Latest Blogs
Who is eligible for small business income tax offset?
It is always beneficial to claim potential income deductions and concessions. The Small Business Income Tax Offset is such a benefit for small business owners in Australia. It helps you reduce the tax amount you pay on your business income when you have to lodge your...
Tax Filing Tips for First-Time Filers
If you are lodging your tax return for the first time, then this blog is for you. Tax return lodgment is one of the most crucial steps that every Australian citizen should take. In this blog post, we’ll discuss what you should do if you are preparing and lodging a tax...
What is an ABN and What is It Used for?
An Australian Business Number, also called an ABN, identifies your business. ABN is required for tax and other business reasons. In this blog, we’ll discuss what an ABN is, what it is used for, and how long it takes to get an ABN. What is an ABN? An Australian...
Best Practices for Staying on Top of Your BAS
Business Activity Statements are one of the crucial factors of tax compliance for every business in Australia. BAS returns can help companies report their Pay-As-You-Go (PAYG) instalments, Goods and Services Tax, and other taxes. Late GST payment or BAS lodgment can...
Common Accounting Errors and Ways to Avoid Them
Accounting has become an indispensable part of a business for maintaining financial integrity and accuracy. A temporary pause in accounting practices can not only result in financial inaccuracy and inconsistency but also result in significant legal tax risks. That’s...
Tax Rulings and Guidance: Insights on Division 7A, Thin Capitalisation, GST, and ESIC Offsets
Division 7A and Guarantee Arrangements Under Section 109U, a private company is considered to have lent money to a shareholder or an associate of a shareholder if: The private company provides a guarantee for a payment or loan made by another entity. A reasonable...
Legislation: Build to Rent Determination and Royal Assent
Build-to-Rent Determination The Government has issued the Income Tax Assessment (Build to Rent Developments) Determination 2024, outlining the criteria for a dwelling to be classified as an “affordable dwelling” within the build-to-rent framework. The primary...
Updates from the Regulators: CPI Changes, Tax Reforms, and International Tax Developments
CPI Triggers 1 July TBC Increase After the December 2024 CPI figures are released, the general transfer balance cap (TBC) will rise from $1,900,000 to $2,000,000, effective 1 July 2025. This change may create tax-effective retirement pensions and non-concessional...
New Code of Conduct Guidance, Donation Reforms, and Charity Reporting Extensions
New Code of Conduct Guidance The Tax Practitioners Board (TPB) has released updated guidance related to the reforms of the Code of Professional Conduct (Code). These materials clarify the application of the eight new Code items outlined in the Tax Agent Services (Code...
What is the Tax Free Threshold in Australia?
Before submitting a tax return, you must be well aware of your income that is exempt from taxation. This blog will help you learn about the fundamentals of tax-free thresholds. The term ‘tax-free threshold’ indicates an annual income of an individual that doesn’t...
Understanding Small Business 15-Year CGT Exemption
Many small business owners invest all their extra money into their business and then use the money from selling it to fund their retirement. This is one of the best strategies, particularly if you are taking the benefits of several small business capital gains tax...
Why is Transparency in Accounting Important for a Company?
In today's fast-changing business world, trust is key to success, especially for small businesses that rely on strong community and customer relationships. One of the most important ways to build this trust is by being open and clear with accounting practices....
Understanding Tax Obligations for Your Business Structure
When starting a new business, you must know about your tax obligations. Meeting tax obligations is crucial to avoid unnecessary penalties or fines from the ATO. If you are unaware of tax obligations for your business in Melbourne, you can reach out to small business...
How Can an Accountant Add Financial Value to Your Business
Startup business owners or small business owners have to compete with much larger organisations. This can make them vulnerable to losing money because they don’t have a specialist who can manage their finances and provide financial advice to save money. That’s why...
Understanding Capital Gains Tax for Business Assets
Capital gains tax (CGT) affects businesses when a particular event takes place, such as the sale of a business or commercial property. You can defer or disregard some or all of a capital gain from an active asset with the small business CGT concessions. Depreciating...
