Government tenders and tax compliance

(14/12/2018) Do you run a business that would like to bid on Commonwealth government contracts or is likely to do so in the future? From 1 July 2019, the government is seeking to exclude from the tender process those businesses that do not have a “satisfactory tax record (STR)”. The initiative would apply to all […]

Working-from-home deductions for employees

(01/02/2019) If you are an employee and you sometimes work from home, you may be able to claim deductions for some of the expenses you incur, provided you are not reimbursed by your employer. Here, we consider two common types of expenses that employees may claim and how you must substantiate your deductions. Running expenses […]

Super changes to help women

(07/12/2018) In an effort to assist women experiencing family and domestic violence, the government has proposed to extend the ability to access early release superannuation based on feedback from the wider community. Currently, the early release of superannuation can only be provided in limited circumstances such as terminal illness and severe financial hardship. It is […]

What expenses can I deduct for my holiday home

(25/01/2019) Renting out your holiday home for part of the year can help to finance the costs associated with purchasing and maintaining the property. As well as providing an income stream, this will also allow you to deduct some of the expenses such as interest payments on a loan you have taken out to buy […]

Franking rules and company tax rates

(06/12/2018) The progressive lowering of company tax rates may have the effect of locking the benefit of any tax paid at a higher rate in the franking account. A company pays tax at a certain rate on the income year and franking debits accrue at that rate in that year. If dividends referable to that […]

Reforming the taxation of discretionary trusts

(08/02/2019) In recent years there has been much debate about the effectiveness and fairness of Australia’s current rules for taxing discretionary trusts. These trusts are very popular and are widely used for holding investments, conducting businesses and succession planning. However, a recent ATO-commissioned study that highlights several problems with trust taxation rules, together with changes […]

Data-matching paid parental leave and Medicare entitlements

(27/07/2018) ATO will acquire the details of individuals in receipt of paid parental leave payments and Medicare entitlement statements from the Department of Human Services for the 2017-18, 2018-19 and 2019-20 financial years for a data-matching program. The data items expected to be obtained for the parental leave scheme include information on the employer, recipient […]

New destination for super complaints

(21/09/2018) Previously if a member of a super fund had a complaint relating to the areas of regulated superannuation funds, annuities and deferred annuities, or retirement savings accounts, they would lodge the complaint with the Superannuation Complaints Tribunal (SCT), after approaching the fund first, of course. From 1 November 2018, these complaints will now be […]

Tax consequences of compensation for dodgy advice

(09/11/2018) The Royal Commission into misconduct in the banking, superannuation and financial services industry has revealed some major deficiencies in terms of financial advice provided to consumers. Even though the Commission itself cannot fix or award compensation or make orders to require parties to a dispute to take or not take any action, the media […]

Deemed dividends: changes are coming

(16/11/2018) If you own a private company, deemed dividend payments or Div 7A may be familiar to you. In short, it is designed to ensure that income is not inappropriately sheltered in corporate structures at the corporate tax rate. It usually applies when a private company provides a benefit to a shareholder (or their associate), […]