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<channel>
	<title>Blog Feed</title>
	<link>https://www.taxslayer.com.au/blog</link>
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<item>
<link>https://www.taxslayer.com.au/blog/march-newsletter-117s193</link>
<title><![CDATA[March Newsletter]]></title>
<description><![CDATA[Included are the following:

&bull; When to Update Your Business Trading Terms

&bull; Payday Super part 1: understanding the new law

&bull; Payday Super part 2: not quite &lsquo;all systems go&rsquo;

&bull; Deceptive Conduct in Business Sales: Your Legal Rights

&bull; 6 ways to improve your business plan

&bull; Heading overseas? Centrelink and the ATO might need to know
]]></description>
<content><![CDATA[Included are the following:

&bull; When to Update Your Business Trading Terms

&bull; Payday Super part 1: understanding the new law

&bull; Payday Super part 2: not quite &lsquo;all systems go&rsquo;

&bull; Deceptive Conduct in Business Sales: Your Legal Rights

&bull; 6 ways to improve your business plan

&bull; Heading overseas? Centrelink and the ATO might need to know
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-newsletter-117s193</guid>
<pubDate>23 Feb 2026 03:31:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-newsletter-117s192</link>
<title><![CDATA[December Newsletter]]></title>
<description><![CDATA[Topics included are the following:

&bull; Restructuring Family Businesses: From Partnership to Limited Company

&bull; Right to disconnect.

&bull; Small Business benchmarks

&bull; Tax and your child&rsquo;s money: what parents need to know, including TFNs

&bull; When Business Culture matters

&bull; Reminder: Non deductibility of ATO interest charges for businesses

&bull; How safe is your business from scams
]]></description>
<content><![CDATA[Topics included are the following:


	Restructuring Family Businesses: From Partnership to Limited Company
	Right to disconnect.
	Small Business benchmarks
	Tax and your child&rsquo;s money: what parents need to know, including TFNs
	When Business Culture matters
	Reminder: Non deductibility of ATO interest charges for businesses
	How safe is your business from scams

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-newsletter-117s192</guid>
<pubDate>02 Feb 2026 00:17:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2025-117s191</link>
<title><![CDATA[September 2025]]></title>
<description><![CDATA[Topics Include:


	Employee or Contractor
	7 Steps to Dealing With a Legal Issue or Dispute
	Prepare for Div 296 now
	ATO warns SMSF trustees to be aware of an increase in scams
	Benefits of a Business Plan
	Benchmarking for small businesses

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2025-117s191</guid>
<pubDate>27 Aug 2025 00:20:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/excel-cashbook-2026-tax-year-117s190</link>
<title><![CDATA[Excel Cashbook - 2026 Tax Year]]></title>
<description><![CDATA[Recommended for Sole Traders ONLY who are:

-Not registered for GST
-Not employing staff
]]></description>
<content><![CDATA[If you are registered for GST or employ staff we recommend you use Xero bookkeeping software - contact us for further information.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/excel-cashbook-2026-tax-year-117s190</guid>
<pubDate>29 Jul 2025 04:34:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2025-individual-tax-return-checklist-117s189</link>
<title><![CDATA[2025 Individual Tax Return Checklist]]></title>
<description><![CDATA[Our individual tax return checklist. will assist you in preparing your tax return &amp; getting your maximum refund
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2025-individual-tax-return-checklist-117s189</guid>
<pubDate>06 Jun 2025 15:29:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2025-117s188</link>
<title><![CDATA[June 2025]]></title>
<description><![CDATA[Topics Include


	2025 Tax Planning Guide Part 1
	2025 Tax Planning Guide Part 2
	Guide to buying a business.
	$20,000 instant asset write-off
	2025 tax time checklist

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2025-117s188</guid>
<pubDate>02 Jun 2025 01:08:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/cars-companies-trusts-117s187</link>
<title><![CDATA[Cars - Companies &amp; Trusts]]></title>
<description><![CDATA[There are different Tax &amp; GST treatments depending on the type of car you purchase, the entity type that purchases it, and who drives it

Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

Other Vehicles

These are vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Some vehicles i.e. dual cab utes can be either a Car or Other Vehicle so the specifications need to be reviewed

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
]]></description>
<content><![CDATA[There are different Tax &amp; GST treatments depending on the type of car you purchase, the entity type that purchases it and who drives it

These rules apply to Companies &amp; Trusts

Other Vehicles

These are motor vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Some vehicles i.e. dual cab utes can be either a Car or Other Vehicle so the specifications need to be reviewed

Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
 

TAX

Other Vehicles (not designed principally to carry passengers)

Depreciation deduction limits DO NOT apply

Under $20,000 (purchased between 01/07/2023 - 30/06/2025)
Under $1,000 (purchased between 01/07/2025 - 30/06/2026)

If your company / trust business (small business entity) buys a car for less than $20,000 (pre 30/05/2025) / $1,000 (post 01/07/2025) (net of GST) then the business use portion * is fully deductible when purchased

The car must be delived by 30 June if you want to claim the deduction in that particular tax year

Over $20,000 (purchased between 01/07/2023 - 30/06/2025)
Over $1,000 (purchased between 01/07/2025 - 30/06/2026)*

If your company / trust business (small business entity) buys a car for less than $20,000 (pre 30/05/2025) / $1,000 (post 01/07/2025) (net of GST) then car * is added to the general asset pool and depreciated at 15% in year 1, then 30% in year 2 onwards

The car must be delived by 30 June if you want to claim the deduction in that particular tax year

* Business use is 100% provided private use is minor, infrequent &amp; irregular (i.e. less than 1,000km per year &amp; 200km in any one trip). Home to work is normally a private trip BUT not counted for this purpose. If private use is more than that then we recommend you preare a log book to determine the private use adjustment (see below)


Cars (designed principally to carry passengers)

Depreciation deduction limits DO apply

Under $20,000 (purchased between 01/07/2023 - 30/06/2025)
Under $1,000 (purchased between 01/07/2025 - 30/06/2026)

If your company / trust business (small business entity) buys a car for less than $20,000 (net of GST) then it is fully deductible when purchased

The car must be delived by 30 June if you want to claim the deduction in that particular tax year

 

Over $20,000 (purchased between 01/07/2023 - 30/06/2025)
Over $1,000 (purchased between 01/07/2025 - 30/06/2026)

If your company / trust business (small business entity) buys a car for more than $20,000 (net of GST) then the car is added to the general asset pool and depreciated at 15% in year 1, then 30% in year 2 onwards 

Note that depreciation limits apply (see below) in that there is a maximum than can be added to the general asset pool - the remainder is not tax deductible

The car must be delived by 30 June if you want to claim the deduction in that particular tax year

 

GST

Other Vehicles (not designed principally to carry passengers)

GST limits DO NOT apply

If your company / trust business (small business entity) pays GST as part of a car purchase then the GST is fully claimable

When GST is claimable depends on whether you are registered on a cash or accrual basis and how it is financed

 

Cars (designed principally to carry passengers)

GST limits DO apply

If your company / trust business (small business entity) pays GST as part of a motor vehicle purchase then the GST is fully claimable subject to the GST limit (see below)

When GST is claimable depends on whether you are registered on a cash or accrual basis and how it is financed

 

Depreciation limits

 

2024 $68,108
2025 $69,674 (ATO link)

GST limits

2024 $6,191
2025 $6,334 (ATO link)

Private use adjustment


	If your car has private use then you must make an adjustment in the books
	 
	
	Directors

	
		You can make adjustment to loan a/c (recommended) OR you can elect to pay fringe benefits tax
		Use the lower of:-
		
			statutory method
			
				20% x car cost
			
			
			operating method
			
				log book % - must provide work use %
				your car expenses need to be kept separate in the bookkeeping file
				Journal (must be done in Q4) as follows
				
					Debit director loan - note this may cause Div7A issue
					Credit GST payable (owing to ATO)
					Credit fringe benefit adjustment (income)
				
				
			
			
		
		
	
	
	
	Employees

	
		
		you CANNOT make an adjustment to the director&#39;s loan account - you MUST do the following each FBT year (01/04 - 31/03)
		
		P&#x200B;&#x200B;&#x200B;repare fringe benefit tax return - use the lower of 
		
			statutory method
			
				20% x car cost
			
			
			operating method
			
				log book % - must provide work use %
				
				your car expenses need to be kept separate in the bookkeeping file
				
			
			
		
		
	
	

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/cars-companies-trusts-117s187</guid>
<pubDate>06 May 2025 00:12:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2025-117s186</link>
<title><![CDATA[March 2025]]></title>
<description><![CDATA[Topics Include


	Spouse Contribution Splitting
	Exploring early compassionate release of super
	Choosing the right structure for your business
	Are payments made to Contractors considered as wages?
	Is it time for a website upgrade or makeover?
	Cash is King

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2025-117s186</guid>
<pubDate>01 May 2025 00:09:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/renting-out-your-home-117s185</link>
<title><![CDATA[Renting out your home]]></title>
<description><![CDATA[I am looking to rent out my home (main residence) and move into my holiday home

Questions:

-Can I negatively gear my home?
-What records do I need to keep?
]]></description>
<content><![CDATA[I am looking to rent out my home (main residence) and move into my holiday home

Questions:

-Can I negatively gear my home?
-What records do I need to keep?

Can I negatively gear my home?

Yes, but negative gearing only occurs when the property makes a loss i.e. expenses are greater than income. If you make a profit it will be positive geared.

Expenses include - water rates, council rates, land tax, insurance, repairs, depreciation, loan interest etc

Notes-
-rental income must be at market rates - if below market rates the expenses will be limited to income received (see ATO IT 2167 para16)

-interest expense - interest is only claimable if it was &quot;used&quot; for an income producing purpose i.e purchase / renovate a rental property. If you draw down on your loan and use the money for a private purpose then that portion will not be tax deductible. If there is currently a loan on your home you will need to determine how much of the loan was used to by your home versus how much was used for private purposes

-repairs versus capital items. Repairs are deductible when incurred whereas capital items are depreciated over a number of years.

What records do I need to keep?

Receipts

Most rental properties have the following expenses:
-Council rates (4x instalments)
-Water rates (4x instalments)
-Insurance
-Loan interest
-Loan annual / monthy fee
-Repairs / Capital purchases
-Depreciation

Some properties also have
-Land Tax
-Body corporate fees (4x instalments)

see these links for more information
https://www.taxslayer.com.au/blog/rental-property-checklist-117s106
https://www.taxslayer.com.au/blog/rental-property-worksheet-117s159

Valuations

You will need to have your home valued when its use changes from being your main residence to a rental property. You will also need to do the same for your investment property as its use is changing to be your main residence. Note that the valuation must stipulate that it is for capital gains tax purposes - a valuation done by a local real estate will not suffice.