6 Questions to Ask Your Accountant When Starting a Business
Are you a startup business owner? Starting a new business comes with excitement as well as challenges. Many startup business owners neglect using accounting services to save money, but they end up paying more than necessary due to their lack of knowledge regarding...
What Happens to Businesses If They Don’t Do Any Accounting?
Many business owners assume they don’t need accounting services because they run a small business and their finances are not complex. Unfortunately, this assumption leads to business failure as they find themselves struggling with managing business finances, making...
A Simple Guide to GST Credits and Fuel Tax Credits
Did you know that you can report and pay GST amounts and claim GST credits with BAS lodgment or annual GST return lodgment? You need to meet a few requirements to be eligible to claim GST credits. Despite this, you may also be eligible to register for fuel tax credits...
What Proof Does the ATO Need for Your Deductions
When you submit a tax return, you may be eligible to claim tax deductions for expenses incurred while working in a business if they are related to making assessable income. There are different types of business expenses you may be able to claim deductions for...
A Beginner’s Guide to Filling Out Your BAS
If you run a business, you need to lodge a Business Activity Statement (BAS) return to report your Goods and Services Tax (GST) obligations to the ATO. Usually, business tax turnover above $75,000 per annum needs to be registered for GST. Small business owners often...
Tax Deduction Denied for Basketball Shoe R&D
R&D tax deductions are crucial in promoting innovation, but a recent Federal Court decision regarding the Delly1 basketball shoe underscores the challenges of meeting stringent eligibility requirements. The Federal Court has rejected a sports company's appeal to...
Will there be changes in tax, super, and interest rates in 2025?
The past few years have been marked by significant instability. While 2025 offers the promise of greater stability and certainty, it does not guarantee it. Here, we examine some of the key changes and challenges ahead. Legislation in Limbo On the final sitting day of...
Tax and Tinsel: Can You Avoid Giving Christmas Gifts to the ATO?
With Christmas rapidly approaching, it's important to understand how your spending could impact your tax responsibilities. From holiday parties and staff gifts to client entertainment, the ATO has specific guidelines on what can and cannot be deducted. How to make...
Do You Need Help from an Accounting Firm for Your Startup?
Many startup business owners find it challenging to perform all the tasks involved in growing their businesses. From record-keeping and payroll to sales management, everything should be done properly to ensure consistency in a business. Keeping everything organised...
Legislative Changes: Super, Foreign Resident Capital Gains, and Build-to-Rent Incentives
Objective of super Superannuation (Objective) Bill 2023 The Bill, which enshrines the objective of superannuation, has passed both Houses of Parliament and awaits Royal Assent. The objective is to preserve savings for a dignified retirement, alongside government...
Rulings, Determinations & Guidance on Section 99B
Section 99B - Benefits from Non-Resident Trusts The ATO has updated its guidance on the functions of section 99B of the ITAA 1936. Section 99B ensures that payments made to a beneficiary who has been an Australian resident during the relevant income year are taxed...
Updates on Family Trust Elections, FBT Alert, and NFP Self-Review Returns
The ATO has issued a reminder to trustees about important considerations for making Family Trust Elections (FTE) and Interposed Entity Elections (IEE). An FTE makes the trust a "family trust" for tax purposes, but it must pass the family control test. The election...
Government Updates: Charity, Beneficial Ownership, and Super Reforms
Community Charity Guidelines The Treasury has released the exposure draft of the Taxation Administration Guidelines 2024, with responses due by 3 December 2024. These guidelines apply to deductible gift recipients (DGRs) within the new community charity category and...
Analysing Financial Health with Small Business Accountants
Understanding and assessing your company’s financial situation is an essential aspect of effective business management. Working capital is a crucial aspect, which provides you with a clear picture of your business’s financial situation. Now, the question arises: How...
How to Choose Accounting Software for Your Business?
In this digital era, every company uses accounting software to streamline the accounting process. Accounting software has made the lives of business owners easy by boosting efficiency and ensuring minimum mistakes as much as possible. With the right accounting...