Snapshot for the FBT year ending 31 March 2021 FBT rate: 47% Benchmark interest rate: 4.8% Car parking threshold: $9.15 Record-keeping exemption: $8,853 FBT return is due by 21 May, or by 25 June if lodged electronically through your tax agent. Reminder why FBT exists Fringe Benefits Tax is a tax levied on employers Read more…
You hear about tax planning all the time from the likes of us, but for those small-to-medium business owners who underinvest in it, 2021 is the year to take heed. Much has been going on that will impact the amount of money in your pocket, and you can either let the 2020/21 tax cards fall Read more…
A director (or a person who performs the duties of a director) is deemed an employee for PAYG withholding tax purposes; that is, payments made to a director by a company as remuneration are subject to PAYG tax instalment deductions. Ironically, if the instalments are not deducted, the director of Read more…
One of the measures that was introduced by the Australian Government as a part of the recent Federal Budget was personal income tax cuts. The personal tax cuts apply to income earned on and from 13 October 2020, which means that these changes are relevant for the income tax year Read more…
After Parliament passed the laws to bring forward tax cuts effective from 1 July 2020, the ATO has now updated the various withholding tables, which can be accessed here. The updated tables apply to payments made from 13 October 2020. However, employers and other payers who are unable to immediately implement these Read more…
One of the key Federal Budget changes passed last week by the Parliament is an amendment to the instant asset write-off rules. The Government has granted a temporary tax incentive to support new investment and deliver significant cash flow benefits to around 3.5 million (99%) businesses in Australia. The new Read more…
The super co-contribution scheme is designed to help retirement savers build their super account balance by supplying an additional payment of up to $500 for personal super contributions. The main goal of the payments is to increase the retirement savings of low and middle earners who make personal contributions into Read more…
A cryptocurrency is a digital or virtual currency that is secured by cryptography, which makes cryptocurrencies almost impossible to counterfeit. The most popular cryptocurrency is bitcoin. Many cryptocurrencies are decentralised networks based on blockchain technology (a distributed ledger enforced by a disparate network of computers). The cryptocurrency functions outside of Read more…
Small businesses often change their business structure from a simple structure, like a sole trader to a more complex structure; for example, a company or trust. The ATO has identified the following common errors made by taxpayers who have changed their business structure: Reporting income for the wrong entity; Claiming Read more…
The Government is implementing reforms to the R&D Tax Incentive program. The proposed changes may support additional high intensity R&D expenditure and improve the program’s effectiveness and integrity. R&D tax offsets are available to registered R&D entities for a range of expenses and depreciation costs incurred on R&D activities. Currently, Read more…