You will need evidence to prove that your home is in fact your main residence. As a rule of thumb you should have 7 or more pieces of evidence eg- main residence address is updated with Medicare, Vic Roads, banks, kids school, Electoral Office, telephone provider, ATO and so on  
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/renting-out-your-home-117s185</guid>
<pubDate>14 Jan 2025 12:21:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/macquarie-bank-117s184</link>
<title><![CDATA[Macquarie Bank]]></title>
<description><![CDATA[We are aware of scammers posing as Macquarie Staff, requesting &#39;authorisation codes&#39; to cancel payments. Never share authorisation codes, passwords or card details, as these can be used to make fraudulent payments. If you have doubts about communications you have received contact scams@macquarie.com. Stay alert to risks at the Macquarie Scams Hub
]]></description>
<content><![CDATA[We are aware of scammers posing as Macquarie Staff, requesting &#39;authorisation codes&#39; to cancel payments. Never share authorisation codes, passwords or card details, as these can be used to make fraudulent payments. If you have doubts about communications you have received contact scams@macquarie.com. Stay alert to risks at the Macquarie Scams Hub
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/macquarie-bank-117s184</guid>
<pubDate>24 Dec 2024 01:51:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/chasing-up-debtors-117s183</link>
<title><![CDATA[Chasing up Debtors]]></title>
<description><![CDATA[You need to be consistent and follow up

Sometimes you are at the mercy of your customer i.e. they pay 30days from statement - if this is the case then you can&#39;t do much other than send the statement on time ie 1st day of the month

If you can force your client to pay prior to the work being done then great - that alone should get you paid

If not then consider getting the to pay for your costs upfront that way at least they are covered

Set your terms eg 7days from invoice

Automate as much as possible
]]></description>
<content><![CDATA[*day 1 - send invoice

*day 8 - send statement

*day 15 - send overdue payment reminder

*day 16 - phone call ask them when they will pay eg next Tues

Hi Client, I am following up on payment of my invoice for $ that was sent to you on (date). Just making sure you received it and when can we expect payment.

*On the Wed call again and ask again when they will pay

*if still not paid after that
-stop credit
-COD only
-send final notice

if not paid within another 7 days consider taking legal action

-letter from solicitor
-mediation
-court proceedings

see also https://business.vic.gov.au/business-information/finance/get-paid-on-time/manage-overdue-payments-and-debt-recovery

 

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/chasing-up-debtors-117s183</guid>
<pubDate>17 Dec 2024 00:19:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2024-117s182</link>
<title><![CDATA[December 2024]]></title>
<description><![CDATA[Topics Include


	Chritmas Parties and Fringe Benefits
	Cyber Security for Small Business
	Business Success Tips
	How to read a Balance sheet

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2024-117s182</guid>
<pubDate>25 Nov 2024 01:47:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/westpac-scams-what-we-never-do-117s181</link>
<title><![CDATA[Westpac Scams &Acirc;&#150; &Acirc;&quot;what we never do&Acirc;&quot;]]></title>
<description><![CDATA[&lrm;If you are contacted by someone who claims to be Westpac, including those claiming to be from our Fraud or Security team, we will never ask you to complete any of the following actions:

&bull;  Share a Password for Online Banking
&bull;  Read us an Online Banking Security Code, sent via SMS Code or displayed on a Token
&bull;  Ask you to install software that allows us to connect to your device (e.g. Anydesk/Team Viewer/Zoho/Splashtop)
&bull;  Sign into your Online Banking with remote access software on your device.


&lrm;If you receive a call like this, please hang up immediately and call us on 132 032, who can validate any banking activity.
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/westpac-scams-what-we-never-do-117s181</guid>
<pubDate>26 Oct 2024 00:18:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2024-117s180</link>
<title><![CDATA[September 2024]]></title>
<description><![CDATA[Topics Include


	Estate Planning Considerations
	5 Checklists to Support your Business
	Supperannuation Changes from 1 July
	End of the Road for your Business 
	Changes to Casual Employment
	7 Steps to Dealing with a Legal Dispute
	&lsquo;Bleisure&rsquo; travel claims in ATO sights

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2024-117s180</guid>
<pubDate>18 Sep 2024 03:42:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sole-traders-using-bank-statements-117s179</link>
<title><![CDATA[Sole Traders using bank statements]]></title>
<description><![CDATA[What information do I need to provide prior to my appointment?
]]></description>
<content><![CDATA[What information do I need to provide prior to my appointment?

If you haven&#39;t entered your business transactions into bookkeeping software eg Xero or into an excel cashbook we will prepare your tax return using bank statements and supporting documentation.

We don&#39;t recommend face to face appointments for most sole trader tax returns because they are too complex and time consuming to be done on the spot.

Step 1
Download your bank transactions for the full year (01/07 - 30/06) into a .csv file

Tip - have a dedicated business bank account so we don&#39;t have to waste time sorting through your private transactions

What deductions you can claim (link)

Step 2
Email us
- your csv file (from step 1)
- purchase and finance documents for any assets under finance eg cars

Step 3
We will sort and review your transactions to determine your net business income
We will then email you with our queries and once resolved we finalise your tax return and email it to you.

 

Cars
Please provide the following information for each car used in your business
-make &amp; model
-owner
-driver
-business use % (log book)
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sole-traders-using-bank-statements-117s179</guid>
<pubDate>08 Jul 2024 08:46:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sole-traders-using-excel-117s178</link>
<title><![CDATA[Sole Traders using Excel]]></title>
<description><![CDATA[What information do I need to provide prior to my appointment?
]]></description>
<content><![CDATA[What information do I need to provide prior to my appointment?

We don&#39;t recommend face to face appointments for most sole trader tax returns because they are too complex and time consuming to be done on the spot.

Step 1
Make sure your Excel file is complete up to 30 June

Step 2
Email us
- your Excel file
- purchase and finance documents for any assets under finance eg cars

Step 3
We will review your transactions to determine your net business income
We will then email you with our queries and once resolved we finalise your tax return and email it to you.

 

Cars
Please provide the following information for each car used in your business
-make &amp; model
-owner
-driver
-business use % (log book)

Here is a link to our cashbook
https://www.taxslayer.com.au/blog/category/free-resources
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sole-traders-using-excel-117s178</guid>
<pubDate>08 Jul 2024 08:21:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sole-traders-using-xero-myob-etc-117s177</link>
<title><![CDATA[Sole Traders using Xero, MYOB etc]]></title>
<description><![CDATA[What information do I need to provide prior to my appointment?
]]></description>
<content><![CDATA[What information do I need to provide prior to my appointment?

We don&#39;t recommend face to face appointments for most sole trader tax returns because they are too complex and time consuming to be done on the spot.

Step 1
Make sure your Xero file is reconciled up to 30 June

Step 2
Invite us into your Xero file - we will send you an email with instructions

Step 3
Provide us with the following:

1-bank statements (including credit cards) @ 30 June
2-assets under finance - documents for all new assets purchased during the year which are under finance

Upon starting your job we will do some checks - if we find errors / items that need reconciling we will let you know. You will have 3 options

1-fix the Xero file yourself
2-have our bookkeeper, Arrow Bookkeeping, fix your Xero file @ $88/hr - we will oncharge the bookkeeping fees onto you - we will provide a fee estimate before starting any bookkeeping work
3-have your own bookkeeper fix the Xero file

Step 4
We will review your Xero file to determine your net business income
We will then email you with our queries and once resolved we finalise your tax return and email it to you

 

Cars
Please provide the following information for each car used in your business
-make &amp; model
-owner
-driver
-business use % (log book)
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sole-traders-using-xero-myob-etc-117s177</guid>
<pubDate>08 Jul 2024 07:57:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/scam-new-mygov-message-117s176</link>
<title><![CDATA[Scam - New MyGov Message]]></title>
<description><![CDATA[New scam doing the rounds at tax time

It&#39;s pretty obvious that its a scam when you look at the url and poor gramamar

Log into MyGov using your app - NEVER click on a link from an email
]]></description>
<content><![CDATA[ 

New scam doing the rounds at tax time

It&#39;s pretty obvious that its a scam when you look at the url and poor gramamar

Log into MyGov using your app - NEVER click on a link from an email
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/scam-new-mygov-message-117s176</guid>
<pubDate>28 Jun 2024 03:55:00 GMT</pubDate>
<enclosure url='https://www.taxslayer.com.au/uploads/117/176/med-New-Scam-New-MyGov-Message.jpg' length='110525' type='image/jpeg'/>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2024-2025-australian-government-budget-for-individuals-117s175</link>
<title><![CDATA[2024-2025 Australian Government Budget for Individuals]]></title>
<description><![CDATA[2024-2025 Australian Government Budget for Individuals

Easing the cost-of-living pressures, taking pressure off Australians
]]></description>
<content><![CDATA[Easing the cost-of-living pressures, taking pressure off Australians
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2024-2025-australian-government-budget-for-individuals-117s175</guid>
<pubDate>19 Jun 2024 01:34:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2024-2025-australian-government-budget-for-sbe-117s174</link>
<title><![CDATA[2024-2025 Australian Government Budget for SBE]]></title>
<description><![CDATA[2024-2025 Australian Government Budget for Small Business

Delivering a better deal for small businesses
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2024-2025-australian-government-budget-for-sbe-117s174</guid>
<pubDate>19 Jun 2024 01:28:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/company-wages-dividends-drawings-117s173</link>
<title><![CDATA[Company wages, dividends &amp; drawings]]></title>
<description><![CDATA[Company owners can take company profits as

1-Wages
2-Dividends
]]></description>
<content><![CDATA[Company owners can take profits as


	Wages
	Dividends


 

Wages

We recommend setting a realistic wage which


	reflects your time and skills
	you can live off without the need to take additional drawings
	takes into consideration other business &amp; individual factors (see below list)


Pro&rsquo;s


	consistent income
	tax is withheld
	super guarantee is paid
	covered by Work Cover insurance


Con&rsquo;s


	cash flow
	may increase payroll tax


 

Dividends

Company profits can either be retained by the company or paid to shareholders as dividends

Franked dividends = profits which have been taxed
Unfranked dividends = profits that have not been taxed

Shareholders include the dividends in their personal tax returns and are taxed at marginal tax rates. If company tax has already been paid the shareholder receives a credit which prevents double taxation

 

Owner Drawings

We DO NOT recommend taking drawings

The ATO has put rules in place (Division 7A) to discourage company owners from taking drawings

