Selling Property! Will GST & the margin scheme apply to you?
The sale of an investment property in Australia can introduce intricate GST (Goods and Services Tax) considerations that often escape the notice of many property investors. However, there are specific scenarios where investors can mitigate their GST obligations. While the sale of your primary residence is usually exempt from GST, selling an investment property can […]
ATO: Trust Distribution Pitfalls to watch out for!
The Australian Taxation Office (ATO) has highlighted that their compliance activities frequently uncover errors made by trustees i.e. trust distribution pitfalls. These mistakes often stem from failing to adhere to trust deeds or neglecting to verify family trust elections. Consequently, as agents prepare for year-end distributions for their trust clients, the ATO recommends considering the […]
VIC PAYROLL TAX EXEMPTON
As of May 22, 2024, the Victorian Government has made significant changes to the payroll tax exemption for GPs. Here are the key points: Payroll tax is calculated based on wages paid to employees above a certain threshold. For metropolitan businesses, the payroll tax rate is 4.85%. Regional employers pay a lower rate of 1.2125% […]
ATO: Fringe Benefit’s Tax Rates 2024-2025
A fringe benefit is a ‘payment’ to an employee, but in a different form to salary or wages. According to the FBT legislation, a fringe benefit is a benefit provided in respect of employment. This effectively means a benefit is provided to somebody because they are an employee. These rates and thresholds apply for the […]
Client-to-Agent Linking
Businesses owners that operate using an ABN (excluding sole traders) will need to nominate a Tax or BAS agent using the digital id (myGovID) when engaging a new agent or re-engaging the services of a previous agent. Existing client/agent relationships won’t need to undertake this process, only new client/agent relationships are required to follow this […]
Superannuation & Deceased Will
On a person’s death, their superannuation benefits can only be paid directly to one or more ‘dependants’ as defined for superannuation purposes, unless they are paid to the deceased’s legal personal representative to be distributed in accordance with the deceased’s Will. Super paid after a person’s death is called a ‘super death benefit’. If the […]
Foreign Resident Capital Gains Withholding
When an Australian resident for tax purposes, sells property valued at $750,000 or more, they must have a FRCGW certificate to present to the purchaser at or before settlement. If an FRCGW is not provided 12.5% of the property purchase price must be withheld and paid to the ATO. To claim back the credit that […]
VIC Government Grants & Payments
The Victorian Government newest initiative is to pay up to 28 days of sick and carers pay to casual workers and contractors in certain jobs. Payments are made at the national minimum wage ($23.23 per hour) regardless whether it is for a claim for a weekday, weekend or public holiday. Some of the industries that […]
How are Working Holiday Makers (WHM’s) taxed!
Working holiday makers (WHM’s) may be taxed on the same basis as a resident Australian national if they are both: -from a non-discrimination article (NDA) country -an Australian resident for tax purposes. Criteria for same tax rate You may be taxed on the same basis as a resident Australian national if you satisfy all the following – you are: -the holder […]
ATO: Update to work-from-home deductions
The fixed rate method for calculating your deduction for working from home expenses has been revised. This revised method is available from 1 July 2022. To be eligible to claim a deduction for working from home expenses, you must: • incur additional running expenses as a result of working from home • be working from home […]