News

Claiming self education expenses

Claiming self-education expenses

August 2, 2018

The value of a good education is widely accepted, and it is a common experience over one’s working lifetime to find that further learning is required along the path of one’s chosen career. Changing technology and evolving workplaces means that at some stage in every taxpayer’s life, an educational re-boot could become necessary — as…

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A tax boost for low and middle income earners

A tax boost for low and middle income earners

August 2, 2018

If you or anyone you know are earning income at lower or middle income levels, there’s a new tax offset that has been available since July 1 that was originally announced in the 2018 federal budget last May. But no-one will see any benefit from the new Low and Middle Income Tax Offset (LMITO) until…

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PLAN AHEAD: Tip to better prepare for tax time 2019

PLAN AHEAD: Tip to better prepare for tax time 2019

July 19, 2018

It is highly recommended that you keep receipts for all expenses and possible tax deductions you are considering claiming for you or your business. It is also a good idea to scan and file them electronically so that they are accessible should you need them for audit purposes. If you haven’t used it already, note…

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Tax deduction for insurance premiums?

Tax deduction for insurance premiums?

July 19, 2018

As a general guideline, the ATO will allow a deduction for certain insurance premiums if it can be shown that the insurance cover relates to earning assessable income. In other words, life insurance, trauma insurance or critical care insurance are generally out. Income protection insurance is one example of the kind of cover that may…

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Managing tax disputes can be like wrestling with a superhero

Managing tax disputes can be like wrestling with a superhero

June 7, 2018

It is sometimes said that a superhero like the DC Comics character Superman can be uninteresting because he is, for all practical purposes, indestructible. Critics have said the knowledge that he will most likely win can make Superman’s adventures monotonous. A similar accusation could be levelled at the Federal Commissioner of Taxation (the flesh and…

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Unpacking statute-barred debts

Unpacking statute-barred debts

June 7, 2018

Various tax implications can arise when a debt becomes statute-barred. So what is statute barring and when can it be a problem? In simple terms, a debt is statute-barred when it has reached a statutory limitation period where it can no longer be legally recovered by creditors. Specifically, each state and territory in Australia contains…

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Duties and taxes when you buy online from overseas

Duties and taxes when you buy online from overseas

April 6, 2018

Items that you buy over the internet from an overseas source are generally required to abide by the same rules and screening processes that apply to any other “import”. Also the usual duties or taxes should apply. Customs duties are regulated by the Department of Home Affairs (a recently formed body from December 2017, which…

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Beware of who you share your benefits with

Beware of who you share your benefits with

March 2, 2018

Where some businesses have tripped up in the past is where the source of benefits provided is not clear cut — that is, where non-cash components of remuneration are sourced not directly from an employer, but from an associate, a related company or from a third-party provider. For fringe benefits tax (FBT) to apply, the…

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Expanding the empire

Expanding the empire (and retaining the CGT main residence exemption)

February 2, 2018

A question that surfaces now and then in regard to capital gains is whether the main residence exemption extends to additional land acquired after the time of acquisition of the residence. The short answer is yes — provided that certain requirements are met. It should also be noted that where the exemption applies upon satisfaction…

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Fringe benefits tax

ATO spells out its big FBT concerns

February 2, 2018

March 31 and the end of the FBT year is around the corner, so to help taxpayers get things right, the ATO has made public the fringe benefits tax issues that attract its attention. Broadly (not just in relation to FBT), the ATO says the following behaviours and characteristics tend to raise a red flag:…

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