The rules are aimed at preventing owners from taking company profits which have been taxed at 25% or 30% instead of paying the profits as wages or dividends and being taxed at marginal tax rates up to 47% including the 2% Medicare Levy. Even if your tax rate is below the company rate you will still be caught by these rules

Where a business owner takes drawings it will be treated as a loan

If the loan is not paid back by the time the company&#39;s tax return is due or the actual date of lodgment then the loan needs to be converted to a Division 7A loan

 

Division 7A Loans


	must be paid back within 7 years
	minimum repayments must be made each year
	interest applies


Shareholders can make loan repayment in 3 ways


	by physically paying the $ back to the company
	by paying additional wages without taking the $
	by paying a dividend without taking the $


Shareholders are effectively forced to either repay the loan or include the drawings in their personal tax returns

 

Before paying yourself a wage &amp; business profits you need to consider how it will affect the following, where applicable:-

Business


	Profits
	Cash flow
	Work cover insurance premiums
	Superannuation guarantee
	Payroll tax
	Director (Div 7A) Loans
	Business finance applications
	Valuing your business
	Selling your business


 

Individual


	Taxable Income
	Adjusted Taxable Income &ndash; including reportable super &amp; reportable fringe benefits
	Income tax rates including the tax-free threshold
	Tax return offsets
	Government benefits such as Child Care Benefit &amp; Family Tax Benefit
	Study and training loan repayment thresholds and rates eg HECS
	Medicare levy
	Medicare levy surcharge
	Leave entitlements
	Income protection insurance claims
	Work cover insurance claims
	Concessional superannuation contribution limits
	Government super co-contribution
	Div 293 tax
	Personal finance applications - banks will use your latest notice of assessment and will also want to see the business is profitable after adding back items such as depreciation
	Child support

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/company-wages-dividends-drawings-117s173</guid>
<pubDate>17 Jun 2024 14:50:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/home-loans-117s172</link>
<title><![CDATA[Home Loans]]></title>
<description><![CDATA[Think Advantage Home Loans

Smart Happy Money
]]></description>
<content><![CDATA[https://www.thinkadvantage.com.au/

https://www.smarthappymoney.com/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/home-loans-117s172</guid>
<pubDate>12 Jun 2024 03:47:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/bookkeeper-117s171</link>
<title><![CDATA[Bookkeeper]]></title>
<description><![CDATA[Arrow Bookkeeping
]]></description>
<content><![CDATA[https://www.arrowbookkeeping.com.au/

Ask for Natalie
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/bookkeeper-117s171</guid>
<pubDate>12 Jun 2024 03:31:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/lawyer-117s170</link>
<title><![CDATA[Lawyer]]></title>
<description><![CDATA[The Beaumont Group
]]></description>
<content><![CDATA[https://www.thebeaumontgroup.com.au/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/lawyer-117s170</guid>
<pubDate>12 Jun 2024 03:30:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sale-of-rental-investment-property-117s169</link>
<title><![CDATA[Sale of Rental Investment Property]]></title>
<description><![CDATA[Here is a list of information required to work out the capital gain / loss on the sale of your investment property
]]></description>
<content><![CDATA[Here is a list of information required to work out the capital gain / loss on the sale of your investment property

 

1-A full history of the property&#39;s use (from the day you bought it until the day it is sold)

-dates you lived in it
-dates it was used to earn rental or business income
-dates it was sitting idle

Where its use changed from a non-taxable to a taxable purpose (&amp; vice versa) you&#39;ll need to obtain a professional valuation to determine it&#39;s value at the time its use changed
eg when it changed from being your Principle Place Of Residence (PPOR) to an Investment Property

The valuation needs to be from a qualified valuer noting that it is for capital gains tax purposes (a 2 page valuation from a local real estate agent won&#39;t be sufficient)

 

2-Whose name is on title (eg owned 50:50 between spouses)

If unsure refer to the title
If you can&#39;t find the title contact your bank or the titles office in your state

 

3-Purchase information

Purchase date (note that the purchase date is the contract date - not settlement date)

Purchase costs
-purchase price
-stamp duty
-conveyancer / legal fees
-adjustments

Other
-Div 43 depreciation claimed (Building) [your accountant will work this out]
-Div 40 depreciation balancing charge (Fittings &amp; Furniture) [your accountant will work this out]
-You may be able to add to the purchase costs expenses which were not deductible in a prior year eg holding costs

 

4-Sale information

Sale date (note that the sale date is the contract date - not settlement date)

Selling costs
-sale price
-sales agent fee
-conveyancer / legal fees
-adjustments

 

Documents to supply

-purchase contract &amp; settlement statement
-stamp duty payment amount
-sales contract &amp; settlement statement
-anything else that may be relevant

 

Caital gains tax calculations

Sell price (your ownership share)
Less costs(your ownership share)
Equals gain / (loss) (your ownership share)

Less prior year carry forward capital losses
Sub-total

Less applicable discounts (individuals receive a 50% general capital gains discount where the property is owned &gt;12mths)
Equals taxabble gain * / (loss)

You pay marginal income tax on the taxable gain *

Note- Capital losses are carried forward until they can be offset a future capital gain

 

Principle place of residence (PPOR) exemption

It must be established that it was your principle place of residence eg lived there for 6mths or more
You will need to have proof of this eg records from
-government agencies eg vic roads, medicare, electoral office, and
-other records eg bank, bills

You can only have 1 PPOR at a time so if you (or spouse) had another property at the same time you need to choose which one was your PPOR (assuming both properties qualified as PPOR)
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sale-of-rental-investment-property-117s169</guid>
<pubDate>06 Jun 2024 04:03:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2024-individual-tax-return-checklist-117s168</link>
<title><![CDATA[2024 Individual Tax Return Checklist]]></title>
<description><![CDATA[Our individual tax return checklist. will assist you in preparing your tax return &amp; getting your maximum refund
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2024-individual-tax-return-checklist-117s168</guid>
<pubDate>03 Jun 2024 04:43:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/motor-vehicles-117s167</link>
<title><![CDATA[Motor Vehicles]]></title>
<description><![CDATA[Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

Depreciation limits apply (ATO link)
2024 $68,108
2025 $69,674
(exclusive of GST)

GST limits

2024 $6,191
2025 $6,334 (ATO link)

 

Other Vehicles

These are vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Depreciation limits DO NOT apply

Some vehicles i.e. dual cab utes can be either a Motor Vehcile or Car so the specifications need to be reviewed

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
]]></description>
<content><![CDATA[Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

Depreciation limits apply (ATO link)
2024 $68,108
2025 $69,674
(exclusive of GST)

GST limits

2024 $6,191
2025 $6,334 (ATO link)

 

Other Vehicles

These are vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Depreciation limits DO NOT apply

Some vehicles i.e. dual cab utes can be either a Motor Vehcile or Car so the specifications need to be reviewed

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/motor-vehicles-117s167</guid>
<pubDate>02 Jun 2024 12:17:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/cars-sole-traders-117s166</link>
<title><![CDATA[Cars - Sole Traders]]></title>
<description><![CDATA[There are different Tax &amp; GST treatments depending on the type of car you purchase and the entity that purchases it

Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

Other Vehicles

These are vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Some vehicles i.e. dual cab utes can be either a Car or Other Vehicle so the specifications need to be reviewed

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
]]></description>
<content><![CDATA[There are different Tax &amp; GST treatments depending on the type of car you purchase and the entity type that purchases it

These rules apply to Sole Traders

Cars

These are motor vehicles which are designed to carry both:
-a load less than one tonne
-fewer than 9 passengers

Examples: sedan, SUV

Other Vehicles

These are vehicles which ARE NOT designed principally to carry passengers
Examples: van, single cab ute

Depreciation limits DO NOT apply

Some vehicles i.e. dual cab utes can be either a Car or Other Vehicle so the specifications need to be reviewed

If unsure as to what type of vehicle you are buying speak to your accountant BEFORE buying it
 

Tax

Motor Vehicles (not designed principally to carry passengers)

Depreciation deduction limits DO NOT apply

Under $20,000 (purchased between 01/07/2023 - 30/06/2025)
Under $1,000 (purchased between 01/07/2025 - 30/06/2026)*

If your sole trader business (small business entity) buys a motor vehicle for less than $20,000* (net of GST) then the business use portion * is fully deductible when purchased

The vehicle must be delived by 30 June if you want to claim the deduction in that particular tax year

* To determine the business use portion we recommend you preare a log book

Over $20,000 (purchased between 01/07/2023 - 30/06/2025)
Over $1,000 (purchased between 01/07/2025 - 30/06/2026)*

If your sole trader business (small business entity) buys a motor vehicle for more than $20,000* (net of GST) then the business use portion * is added to the general asset pool and depreciated at 15% in year 1, then 30% in year 2 onwards

The vehicle must be delived by 30 June if you want to claim the deduction in that particular tax year

* To determine the business use portion we recommend you preare a log book


Cars (designed principally to carry passengers)

Depreciation deduction limits DO apply

Under $20,000 (purchased between 01/07/2023 - 30/06/2025)
Under $1,000 (purchased between 01/07/2025 - 30/06/2026)

If your sole trader business (small business entity) buys a car for less than $20,000 (net of GST) then the business use portion * is fully deductible when purchased

The vehicle must be delived by 30 June if you want to claim the deduction in that particular tax year

* To determine the business use portion you MUST preare a log book

Over $20,000 (purchased between 01/07/2023 - 30/06/2025)
Over $1,000 (purchased between 01/07/2025 - 30/06/2026)

If your sole trader business (small business entity) buys a car for more than $20,000 (net of GST) then the business use portion * is added to the general asset pool and depreciated at 15% in year 1, then 30% in year 2 onwards

Note that depreciation limits apply (see below) in that there is a maximum than can be added to the general asset pool - the remainder is not tax deductible

The vehicle must be delived by 30 June if you want to claim the deduction in that particular tax year

* To determine the business use portion you MUST preare a log book

 

GST

Motor Vehicles (not designed principally to carry passengers)

GST limits DO NOT apply

If your sole trader business (small business entity) pays GST as part of a motor vehicle purchase then the business use portion * of the GST is fully claimable

When GST is claimable depends on whether you are registered on a cash or accrual basis and how it is financed

* To determine the business use portion we recommend you preare a log book


Cars (designed principally to carry passengers)

GST limits DO apply

If your sole trader business (small business entity) pays GST as part of a motor vehicle purchase then the business use portion * of the GST is fully claimable subject to the GST limit (see below)

When GST is claimable depends on whether you are registered on a cash or accrual basis and how it is financed

* To determine the business use portion you MUST preare a log book

Depreciation limits

2024 $68,108
2025 $69,674 (ATO link)

GST limits

2024 $6,191
2025 $6,334 (ATO link)
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/cars-sole-traders-117s166</guid>
<pubDate>29 May 2024 14:32:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2024-117s165</link>
<title><![CDATA[June 2024]]></title>
<description><![CDATA[Topics Include


	2024/2025 Federal Budget
	Tax Planning - 2024 Year End
	Tax Return Checklists

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2024-117s165</guid>
<pubDate>27 May 2024 03:38:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-payg-tax-instalments-117s164</link>
<title><![CDATA[ATO PAYG tax instalments]]></title>
<description><![CDATA[Q1- My personal tax return has just been prepared and I am getting a tax refund of $2,000 but I also have an activity statement debt of $8,000. Why is that?

