News/Blog
Stay up to date with all our latest news, guidance and regulatory information here. We like to focus on the practical implications of changes to tax, insurance and financial planning legislation as well as offering insights on topical issues relevant to our clients.
LATEST ARTICLES
JobKeeper subsidy NOT included in aggregated turnover
When the JobKeeper subsidy was first announced, it stated that the payments received by an employer would be included in the employer's assessable income as wage subsidies, but not subject to GST. Therefore, it is classed as ‘ordinary income’. Ordinary proceeds from business activities that are carried on regularly and in an organised, systematic way, on a large scale or with view to profit, are classed as ordinary income. Last week, the Tax Practitioners Stewardship Group pressed the ATO for clarification on the Jobkeeper payments. If they are classed as ‘ordinary income’, would it be included in aggregated turnover? This could result in the loss of a range of small business concessions based on aggregated turnover thresholds. Small business concessions include: Small business income tax concessions Small business CGT concessions Instant asset write-off Refundable R&D tax offset Base rate entity tax rate We are pleased that the ATO has now confirmed that while the payments are classed as ordinary income, they are not derived in the ordinary course of business, and therefore will NOT be included in aggregated turnover. This should put small business owners mind at rest, that they will not [...]
REMINDER: Government’s Super Guarantee Amnesty ends today!
Are you a business with Super Guarantee (SG) liabilities? Introduced on 6 March 2020, the Australian Tax Office’s Super Guarantee Amnesty lets business owners disclose and pay previously unpaid super guarantee charges (SGC), including nominal interest, they owe their employees, for quarter(s) starting from 1 July 1992 to 31 March 2018, without incurring super guarantee charges (SGC) or penalties. The super guarantee charges can be substantial: There is an administration fee of $20 per employee, per quarter If you were late submitting your SGC statement, or failed to do so, you will be liable for the Part 7 penalty - the minimum penalty is 100% of the SGC and the maximum is 200%! You will pay nominal interest (10%) A general interest charge (GIC) will also be applied Employers will be unable to claim a tax deduction for the SGC paid You will also have to pay the outstanding Super Guarantee The ATO has given a good example of a small business that failed to take the Super Guarantee Amnesty. Following an audit by the ATO, a salon owner discovered they had a SG shortfall and the total [...]
A wealth of home loan resources at your fingertips!
We are delighted to launch our new Mortgage and Finance microsite that gives you a wealth of home loan resources at your fingertips! Whether you are looking to purchase your first home, re-mortgage to get a better deal, or buy an investment property, you could spend hours researching and still feel confused. The M&F landscape is always moving, so to help guide you through the home loan process, we have a number of very useful resources that will give you the knowledge to make an informed decision. Selecting the right lender is crucial in planning your future, so we work closely with you to understand your needs from the start, to find you the best deal. We offer impartial advice, so we don’t favour one lender over another. We search the whole market to source the right products for you and then negotiate with the lenders on your behalf to facilitate them competing for your business. FREE guides Get started with valuable information and advice on what you need to do to secure the loan your property. Becoming a first home buyer Refinancing your home [...]
More than just taxes!
Accountants are experts in tax and compliance, that’s what we are typically known for, however, did you know that we can offer so much more? Our services go above and beyond crunching the numbers, we help businesses get off the ground, support business growth, fix cashflow, problem solve, boost revenue, and help you plan for the future. We're more than just taxes - learn what we can do for you. Business start up We have first-hand experience of what life is like for a start-up! We understand that it may be a small business, but there is nothing small about it for you. We know the best way to structure a business for performance and compliance from the start. Choosing the right setup is crucial as it could save you tax in the long run. There are four main business structures commonly used by small businesses in Australia. We’ll guide you through the options based specifically on your business, to find out what works best for you. There will be ups and downs, but we will support you along the way helping to make [...]
New announcement: JobKeeper eligibility relaxed
Further to our blog regarding the JobKeeper extension, when the current scheme ends on 27 September 2020, the eligibility criteria for the JobKeeper extension has now been relaxed. Until the announcement on 7th August 2020, organisations would be reassessed based on the actual decline in GST and needed to demonstrate a continuing decline of turnover in the June and September quarters 2020, to be eligible for the period 28 September 2020 – 3 January 2021. With the relaxed eligibility criteria, businesses will only need to show that their GST turnover had fallen in the September quarter, instead of multiple, to be eligible for the scheme's extension. As previously announced, businesses and not-for-profits will still need to further reassess their eligibility in January 2021 for the period from 4 January to 28 March 2021. Businesses and not-for-profits will need to demonstrate that they have met the relevant decline in turnover test in the December quarter 2020 to remain eligible for the March quarter 2021. Employees will also qualify if they were employed on July 1 (with effect from 3 August 2020), rather than March 1. [...]
Government confirms JobKeeper extension
The Government has announced today (21 July 2020) that the JobKeeper payment will be extended until 28 March 2021. It is hoped that this will keep more Australian’s in work and support the businesses significantly impacted by the pandemic. When the current scheme ends on 27th September 2020, eligibility will be reassessed based on the actual decline in GST turnover, and payment amounts will be stepped down with two tiers of payment introduced. Summary of changes: The existing JobKeeper scheme will continue until 27 September 2020 and remains unchanged. From 28 September 2020, employers seeking to claim JobKeeper payments will need to reassess their eligibility based on actual turnover. Organisations need to demonstrate a continuing decline of turnover in the June and September quarters 2020, to be eligible for the period 28 September 2020 – 3 January 2021 Further reassessments will be made for the period 4 January to 28 March 2021 JobKeeper payments From 28 September 2020 to 3 January 2021, the payment rate will be $1,200 per fortnight for all eligible employees working 20+ hours on average, in the four weeks of pay periods before [...]
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