News

Emergency money from your super fund: The rules

August 2, 2012

Compassionate reasons can serve as grounds for withdrawing pre-retirement or preserved super to cover medical and related emergencies – but strict rules apply. Overseen by the Department of Human Services, the compassionate grounds benefit allows super to be withdrawn in one or more of five specific circumstances, after taking into account a member’s financial capacity.…

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SMSF related party off-market transfer ban delayed

August 2, 2012

Off-market transfers of certain assets, such as shares, between related parties and self-managed superannuation funds (SMSFs) will cease to be allowed under proposed changes to the law. However the start date of the ban has been moved from July 1, 2012 to one year later. Frequently referred to as in-specie contributions, the government’s move to…

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Private Hospital Cover Rebate and Medicare Levy Surcharge Thresholds

July 12, 2012

Income Tiers Income Level Private Hospital Cover Rebate Medicare Levy Surcharge Below age 65 Age 65 to 69 Age 70 + No Tier Singles $0 – $84,000 Couples/families 30% 35% 40% Nil $0 – $168,000 Tier 1 Singles $84,001 – $97,000 Couples/families 20% 25% 30% 1% $168,000 – $194,000 Tier 2 Singles $97,001 – $130,000…

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Medical expenses: What can you claim?

July 5, 2012

Changes announced in the latest Federal Budget mean that from July 1, 2012, the Net Medical Expenses Tax Offset will have two income-based thresholds, both indexed annually. A lower threshold ($2,060 for 2011-12) applies to individuals with an annual taxable income of less than $84,000 and less than $168,000 for couples and families, and a…

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LAFHA — the new regime

July 5, 2012

Every so often, a person’s career will take them places — but not necessarily in an ‘upwardly mobile’ way. If earning a living means an employee needs to be away from their usual place of residence for an extended period, the government has made available tax concessions generally known as the Living Away From Home…

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Maximise your rental property claims

July 5, 2012

Come tax time, every penny counts – particularly in the case of investors. Owners of rental properties are entitled to tax deductions in connection with their investments but do you know what these deductions are and how you can save yourself from paying more? Read our guide below for a rundown of claimable rental property…

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SMSFs and geared property investment

July 5, 2012

In general terms, there is a prohibition on superannuation funds borrowing money, however an exception to this rule enables self managed superannuation funds (SMSFs) to borrow in order to acquire certain assets. These borrowing arrangements are strictly regulated. When borrowing to acquire an asset, the fund takes out a loan on a ‘limited recourse’ basis,…

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Tax changes from July 1, 2012

July 5, 2012

Business Company tax loss carry-back scheme which allows companies to carry-back tax losses of up to $1 million to offset previous profits and provide a refund of tax previously paid. Immediate write-off of the first $5,000 of a new or used motor vehicle and each eligible business asset that costs less than $6,500 for small…

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New contractor tax reporting requirements

June 21, 2012

A change to the reporting requirements for businesses in the building and construction sector is about to become a reality from July 1, 2012. The new ‘Taxable Payments Report’ will require operators to report on certain payments made to contractors. The Tax Office says data from the Taxable Payments Report will improve compliance and detect…

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