Q2- Why does the ATO want me to pay tax instalments?

Q3- Can I vary the ATO instalments?
]]></description>
<content><![CDATA[Q1- My personal tax return has just been prepared and I am getting a tax refund of $2,000 but I still have an activity statement debt of $8,000. Why is that?

A- When we prepare your individual tax return we must included tax instalments which have been raised by the ATO whether or not they have been paid

Example:

Taxable Income $50,000
Tax payable $6,000
less Instalments raised $8,000
Equals $2,000 refund

If the tax instalment had never been raised the tax payable would have been $6,000

But as the instalments had been raised you need to pay $8,000 (activity statement debt) less $2,000 (income tax refund) = $6,000 net

Same result overall

 

Q2- Why does the ATO want me to pay tax instalments

A- because you received untaxed business or investment income the last time you lodged. The ATO assumes the same will happen the following year (until you lodge again) and they want their money now as opposed to waiting until you lodge

Assuming you had to pay $6,000 tax last year then the ATO will ask you to pay $6,000 (plus a small increase) during the following year in quarterly instalments (30/9 &amp; 31/12 &amp; 31/3 &amp; 30/6) i.e. 4x $1,500

In saying that if this is the first time you had untaxed business or investment income and you don&#39;t lodge until May of the following year then that only leaves the ATO with only 1x quarter to ask you for next year&#39;s tax in advance i.e. The June instalment will be $6,000 (as opposed to 4 quartlery instalments of $1,500 each)

Entry Thresholds

If you are an individual (including a sole trader) or trust, you will automatically enter the PAYG instalments system if you have all of the following:


	instalment income from your latest tax return of $4,000 or more
	tax payable on your latest notice of assessment of $1,000 or more
	estimated (notional) tax of $500 or more.


See also https://www.ato.gov.au/businesses-and-organisations/income-deductions-and-concessions/payg-instalments/starting-payg-instalments


Q3- Can I vary the ATO instalments?

Yes, but you need to know 2 things

1- deadline to vary is 20 July

2- if you know that the instalment amount is correct (i.e. you&#39;ll have to pay that amount of tax when you lodge) then don&#39;t vary it as the ATO can charge you interest for varying it when you weren&#39;t supposed to



]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-payg-tax-instalments-117s164</guid>
<pubDate>24 May 2024 03:35:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/medicare-levy-surcharge-117s163</link>
<title><![CDATA[Medicare Levy Surcharge]]></title>
<description><![CDATA[If your adjusted taxable income is greater than the applicable threshold and you don&#39;t have appropriate private health insurance for the full year then you will be liable for the medicare levy surcharge
]]></description>
<content><![CDATA[If your adjusted taxable income is greater than the applicable threshold and you don&#39;t have appropriate private health insurance for the full year then you will be liable for the medicare levy surcharge

2023 threshold = Single $90,000 &amp; Family $180,000
2024 threshold = Single $93,000 &amp; Family $186,000
2025 threshold = Single $97,000 &amp; Family $194,000

You can avoid the surcharge if the whole family (including children) have appropriate private health insurance for the full year

Example:-

2024 Tax Year

Husband earns $80,000 &amp; wife earns $120,000 ($200,000 combined adjusted taxable income)

Wife has Private Health Insurance appropriate hospital cover
Husband does not have cover

Both have to pay the medicare levy surcharge even though the wife has cover. Surcharge payable is:-
$80,000 x 1% = $800 husband
$120,000 x 1% = $1,200 wife

Option 1 = pay the $2,000 medicare levy surcharge
Option 2 = the whole family have private health insurance appropriate hospital cover for the whole year

The medicare levy surcharge starts at 1% multiplied by your adjusted taxable income and increases to 1.5% depending on your income

https://www.ato.gov.au/individuals-and-families/medicare-and-private-health-insurance/medicare-levy-surcharge
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/medicare-levy-surcharge-117s163</guid>
<pubDate>23 May 2024 12:31:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/do-i-upgrade-my-car-117s162</link>
<title><![CDATA[Do I upgrade my car?]]></title>
<description><![CDATA[Individual taxpayers only
]]></description>
<content><![CDATA[Lets face it, everyone loves a new car, but is it time to upgrade or should you wait?

There are so many considerations

Current car
-condition
-age
-km
-body damage
-reliability

New car
-improved safety
-improved efficiency
-improved features
-cost &amp; financing

Other factors include
-image

Assuming you have made the decision to purchase a new car you will need to decide how to finance it
-car dealership finance
-home loan
-personal loan
-buy outright

Most people use car dealership finance as they
-have competitive interest rates
-are convenient
-have simple applications

Electric / Hybrid cars
The jury is out
-price
-life of the vehicle
-infrastructure

Car Allowance
They are normally untaxed because the deduction claimed is greated than the allowance

Novated Lease
Packaged into your salary (including fringe benefits)
When you leave employment you take the car with you (and loan obligations)
 

Claiming a tax deduction

Option 1 - cents per km
max 5,000 work km
rate is $0.85 per km (2023-24 tax year)

Option 2 - log book method (link)
actual expenses x work use %

Depreciation limits apply
2024-25 $68,108
2025-26 $69,674 (ATO link)

Scenario 1
Current car is 7 years old
175,000km on the odometer
Out of warranty

Recommendation = Yes buy a new car (assuming you can afford it)
-reliability concerns
-improved safety
-improved efficiency
-fully depreciated
 

The Numbers

Assumptions
-car (see motor vehicles)
-80% work use per log book (see log book rules)


	
		
			Purchase price
			$68,000
			 
			 
			 
			 
			 
			 
			 
		
		
			Purchase date
			15/08/2024
			 
			 
			 
			 
			 
			 
			 
		
		
			 
			 
			 
			 
			 
			 
			 
			 
			 
		
		
			 
			Yr1
			Yr2
			Yr3
			Yr4
			Yr5
			Yr6
			Yr7
			Yr8
		
		
			 
			30/06/2025
			30/06/2026
			30/06/2027
			30/06/2028
			30/06/2029
			30/06/2030
			30/0/2031
			30/06/2032
		
		
			Depreciation (80% work use)
			              11,923
			              10,619
			                7,964
			                5,973
			                4,480
			                3,360
			                2,520
			                1,890
		
		
			Fuel ($100/wk)
			                5,200
			                5,200
			                5,200
			                5,200
			                5,200
			                5,200
			                5,200
			                5,200
		
		
			Rego
			                     850
			                     850
			                     850
			                     850
			                     850
			                     850
			                     850
			                     850
		
		
			Insurance
			                1,500
			                1,500
			                1,500
			                1,500
			                1,500
			                1,500
			                1,500
			                1,500
		
		
			Repairs &amp; Service
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
		
		
			Tyres
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
			                     600
		
		
			 
			 
			 
			 
			 
			 
			 
			 
			 
		
		
			Total Deduction (D1)
			              20,673
			              19,369
			              16,714
			              14,723
			              13,230
			              12,110
			              11,270
			              10,640
		
	


 

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/do-i-upgrade-my-car-117s162</guid>
<pubDate>23 May 2024 03:54:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/financial-planner-117s160</link>
<title><![CDATA[Financial Planner]]></title>
<description><![CDATA[Smart Happy Money
]]></description>
<content><![CDATA[https://www.smarthappymoney.com/

1300 592 539

Ask for Ben
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/financial-planner-117s160</guid>
<pubDate>10 May 2024 01:46:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/rental-property-worksheet-117s159</link>
<title><![CDATA[Rental Property Worksheet]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/rental-property-worksheet-117s159</guid>
<pubDate>07 May 2024 07:44:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2024-117s155</link>
<title><![CDATA[March 2024]]></title>
<description><![CDATA[Topics Include


	Stage 3 Tax Cuts
	R&amp;D Claims
	Business Growth &amp; Profits
	Debt Recovery
	Spam Act

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2024-117s155</guid>
<pubDate>24 Apr 2024 13:05:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/how-does-hecs-work-117s154</link>
<title><![CDATA[How does HECS work]]></title>
<description><![CDATA[If you have a HECS debt your employer will withhold additional tax from your wage (assuming you answered YES to the question &quot;Do you have a HECS debt&quot; when you completed the Tax File Number declaration)

When we prepare your individual tax return we take into account


	whether your income has exceeded the HECS repayment threshold ($51,550 for the 2023-24 tax year) (https://www.ato.gov.au/tax-rates-and-codes/study-and-training-support-loans-rates-and-repayment-thresholds)
	how much tax was withheld from your annual wages


If your taxable income is below the HECS repayment threshold you get the extra tax withheld back

If your taxable income is above the HECS repayment threshold the extra tax that was withheld* is taken from your income tax account and transferred to your HECS account &ndash; hence why you only see repayments being made to your HECS debt once per year i.e. when you lodge your tax return

* Even if extra tax was not withheld the ATO still transfers $ from your income tax account to your HECS account &ndash; you then pay the income tax account debt

Once you stop studying and the HECS debt if fully repaid you&rsquo;ll need to let your employer know so they stop withholding the extra tax

Your HECS debt increases by the CPI on 1 June each year so if you are looking to make a voluntary payment consider paying it before then

If you are in serious hardship or have another special reason eg natural disaster you can apply to the ATO to have your HECS debt repayment deferred or reduced
]]></description>
<content><![CDATA[If you have a HECS debt your employer will withhold additional tax from your wage (assuming you answered YES to the question &quot;Do you have a HECS debt&quot; when you completed the Tax File Number declaration)

When we prepare your individual tax return we take into account


	whether your income has exceeded the HECS repayment threshold ($51,550 for the 2023-24 tax year) (https://www.ato.gov.au/tax-rates-and-codes/study-and-training-support-loans-rates-and-repayment-thresholds)
	how much tax was withheld from your annual wages


