News

Company directors face new liabilities

November 5, 2012

If you are a company director or an associate of a director, you are likely to be affected by changes to the Personal Liability for Corporate Fault Reform Bill 2012 which reduced the scope for companies to engage in fraudulent activity or evade their employees’ entitlements. The changes not only render company directors personally liable…

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The mechanics, and tax consequences, of insolvency

November 5, 2012

It is unlikely to be an aspiration for any individual or business owner, but the words “going broke” can still have unfortunate resonance — even though there are many instances where “fault” lies with circumstance rather than personal or even a business’s shortfall. But hitting the wall does not necessarily mean there can be no…

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ATO says the cost of managing tax affairs has increased

November 5, 2012

Every year, the Tax Office issues a comprehensive statistical report based on the most complete set of data at its disposal. Its most recent Taxation Statistics is compiled from tax return information from 2009-10 as well as FBT, GST and activity statement data from the 2010-11 year. One item of data listed in Taxation Statistics,…

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Tax and your business’s website costs

September 8, 2012

There’s no doubt that the internet can be a crucial tool for small business, and many businesses are essentially just ‘online’ enterprises (no web, no business). But no website is a ‘one-size-fits- all’ proposition, as the purpose behind having an online presence varies greatly depending on the business involved. Is it just for promotions and…

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Paid paternity leave set to become a reality

September 8, 2012

The government’s newly legislated Dad and Partner Pay provides fathers – including adopting parents and parents in same-sex couples – with two weeks paid paternity leave at the pre-tax rate of $606-a-week minimum wage. Effective from January 1, 2013, the payment is an extension to the Paid Parental Leave scheme that began on January 1,…

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SMSF tax return: Avoid the annual angst

September 8, 2012

Individuals and self-managed superannuation fund (SMSF) trustees alike are embroiled in a race to finish their annual returns, but for the latter the race is one that is more difficult and involved. As we explained in our last edition, SMSFs have to appoint an ‘approved auditor’ at least 30 days before the due date of…

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Business performance benchmarks

September 8, 2012

The Tax Office’s business performance benchmarks provide a snapshot of an average business by providing a measure of costs and income (expressed as a range) that the Tax Office would normally expect a business to report when operating in a particular industry. So far, benchmarks have been developed for small businesses in more than 100…

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Choosing the right business structure

September 8, 2012

Start up businesses need to make one important decision from the outset – what type of business set- up will suit you best? You’ve got a choice of four basic business structures – sole trader, partnership, company or trust. Of course, there are also more sophisticated structures out there, but most possible structures are essentially…

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Tax returns and The Taxman

August 2, 2012

Although the shoebox has (hopefully) been relegated to the pages of quaint tax history, the principle of taxpayers needing to keep adequate records and receipts lives on. But the better organised and ordered tax recordkeeping is, the better a tax agent or accountant will be able to do what they do best — to make…

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Resident or non-resident: What’s the difference?

August 2, 2012

The Tax Office views “residency” in an entirely different way to other Australian governmental agencies that deal with things like immigration, visas and citizenship. An individual will be an Australian resident for tax purposes if they “reside” in Australia, adopting the ordinary meaning of the term, or satisfy at least one of the three statutory…

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