Low and middle income tax offset

A low and middle income tax offset (LAMITO) will be introduced from 1 July 2018. The offset will run in conjunction with the low income tax offset as a targeted reduction of income tax for Australian residents. The LAMITO will provide an additional offset of up to $200 for individuals on a taxable income of […]

ATO website updates — June 26, 2018

  • Latest news on tax law and policy — Details of proposed changes to tax and superannuation legislation and policy and how the ATO proposes to administer the changes. • Personal Income Tax Plan — The Personal Income Tax Plan was announced in the 2018/19 budget with changes to apply from the 2018/19, 2022/23 and 2024/25 income years. […]

Super guarantee opt-out coming for high earners

High earning individuals will have an option to opt-out of receiving certain superannuation guarantee amounts from 1 July 2018. Under the proposed legislation, employees earning over $263,157 with multiple employers will be allowed to receive additional cash from the second employer. This additional cash received in lieu of superannuation guarantee will prevent an inadvertent breach […]

NSW Government Announces Payroll Tax Cuts

The NSW Treasurer, Dominic Perrottet, has announced that the payroll tax threshold will be increased from the current level of $750,000 to $1m by 2021/22, ahead of its Budget on 19 June 2018. The threshold, the point at which companies start paying payroll tax, will rise to $850,000 in 2018/19, $900,000 in 2019/20, $950,000 in 2020/21 and […]

ATO website updates — Tax Time 2018

  • Clothing put through the wringer this tax time — The ATO is focusing on work-related clothing and laundry expenses this tax time and will closely examine taxpayers’ clothing claims. • Work-related clothing and laundry expenses media grabs — The ATO has announced that it will be closely examining claims for work-related clothing and laundry expenses and has […]

2017/18 year end – Business Client Opportunities and Checklists

As 30 June is almost upon us, now is an optimal time to check in with your clients for tax planning for the 2017/18 financial year. Achieving consistency throughout a firm a paramount to all accounting firm strategies. Developed with this in mind, these tools will provide confidence and consistency in approaching the year-end client […]

Insurance Policies in Super Proposed to Become “opt-in”

Insurance policies in superannuation will be changed from a default framework to an “opt-in” basis for certain members from 1 July 2019. The announcement from the 2018 federal budget is attempting to reduce the incidences of multiple insurance policies for individual which erode small super balances. Importantly, individual clients of yours need to be made […]

Propagation Arrangements Adopted by Registrable Superannuation Entities

The ATO has issued guidance on its compliance approach to the use of propagation arrangements used by registrable superannuation entities (RSEs) when selecting assets for disposal. It applies from 1 July 2018 and clarifies the ATO’s approach to these types of arrangements for the large superannuation industry. The Commissioner’s views on asset identification principles and […]

Tax Integrity and Other Measures Bill Introduced

A Bill to implement the OECD hybrid mismatch rules designed to strengthen the integrity of the tax system has been introduced into parliament. The Treasury Laws Amendment (Tax Integrity And Other Measures No 2) Bill 2018amends the ITAA 1997 to implement part of the OECD hybrid mismatch rules by preventing entities that are liable to income […]