If your taxable income is below the HECS repayment threshold you get the extra tax withheld back

If your taxable income is above the HECS repayment threshold the extra tax that was withheld* is taken from your income tax account and transferred to your HECS account &ndash; hence why you only see repayments being made to your HECS debt once per year i.e. when you lodge your tax return

* Even if extra tax was not withheld the ATO still transfers $ from your income tax account to your HECS account &ndash; you then pay the income tax account debt

Once you stop studying and the HECS debt if fully repaid you&rsquo;ll need to let your employer know so they stop withholding the extra tax

Your HECS debt increases by the CPI on 1 June each year so if you are looking to make a voluntary payment consider paying it before then

If you are in serious hardship or have another special reason eg natural disaster you can apply to the ATO to have your HECS debt repayment deferred or reduced
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/how-does-hecs-work-117s154</guid>
<pubDate>25 Mar 2024 01:20:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/cash-versus-accrual-117s153</link>
<title><![CDATA[Cash versus Accrual]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/cash-versus-accrual-117s153</guid>
<pubDate>23 Mar 2024 04:23:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sole-trader-complete-guide-117s152</link>
<title><![CDATA[Sole Trader - complete guide]]></title>
<description><![CDATA[
	Asset Protection
	Income
	Expenses
	Tax
	GST
	Buying a business
	Selling a business
	Other

]]></description>
<content><![CDATA[This article is currently under construction

 

 

Asset Protection
If your business structure is a &#39;Sole Trader&#39; you won&#39;t have any asset protection

Of course you&#39;ll have the necessary insurances but this may not be enough

If you have assets worth protecting (eg house) consider:
-trading under a company as it offers limited asset protection
-moving assets out of your name - stamp duty and capital gains tax may apply

 

Income

 

Expenses

Small Business Entities (SBE) can generally claim everything they spend on the business, except expenses which are of a private or capital nature

If sales under $75,000 / not registered for GST you can use our free excel cashbook - click here for the latest version

Expenses which are of a private nature include:
-meals, snacks etc
-business meetings
-alcohol unless client gift
-clothing unless protective 

Capital Items / Depreciation
-for the 2024 tax year anything under $20,000 is immediately written off - anything over $20,000 is added to the general asset pool and depreciated @ 15% in year 1, then 30% in year 2 onwards

The following cannot be claimed as a tax deduction:
-fines
-entertainment (unless it is a fringe benefit)

If you have employees you can claim for staff amenities but take care as fringe benefits attract fringe benefits tax

Also check out the ATO https://www.ato.gov.au/Business/Income-and-deductions-for-business/Deductions/

Record Keeping

We recommend www.xero.com.au

 

Tax

 

GST

refer to our article &#39;Do I need to register for GST&#39;

 

Employing workers

 

PSI

 

 

Buying a business

 

Selling a business

 

Other
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sole-trader-complete-guide-117s152</guid>
<pubDate>19 Mar 2024 01:35:00 GMT</pubDate>
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<item>
<link>https://www.taxslayer.com.au/blog/starting-a-new-business-117s150</link>
<title><![CDATA[Starting a new business]]></title>
<description><![CDATA[Xero Toolkit


	Research
	Setup
	Finding &amp; selling to customers
	Getting paid &amp; paying others
	Business accounting 101
	Xero free trial

]]></description>
<content><![CDATA[https://www.xero.com/au/resources/starting-your-own-business-toolkit/


	Research
	Setup
	Finding &amp; selling to customers
	Getting paid &amp; paying others
	Business accounting 101
	Xero free trial

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/starting-a-new-business-117s150</guid>
<pubDate>11 Mar 2024 23:13:00 GMT</pubDate>
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<item>
<link>https://www.taxslayer.com.au/blog/gst-bas-quick-guide-117s149</link>
<title><![CDATA[GST &amp; BAS - Quick Guide]]></title>
<description><![CDATA[GST &amp; BAS - Quick Guide

prepared by Xero
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/gst-bas-quick-guide-117s149</guid>
<pubDate>11 Mar 2024 23:06:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/software-options-117s148</link>
<title><![CDATA[Software Options]]></title>
<description><![CDATA[
	Xero (recommended)
	MYOB Account right / Essentials
	Quickbooks Online
	Excel

]]></description>
<content><![CDATA[Xero (recommended)
https://www.xero.com/au/guides/sole-proprietor-accounting-software/

Excel cashbook
https://www.taxslayer.com.au/blog/excel-cashbook-117s147
recommended for micro businesses
-sales under $75,000
-no wages
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/software-options-117s148</guid>
<pubDate>11 Mar 2024 23:01:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/excel-cashbook-2025-tax-year-117s147</link>
<title><![CDATA[Excel Cashbook - 2025 Tax Year]]></title>
<description><![CDATA[Recommended for Sole Traders ONLY who are:

-Not registered for GST
-Not employing staff
]]></description>
<content><![CDATA[If you are registered for GST or employ staff we recommend you use Xero bookkeeping software - contact us for further information.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/excel-cashbook-2025-tax-year-117s147</guid>
<pubDate>07 Mar 2024 02:03:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/paying-workers-117s146</link>
<title><![CDATA[Paying Workers]]></title>
<description><![CDATA[If you are paying workers follow these steps
]]></description>
<content><![CDATA[If you are paying workers you first need to determine whether they are contractors or employees

Employee or independent contractor | Australian Taxation Office (ato.gov.au)

There are significant penalties for getting this wrong so tread carefully and seek assistance if unsure

If employee

Employee types include- casual, part time, or full time

You need to process employee pays using a computerised system eg Xero and report each pay to the ATO using Single Touch Payroll (STP)

Super is payable on gross wages
It is paid quarterly (it must be received by the employees super fund by no later than 28 days after the quarter end)

Tax withholding will be included on your BAS - make sure you set this aside each pay cycle so you don&#39;t have cashflow issues

You must register and pay work cover if wages + super exceeds $7,500 per year

You must register and pay VIC payroll tax if wages + super exceed $58,333 per month

Tip: DO NOT pay your NEW employee until they have completed the TFN declaration and provided yu with their TFN and super fund details

 

If using Xero:

Step1 - Prepare the pay run
Step2 - Pay your employees - pay the Net amount (not the Gross amount)
Step3 - Submit the pay run to the ATO

When reconciling the physical payment allocate it to a/c &#39;804 Wages Payable&#39;

Make sure you check the following items on a regular basis - if unsure speak to your bookkeeper

-make sure a/c &#39;804 Wages payable&#39; is $0 once the physical wage payment has been reconciled
-make sure wages &amp; super in the profit &amp; loss (a/c 470 Wages &amp; a/c 457 Superannuation Expense) agree to the payroll employee summary report

 

If contractor

Contractors need to provide you with a tax invoice.

You MUST check their ABN is valid before paying them - if they do not have a valid ABN you need to withhold 47% and remit this to the ATO

You MUST check they are registered for GST before paying them GST

You can check their ABN and GST status on the ABR website https://abr.business.gov.au/

Certain industries (eg building &amp; construction) are required to report contractor payments to the ATO each year on a TPAR form. If this affects you make sure you keep good records i.e. ABN, name, address, amount paid, GST paid
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/paying-workers-117s146</guid>
<pubDate>04 Mar 2024 23:33:00 GMT</pubDate>
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<item>
<link>https://www.taxslayer.com.au/blog/capital-gains-checklist-rental-property-117s145</link>
<title><![CDATA[Capital Gains Checklist - Rental Property]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/capital-gains-checklist-rental-property-117s145</guid>
<pubDate>26 Feb 2024 02:15:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-117s144</link>
<title><![CDATA[2023 Individual Tax Return Checklist]]></title>
<description><![CDATA[Our tax return checklist. will assist you in preparing your tax return &amp; getting your maximum refund
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-117s144</guid>
<pubDate>22 Feb 2024 03:53:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2023-117s143</link>
<title><![CDATA[December 2023]]></title>
<description><![CDATA[Topics Include


	Fighting Inflation
	Business Structures
	I am making a profit so where has the cash gone
	Work Christmas parties &amp; FBT
	Directors &amp; cyber security

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2023-117s143</guid>
<pubDate>15 Feb 2024 06:15:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/company-or-trust-117s142</link>
<title><![CDATA[Company or Trust?]]></title>
<description><![CDATA[Coming Soon
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/company-or-trust-117s142</guid>
<pubDate>15 Feb 2024 06:14:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2025-christmas-trading-hours-117s141</link>
<title><![CDATA[2025 Christmas Trading Hours]]></title>
<description><![CDATA[Please note that our office will be closed on Friday 19th December 2025 and will re-open on Monday 12th January 2026

We would like to take this opportunity to thank you for your continued support and to wish you and your family a Merry Christmas, and best wishes for a Happy and Prosperous New Year!
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2025-christmas-trading-hours-117s141</guid>
<pubDate>27 Nov 2023 02:50:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/log-book-117s140</link>
<title><![CDATA[Log Book]]></title>
<description><![CDATA[Claiming car expenses using the Log Book method
]]></description>
<content><![CDATA[You have 2 options re- claiming car expenses

Option 1 - Cents per km method (max 5,000kms)

Option 2 - Logbook Method (work % x actual expenses)

Notes:


	You can swap between methods each year
	If you have an Other Vehicle eg van, ute you cannot claim option
	Depends on your business structure &amp; type of vehicle


For further information see ATO link

Option 1 - Cents per km method

You can claim up to 5,000 work km based on a reasonable estimate

Option 2 - Logbook method

You can purchase a logbook from a newsagency, Officeworks OR you can use an app eg Driversnote

Your logbook must contain:


	when the logbook period begins and ends
	the car&rsquo;s odometer readings at the start and end of the logbook period
	the total number of kilometres the car travelled during the logbook period
	the number of kilometres travelled for each journey. If you make two or more journeys in a row on the same day, you can record them as a single journey
	the odometer readings at the start and end of each subsequent income year your logbook is valid for
	the business-use percentage for the logbook period
	the make, model, engine capacity and registration number of the car.


For each journey, record the:


	reason for the journey (such as a description of the business reason or whether it was for private use)
	start and end date of the journey
	odometer readings at the start and end of the journey
	kilometres travelled


The logbook entry must record the purpose of the journey in order to provide satisfactory evidence of its business nature. An entry merely indicating &quot;business&#39;&#39; or &quot;miscellaneous business&#39;&#39; will be insufficient for this purpose. As a general rule, an entry should be sufficiently descriptive of the purpose of the journey to characterise it as a business journey and to correlate broadly with the distance travelled. The fact that a particular journey is of a kind ordinarily associated with the employment duties of the employee is a relevant consideration in determining the extent of detail required.

