Overlooked property deductions for investors

Maximise your claim: Overlooked property deductions for investors

July 3, 2016

Many investment property owners may be missing out on valuable property depreciation entitlements, simply by not being up-to-speed on what is and is not depreciable. Generally speaking it seems that many property investors may not be claiming their full tax entitlements, most likely because the range of items that qualify can be unexpectedly diverse. Examples…

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Your holiday house and family arrangements

December 5, 2014

The Tax Office has formed views about disclosing income and claiming deductions where non-economic rental arrangements — that is, “mates rates” — occur involving the use of holiday homes. A similar approach is adopted for arrangements you may make with family members involving residential property. The following is a summary of the Tax Office’s view…

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What is negative gearing? How it works, the pros & cons

December 5, 2014

Taking out a loan to raise money for an investment is a well-used tactic for many Australians. In fact, borrowing to buy big ticket items is part of financial reality – for example, how many of us could afford to buy a house out of our own pocket? Borrowing funds will increase the amount you…

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Loan interest can be deductible to a partnership

March 11, 2014

A general law partnership is formed when two or more people (and up to, but no more than, 20 people) go into business together. Partnerships are generally set up so that all partners are equally responsible for the management of the business, but each also has liability for the debts that business may incur. Partnership…

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