The Super Guarantee timing trap for employers
How employers are being caught out by the timing of superannuation guarantee payments. Employers can generally only claim a deduction for superannuation contributions in the income year in which the…
ATO take ‘gloves off’ on overseas income
Five years ago, the Australian Taxation Office (ATO) offered a penalty amnesty on undisclosed foreign income. Five years on, the ATO has again flagged that underreporting of foreign income is…
Tax warning on overseas income
Do you earn income overseas? A recent case highlights why you might pay more tax than you thought on foreign income. If you are an Australian resident and earn income…
Four Important Solvency Ratios
These important ratios help you manage your business. Whether you decide to prepare your own financial statements, to use a software program or to have them done for you by…
SMSF – Related Party Borrowings
The ATO has released a taxation determination regarding how it will apply the non-arm’s length income (‘NALI’) rules to income generated from assets purchased by an SMSF using a related…
Personal income tax cuts
The government has legislated the tax cuts originally announced in the May 2016 Budget, so that the marginal tax rate of 37% now starts at $87,000. The following are the…
The 'sharing economy' in the ATO's sights
The ATO is concerned that those earning money from the 'sharing economy' may not realise they have to declare these amounts on their tax return. In the sharing economy, buyers…
Minimum wage increase – 2.4%
Don't forget to increase wages for applicable employees More then 1.8 million employees earning the minimum wage can expect an extra 2.4% from their next pay period after the national…
Individual tax saving strategies prior to 1 July 2016
A good strategy to reduce tax payable is normally to accelerate any income tax deductions into the current income year, which will reduce overall taxable income in the current year.…
Taxpayer not a 'share trader' despite substantial share trades
Editor: In a recent case, a taxpayer undertook significant trades on the stock exchange and made losses, but was still found to be a 'share investor', rather than a share…