Logbook timeframe

If this is the first year you have used the logbook method, you must keep a logbook for at least 12 continuous weeks during the income year. That 12-week period needs to be representative of your travel throughout the year.

If you started to use your car for business-related purposes less than 12 weeks before the end of the income year, you can continue to keep a logbook into the next year so it covers the required 12 continuous weeks.

Each logbook you keep is valid for five years, but you may start a new logbook at any time.

If you establish your business-use percentage using a logbook from an earlier year, you must keep that logbook and maintain odometer readings in the following years.

If your circumstances change, such as a change in the type of work undertaken by your business, you may need a new logbook.

https://www.ato.gov.au/Business/Income-and-deductions-for-business/Deductions/Deductions-for-motor-vehicle-expenses/Logbook-method/


Logbook in Year 1

Use the business % per your 12 week log book

 

Logbook in Years 2-5

You need to make a reasoable estimate of your business use % taking into account the following:
- log book (see year 1)
- opening &amp; closing odemeter readings
- variations in the pattern of use
- other records

Note:
If your business use is more than 10% different to the log book % (year 1) you will need to do a new log book

The ATO is very strict so make sure you maintain good records

You must retain your logbook and odometer records for 5 years after the end of the latest income year that you rely on them to support your claim.

 

Where to get a log book?


	Officeworks
	app eg driversnote

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/log-book-117s140</guid>
<pubDate>13 Nov 2023 06:48:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/making-appointments-117s138</link>
<title><![CDATA[Making Appointments]]></title>
<description><![CDATA[There are 3 appointment options:

Option 1 - Face to face appointment

Option 2 - Phone appointment

Option 3 - You can email your info / documents through &ndash; we&rsquo;ll draft it and email you with our questions

Sole trader / contractor tax returns are more involved and many of them cannot be completed on the spot - for these tax returns you&#39;ll need to choose Option 3

If you have a Xero, MYOB, Quickbooks or other bookkeeping file you&#39;ll need to invite us into your file

We&#39;ll also need a bank statement @ 30 June so we can check the balance against your bookkeeping file
]]></description>
<content><![CDATA[Step 1 - Make a booking - click here

Step 2 - Once you provide us with your name, email address and phone number we&#39;ll send you a New Client form to complete (please ensure it is completed 24hrs before your scheduled appointment time)

Step 3 - Once we receive the completed new client form we&#39;ll add you onto our systems

Sole trader / contractor tax returns are more involved and many of them cannot be completed on the spot - for these tax returns you&#39;ll need to choose Option 3

If you have a Xero, MYOB, Quickbooks or other bookkeeping file you&#39;ll need to invite us into your file

We&#39;ll also need a bank statement @ 30 June so we can check the balance against your bookkeeping file
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/making-appointments-117s138</guid>
<pubDate>02 Nov 2023 05:54:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2023-117s137</link>
<title><![CDATA[September 2023]]></title>
<description><![CDATA[Topics Include


	Contractor Payments (TPAR)
	Trade Marks
	Selling your business

]]></description>
<content><![CDATA[Contractor Payments (TPAR)
The ATO has drawn a line in the sand for reporting contractor payments and warns tardy businesses that missing its deadline will involve penalties and set off alarm bells about dodgy behaviour.

Trade Marks
A registered trade mark legally protects your business&rsquo;s unique brand, products or services, and helps customers distinguish your products or services in the market

Selling your business
Timing is crucial when it comes to selling your business. Market conditions and industry performance at the time of sale will have an impact on the price you can get for your business. Determining the best time to sell is an art rather than a science, but there are two important factors to consider for every sale:

&bull; The recent financial performance of your business.
&bull; Market trends for your industry.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2023-117s137</guid>
<pubDate>02 Oct 2023 13:27:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/tax-return-process-business-clients-117s136</link>
<title><![CDATA[Tax Return Process - Business Clients]]></title>
<description><![CDATA[Steps we follow to prepare your business tax return
]]></description>
<content><![CDATA[Here are the main steps

1- Client / bookkeeper to reconcile bookkeeping file up to 30 June eg Xero
2- Client to send bank statements as at 30 June plus any questions / comments to Tax Slayer
3- Tax Slayer will work on the job up to query stage
4- Tax Slayer will send queries to client
5- Client to reply to queries &ndash; hopefully there is only 1 round of queries but we continue until all queries are resolved
6- Tax Slayer will let the client know once the job has been completed
7- Client to sign off electronically or in person
8- Client to pay Tax Slayer&#39;s invoice
9- Tax Slayer will lodge the client&#39;s tax returns

Note: we are unable to prepare your returns whilst you are in our office mainly due to the time it takes
 

During the year
- Client or their bookkeeper to email / call with questions &ndash; if query will take more than 10mins (1hr total per year) we will provide a quote
- Tax Slayer will contact client around April to check if tax planning is required &ndash; fees apply

 

After 30 June the process starts again

When the client wants their tax return prepared they simply email / call us. We are pretty busy in July&ndash;Sept preparing employee tax returns so after that is preferred. In saying that if you need it prepared earlier for say a finance application we can always squeeze you in. 

If you&rsquo;re happy to wait know that we have you on our list and we&rsquo;ll contact you well before the due date.

Your tax returns will take 2-4 weeks to complete
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/tax-return-process-business-clients-117s136</guid>
<pubDate>18 Sep 2023 12:33:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/bas-due-dates-117s134</link>
<title><![CDATA[BAS due dates]]></title>
<description><![CDATA[You MUST lodge your BAS by the following due dates
]]></description>
<content><![CDATA[
	
	 

	Quarterly BAS Due Dates
	
	
		
			Quarter
			Month
			Due
		
	
	
		
			1
			September (Qtr 1)
			28 November
		
		
			2
			December (Qtr 2)
			28 February
		
		
			3
			March (Qtr 3)
			28 May
		
		
			4
			June (Qtr 4)
			28 August
		
	


 


	
	Monthly BAS Due Dates
	
	
		
			Period
			Month
			Due
		
	
	
		
			1
			July
			21 August
		
		
			2
			August
			21 September
		
		
			3
			September (Qtr 1)
			28 November
		
		
			4
			October
			21 November
		
		
			5
			November
			21 December
		
		
			6
			December (Qtr 2)
			28 February
		
		
			7
			January
			21 February
		
		
			8
			February
			21 March
		
		
			9
			March (Qtr 3)
			28 May
		
		
			10
			April
			21 May
		
		
			11
			May
			21 June
		
		
			12
			June (Qtr 4)
			28 August
		
	


 

Notes:


	quarterly BAS which are lodged via paper are due within 28 days after the quarter end. Business only receive the the 4 week extension if lodged electronically eg MyGov, software
	DO NOT lodge your BAS late as you will be fined (max 5 penalty units per BAS = currently $313 per unit as at 01/07/2024 (ATO link) = max $1,565 per BAS) and charged interest. Best calling the ATO on 13 11 42 before the BAS is due to request an extension
	You should be setting $ aside each week to ensure you have the funds to pay the BAS when due


 


	
	Tax Instalment Due Dates
	
	
		
			Quarter
			Month
			Due
		
	
	
		
			1
			September (Qtr 1)
			28 October
		
		
			2
			December (Qtr 2)
			28 January
		
		
			3
			March (Qtr 3)
			28 April
		
		
			4
			June (Qtr 4)
			28 July
		
	


 


	Pay what the ATO asks unless you believe it is too high in which case it can be varied down
	If you believe it is going to be more set the additional amount aside for when your tax return is lodged

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/bas-due-dates-117s134</guid>
<pubDate>24 May 2023 23:37:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2023-117s133</link>
<title><![CDATA[June 2023]]></title>
<description><![CDATA[Topics Include


	The 2023-24 Federal Budget Highlights for Individuals, Small &amp; Medium Business, and Superannation
	2023 Year End Tax Planning Guide
	2023-2024 Tax Return Checklist


 
]]></description>
<content><![CDATA[The 2023-24 Federal Budget was recently released. The main aim was to provide help to everyday Australians who are suffering from the large cost of living increases experienced by us all over the past 12-18 months.

Individuals

Changes to Income support, JobSeeker Payment changes, Pension payments, Eligibility for Parenting Payment (Single), Increase in support for home buyers, Increase in Rent Assistance, and CPI Indexed Medicare levy for low income

Small &amp; Medium Business

Impacts to Instant asset write-off threshold, 20% deduction for small business supporting energy efficiency, FBT exemption for hybrid cars to end 2025, An increased capital works deduction rate to new build projects, clean building managed investment trust (MIT) withholding tax concession, and more announced at later dates.

Superannuation

Changes such as Reducing tax concessions for superannuation balances exceeding $3 million, employers to be required to pay super guarantee on payday, and Non-arm&#39;s length income (NALI) amendments

2023 Year End Tax Planning Guide


	Key Tax Minimisation Strategies
	Obligations that need to be conisdered in relation to the end of financial year
	Other Tax effective Strategies for Businesses 
	Superannuation Tax Planning Opportunities
	Immediate Write-Off for Individualssmall Business Assets


2023-2024 Tax Return Checklist
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2023-117s133</guid>
<pubDate>24 May 2023 03:41:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/is-it-worth-paying-my-hecs-early-117s132</link>
<title><![CDATA[Is it worth paying my HECS early?]]></title>
<description><![CDATA[CPI is applied to HECS debts on 1 June each year. The 2023 CPI is 7.1% so consider paying out part or all of your HECS debt before CPI is applied.

Make payment early to ensure the payment is applied to your HECS debt before 1 June
]]></description>
<content><![CDATA[ 

CPI is applied to HECS debts on 1 June each year. The 2023 CPI is 7.1% so consider paying out part or all of your HECS debt before CPI is applied.

Make payment early to ensure the payment is applied to your HECS debt before 1 June

https://www.ato.gov.au/rates/study-and-training-loan-indexation-rates/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/is-it-worth-paying-my-hecs-early-117s132</guid>
<pubDate>18 May 2023 02:29:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/sole-trader-what-deductions-can-i-claim-117s130</link>
<title><![CDATA[Sole Trader - What deductions can I claim?]]></title>
<description><![CDATA[Small Business Entities (SBE) can generally claim everything they spend on the business, except expenses which of a private or capital nature
]]></description>
<content><![CDATA[Small Business Entities (SBE) can generally claim everything they spend on the business, except expenses which of a private or capital nature

If sales under $75,000 / not registered for GST you can use our free excel cashbook - click here

Expenses which are of a private nature include:
-mobile phone (include expenses which are both business &amp; private - we will remove the private component when we prepare your tax return)
-meals, snacks etc
-business meetings
-alcohol unless client gift
-clothing unless protective 

Capital Items
-tools over the threshold
pre 30/06/2025 the instant asset write-off limit is $20,000
01/07/2025 - 30/06/2026 the instant asset write-off limit is $1,000

There are some business expenses but they cannot be claimed:
-ALL fines

If you have employees you can claim for staff amenities but take care as many items attract fringe benefits tax

Also check out the ATO https://www.ato.gov.au/Business/Income-and-deductions-for-business/Deductions/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/sole-trader-what-deductions-can-i-claim-117s130</guid>
<pubDate>26 Apr 2023 04:03:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/small-business-technology-investment-boost-and-small-business-skills-and-training-boost-ends-30/06/2023-117s129</link>
<title><![CDATA[Small Business Technology Investment Boost and Small Business Skills and Training Boost (ends 30/06/2023)]]></title>
<description><![CDATA[Small Business Technology Investment Boost (ends 30/06/2023) and Small Business Skills and Training Boost (ends 30/06/2024)
]]></description>
<content><![CDATA[The Small Business Technology Investment Boost and Small Business Skills and Training Boost (ends 30/06/2023)
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/small-business-technology-investment-boost-and-small-business-skills-and-training-boost-ends-30/06/2023-117s129</guid>
<pubDate>10 Mar 2023 09:14:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2023-117s128</link>
<title><![CDATA[March 2023]]></title>
<description><![CDATA[
	Why Is Your Business Under Performing?
	Propsed Amendments to Superannuation Tax Concessions
	Changes to Claiming Home Office Expenses
	Looking to Grow Your Business (And Quick?)


 
]]></description>
<content><![CDATA[Business owners make lots of sacrifices. They typically give up their steady job and regular income to pursue their venture. They take financial risks, experience sleepless nights, and often burn the candle at both ends. 

While there&#39;s no simple answer to improve your business profits, there are some common sources


	Review your prices
	Wrong Products? 
	Marketing to Your Ideal Customers or Clients


Every start-up business owner is looking to fast track their success. While there&#39;s no magic formula, there are a few key things to plan for


	Reduce Risk
	The Right Team
	One Eye on the Future

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2023-117s128</guid>
<pubDate>08 Mar 2023 04:28:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/additional-tax-on-concessional-contributions-division-293-for-individuals-117s126</link>
<title><![CDATA[Additional tax on concessional contributions (Division 293) &#150; for individuals]]></title>
<description><![CDATA[Division 293 tax is an additional tax on super contributions, which reduces the tax concession for individuals whose combined income and contributions are greater than the Division 293 threshold.
]]></description>
<content><![CDATA[Division 293 tax is an additional tax on super contributions, which reduces the tax concession for individuals whose combined income and contributions are greater than the Division 293 threshold.

In summary if your Div 293 income (income for medicare levy surcharge purposes) PLUS Div 293 super (concessional super contributions) is more than the Division 293 threshold of $250,000 then you will be charged an additional 15% on your taxable super contributions

How you will know if you have to pay

You will be sent a notice of assessment once we receive both your income and contribution information.

If you lodge your tax return using myTax, your notice of assessment will be sent to your myGov Inbox. If you want your notice of assessment to go to your registered tax agent instead, you will need to ask them to update your communication preferences

Example

Div 293 income $230,000
Plus concessional super  contributions $27,500 (note limits apply)
Total Div 293 income = $257,500 which is over the $250,000 threshold

So you will be required to pay the Div 293 15% tax on your concessional super contributions = 15% x $27,500 = $4,125 payable

Before paying extra concessional superannuation contirubutions consider whether you have breached the $250,000 threshold
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/additional-tax-on-concessional-contributions-division-293-for-individuals-117s126</guid>
<pubDate>24 Feb 2023 00:47:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/first-home-buyers-seminar-117s125</link>
<title><![CDATA[First Home Buyers Seminar]]></title>
<description><![CDATA[All you need to know about deposits, borrowing capacities and government incentives - 2023 Event
]]></description>
<content><![CDATA[Smart Happy Money is holding their first seminar for 2023! This seminar is for &#39;First Home Buyers&#39; and will cover off on information you need to know about deposits, borrowing capacities and government incentives. Ben will be presenting and we will have brokers on hand to answer questions. 

https://www.smarthappymoney.com/events-2/first-home-buyers-seminar
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/first-home-buyers-seminar-117s125</guid>
<pubDate>22 Feb 2023 00:05:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/changing-from-a-sole-trader-to-a-company-or-trust-117s124</link>
<title><![CDATA[Changing from a Sole Trader to a Company or Trust]]></title>
<description><![CDATA[My business has grown and I think its time to change to a Company
]]></description>
<content><![CDATA[When deciding on the most appropriate business structure we look at 4 main items

1-asset protection
2-income tax minimisation
3-capital gains tax minimisation
4-succession planning

Asset Protection

Do you have assets that are worth protecting from creditors eg family home, rental property?

Lets say your home is owned 50:50 by you and your spouse and it&#39;s worth $1,000,000 and your loan is $400,000
Total equity is $1,000,000 - $400,000 = $600,000
Your  50% share = $300,000

I would argue that it is worth spending the money to add the extra layer of protection to protect your $300,000

Once off cost to setup a trust with company trustee is $2,200
Once off cost to setup a company is $1,650

Annual running costs include- ASIC fee $292, company management fee $220. Annual tax return fees will increase (from $2,200)

Running your business through a company OR family trust with a company trustee offers &#39;limited&#39; asset protection in that the company is usually sued first. Assuming the company is unable to pay its debts then the creditor may be able to sue you personally but in most cases they can&#39;t.

Income Tax Minimisation

Sole Traders

Sole traders are taxed on business profits at individual marginal tax rates. So the more you earn the more you pay

-Tax (plus 2% medicare levy) on $50,000 of income is $7,800
-Tax (plus 2% medicare levy) on $80,000 of income is $18,000
-Tax (plus 2% medicare levy) on $120,000 of income is $32,000
-Tax (plus 2% medicare levy) on $180,000 of income is $56,000

Companies

Base rate entities (BRE) are taxed at 25%
-Tax on $50,000 of income is $12,500
-Tax on $80,000 of income is $20,000
-Tax on $120,000 of income is $30,000
-Tax on $180,000 of income is $45,000

All other companies are taxed at 30%

Trusts

Generally trust income is distributed to family members

There are rules around who can receive what but generally trust profits can be distributed to individual beneficiaries on the lowest tax bracket

Capital Gains Tax Minimisation

Sole Traders

Sole traders are taxed on capital gains at individual marginal tax rates

You may be entitled to reduce the capital gain by
- the 50% CGT General Discount provided the asset is held for more than 12mths
- the 50% active asset test (small business only)

For example- If you were to sell your business or client list for say $200,000 your would pay tax on the capital gain being $200,000 less cost of $0 (assuming you started the busines from scratch)

Companies

Xxx

Trusts

Xxx

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/changing-from-a-sole-trader-to-a-company-or-trust-117s124</guid>
<pubDate>17 Feb 2023 05:57:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/do-i-need-to-lodge-a-tax-return-2024-117s123</link>
<title><![CDATA[Do I need to lodge a tax return - 2024]]></title>
<description><![CDATA[Do I need to lodge a tax return - 2024
]]></description>
<content><![CDATA[Do I need to lodge a tax return - 2024

If you don&#39;t need to lodge a tax return you&#39;ll need to lodge a Non-lodgment Advice 2024 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/do-i-need-to-lodge-a-tax-return-2024-117s123</guid>
<pubDate>17 Feb 2023 01:24:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2022-117s122</link>
<title><![CDATA[December 2022]]></title>
<description><![CDATA[
	4 Myths of Starting a Business
	Company Director ID Deadline Extended to 14 Dec
	ATO Identify 3 Primary Targets for Individual Taxpayers
	ATO is Watching the Cash Economy
	ATO Fines to Increase
	Expansion on Single Touch Payroll Phase 2
	Hello 2023 - is it Time for a Business Health Check?

]]></description>
<content><![CDATA[Starting a busienss requires research, risk, passion and planning. The start-up phase can be exciting but also exhausting with research to be done on your market and your competitors plus the preparation of a business plan, marketing plan and cash flow budget.

The pandemic fuelled a surge in business start-ups with a significant percentage of the population changing career paths to pursue their passion. Unfortunately there is a lot of misleading information about starting and running a business!


	Myth #1 - Starting &amp; Running a Business is Easy
	Myth #2 - It&#39;s a Licence to Print Money
	Myth #3 - You Need a Lot of Money to Start a Business
	Myth #4 - It Takes a Lot of Time to Start a Business

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2022-117s122</guid>
<pubDate>06 Dec 2022 04:16:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-scams-what-we-never-do-117s120</link>
<title><![CDATA[ATO Scams &Acirc;&#150; &Acirc;&quot;what we never do&Acirc;&quot; ]]></title>
<description><![CDATA[The ATO has again encouraged businesses and individuals to brush up on their knowledge of tax and superannuation scams &ndash; and that they know what to look out for. In this regard, the ATO states that here are a few things it never does:
]]></description>
<content><![CDATA[The ATO has again encouraged businesses and individuals to brush up on their knowledge of tax and superannuation scams &ndash; and that they know what to look out for. In this regard, the ATO states that here are a few things it never does:


	Send you a link in an email or text asking you to log in to our online services. Scammers use this tactic to harvest your information.
	Ask for your personal identifying information, such as your TFN or bank account details, on social media. To make sure you&rsquo;re interacting with verified ATO accounts, look for the blue verified tick on Facebook and Twitter, and a high follower count on LinkedIn. 
	Request payments through unusual methods, such as gift cards, crypto assets or cardless cash.
	Threaten you with immediate arrest. If this happens, report the incident to us.


The ATO also says that businesses and individual should review the ATO tips on keeping your business information secure.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-scams-what-we-never-do-117s120</guid>
<pubDate>09 Nov 2022 00:08:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/do-i-need-to-register-for-gst-117s119</link>
<title><![CDATA[Do I need to register for GST?]]></title>
<description><![CDATA[You must register for GST once your sales turnover reaches $75,000 (see below - working out your turnover)

You can voluntarily register for GST if your sales are under $75,000 &ndash; business owners choose to register so their business appears bigger than it is or to claim back GST on a large purchase

You must register for GST when you provide taxi or limousine travel for passengers (including ride-sourcing) regardless of your GST turnover &ndash; this applies to both owner drivers and if you lease or rent a taxi
]]></description>
<content><![CDATA[Working out your GST turnover

You are not registered for GST, you must check each month to see whether you have reached the GST turnover threshold. If you reach the threshold, you must register for GST within 21 days. 

You reach the GST turnover threshold if either: 


	your turnover for the current month and the previous 11 months is $75,000 or more - current GST turnover, or 
	your turnover for the current month and the next 11 months is likely to be $75,000 or more - projected GST turnover.


However, if your current GST turnover reaches or exceeds the GST turnover threshold, but we are satisfied that your projected turnover will be below the threshold, you do not have to register for GST.

https://www.ato.gov.au/Business/GST/Registering-for-GST/

GST turnover excludes sales not connected with Australia
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/do-i-need-to-register-for-gst-117s119</guid>
<pubDate>31 Oct 2022 02:19:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/vcat-aba-forms-117s118</link>
<title><![CDATA[VCAT ABA forms]]></title>
<description><![CDATA[Do you need help preparing the VCAT Account by Administrator (ABA) form?

If so we can help

Prices start from $1,650 including GST
]]></description>
<content><![CDATA[VCAT ABA form link

https://www.vcat.vic.gov.au/help-and-support/submit-your-account-administrator-aba

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/vcat-aba-forms-117s118</guid>
<pubDate>21 Oct 2022 03:03:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/save-tax-by-contributing-extra-into-super-117s116</link>
<title><![CDATA[Save tax by contributing extra $ into super]]></title>
<description><![CDATA[Did you know that you can save tax by contributing  additional $ into super. Conditions Apply
]]></description>
<content><![CDATA[You can save tax by contributing additional $ into super (Conditions Apply)

You can make extra contributions in 2 ways

1- through your employer i.e. salary scarifice

2- yourself i.e. pay directly into your super fund and claim a tax deduction at item D12 on your personal tax return. You must provide a notice of intent form to your super fund to claim a deduction on or before whichever of the following days occurs earliest, either:


	the day you lodge the relevant tax return
	the last day of the income year after the income year in which you made the contributions. In saying that do not leave this until the last minute as your fund will require notice



Scenario 1:

John&#39;s taxable income is $110,000

John&#39;s marginal tax rate is 32.5% plus 2% medicare levy

Concessional super contributions are taxed by the fund at 15%

Equals 19.5% Tax Saving (34.5% - 15%)

So for every $1,000 John contributes he saves $195 tax

Conditions apply - see notes below

 

Scenario 2:

Sue&#39;s taxable income is $140,000

Sue&#39;s marginal tax rate is 37% plus 2% medicare levy

Concessional super contributions are taxed by the fund at 15%

Equals 24% Tax Saving (39% - 15%)

So for every $1,000 Sue contributes she saves $240 tax

Conditions apply - see notes below

 

Scenario 3:

Tom&#39;s taxable income is $40,000

John&#39;s marginal tax rate is 19% plus 2% medicare levy

Concessional super contributions are taxed by the fund at 15%

Equals 6% Tax Saving (21% - 15%)

So for every $1,000 John contributes he saves $60 tax

Conditions apply - see notes below
 

Notes:

1- If your Adjusted Taxable Income (ATI) is above $250,000 ALL concessional super contributions will be subject to the additional 15% Division 293 tax
2- Depending on your age you may need to pass a work test
3- Concessional Contributions Caps apply
4- You can use prior year unused concessional limits conditions apply
5- You cannot withdraw funds out of super until you satisfy a condition or release eg reaching retirement age
6- Individual Tax Rates
7- The extra contributions MUST hit the super fund&#39;s bank by 30 June so we recommend paying it by 18th June
8- Taxable Income = wages plus other income eg bank interest less work related expenses, donations, concessional super contributions etc
9- Extra super payments will lower your Taxable Income BUT they will be added back to your Adjusted Taxable Income (ATI)
10- If you choose not to claim a tax deduction the extra contributions will be treated as non-concessional contributions (limits apply)
11- If you are a low or middle-income earner and make personal (after-tax) super contributions to your super fund, the government also makes a contribution (called a co-contribution) up to a maximum amount of $500




Disclaimer

The information contained within this blog article is of a general nature only and does not take into account your individual circumstances.

We recommend you speak to us for tax advice and/or a licenced financial advisor for financial advice before making any contributions into super

If you do not have a financial planner we recommend

Ben Graham-Nellor
Smart Happy Money

Suite 1/18-20 Floriston Road, Boronia VIC 3155
1300 592 539
ben@smarthappymoney.com.au
www.smarthappymoney.com.au
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/save-tax-by-contributing-extra-into-super-117s116</guid>
<pubDate>19 Sep 2022 03:17:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2022-117s115</link>
<title><![CDATA[September 2022]]></title>
<description><![CDATA[
	Thinking of starting a Business?
	ATO is Watching the Cash Economy
	The Importance and Management of Google Reviews
	What you Need to Know Before you set up a SMSF
	To Prune or not to Prune?
	Important Changes from 1 July, 2022

]]></description>
<content><![CDATA[With the rising cost of living, more and more Australians are looking to generate additional income with a second job or &#39;side hustle&#39;. The pandemic has seen a lot of people resign from their jobs and revaluate their careers with may people launching a business from home.

Sounds like a recipe for success but turning your hobby or passion into a profitable business is not as simple as it sounds. 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2022-117s115</guid>
<pubDate>08 Sep 2022 03:04:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/scam-alert-117s113</link>
<title><![CDATA[Scam Alert]]></title>
<description><![CDATA[Warning - Scam! Delete immediately!

You have an outstanding refund from MyGov.
]]></description>
<content><![CDATA[This is a known scam - delete immediately

........................................

Dear Customer,

You have an outstanding refund from MyGov.

Our transaction management system detects that you are entitled to receive this payment.

Your refund is available online : 640.98 AUD

   NEW REFUND                                                                                                      

Registration Date           : 22/03/2022

Registration number      :100088684468

Payment method            : Direct debit at maturity

Reference notice            : 183XXXXXXXXXXX

Amount                           : 640.98 AUD

Bank details                   : Completed on the form

                                                                                                                                               

 To accept the fast online payment click on the following link and save the refund information : &gt;&gt; Access your form

Kind Regards,
The MyGov.au Team

 

Check the ATO website for more information and other known scams
https://www.ato.gov.au/general/online-services/identity-security-and-scams/scam-alerts/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/scam-alert-117s113</guid>
<pubDate>16 Aug 2022 23:47:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/bookkeeping-services-117s112</link>
<title><![CDATA[Bookkeeping Services]]></title>
<description><![CDATA[Arrow Bookkeeping is our in-house bookkeeper
]]></description>
<content><![CDATA[We recommend businesses use a qualified bookkeeper / BAS agent to help with

- Bookkeeping
- Wages
- Super
- Work cover
- Payroll Tax
- GST
- BAS
 

Note that only business owners or their registered BAS / TAX agents can lodge a BAS
http://www.tpb.gov.au/tpb/agent_register.aspx

We have an in-house bookkeeping service, Arrow Bookkeeping (BAS agent # 25288834)
www.arrowbookkeeping.com.au supports all main stream accounting software including Xero, QuickBooks Online, MYOB

Fees start from $88 per hour including GST ($110 for training)


	Services include

	
		Daily bookkeeping
		Reconciliations
		Payroll
		Quarterly Reviews
		Support &amp; Training
	
	


BAS fees start from:

$198 (GST)
$242 (GST &amp; Wages)

If you would like a quote or require further information please email natalie@arrowbookkeeping.com.au
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/bookkeeping-services-117s112</guid>
<pubDate>15 Aug 2022 05:14:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-117s111</link>
<title><![CDATA[2023 Individual Tax Return Checklist]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-117s111</guid>
<pubDate>23 Jul 2022 01:31:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/motor-vehicle-expenses-117s110</link>
<title><![CDATA[Motor Vehicle Expenses]]></title>
<description><![CDATA[ATO Information
]]></description>
<content><![CDATA[Small Business - Motor Vehicle Expenses
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/motor-vehicle-expenses-117s110</guid>
<pubDate>23 Jul 2022 01:27:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/home-based-business-expenses-117s109</link>
<title><![CDATA[Home-based Business Expenses]]></title>
<description><![CDATA[For the small business owner claiming deductions for the costs of using your home as your main place of buisness
]]></description>
<content><![CDATA[Information for the small business owner claiming costs for a home-based business
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/home-based-business-expenses-117s109</guid>
<pubDate>19 Jul 2022 13:38:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/individual-tax-return-miscellaneous-items-117s107</link>
<title><![CDATA[Individual Tax Return - Miscellaneous Items]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/individual-tax-return-miscellaneous-items-117s107</guid>
<pubDate>13 Jul 2022 00:45:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/rental-property-checklist-117s106</link>
<title><![CDATA[Rental Property Checklist]]></title>
<description><![CDATA[You&#39;ll need to provide the following information when you see your accountant
]]></description>
<content><![CDATA[You&#39;ll need to provide the following information when you see your accountant

Income


	Real estate annual statement
	Any other income received


Expenses


	Loan interest - note that interest is only tax deductible if the $ were &lsquo;used&rsquo; to purchase / renovate the rental property
	Council rates
	Water rates
	Insurance
	Repairs - itemised list as some repairs may be capital and depreciatid
	Bank fees
	Depreciation &ndash; please provide a copy of the depreciation schedule


Other


	who owns the property (refer to the title)
	was it rented for the full year
	was rent charged at market rates
	was the loan re-negotiated during the year


click here for our excel worksheet
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/rental-property-checklist-117s106</guid>
<pubDate>11 Jul 2022 05:44:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-home-office-expenses-d5-117s104</link>
<title><![CDATA[ATO Tax Time Information - Home Office Expenses (D5)]]></title>
<description><![CDATA[-Running expenses

-Occupancy expenses

-Phone and internet
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-home-office-expenses-d5-117s104</guid>
<pubDate>01 Jul 2022 03:50:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-car-expenses-d1-d2-117s102</link>
<title><![CDATA[ATO Tax Time Information - Car Expenses (D1 &amp; D2)]]></title>
<description><![CDATA[Choose from 2 methods

Method 1 = Logbook

Method 2 = Cents per kilometre
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-car-expenses-d1-d2-117s102</guid>
<pubDate>19 Jun 2022 13:19:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2022-117s101</link>
<title><![CDATA[June 2022]]></title>
<description><![CDATA[
	Year End Tax Planning
	It&#39;s Time to Work ON the Business, not just IN the Business
	Buying a Business &amp; Due Diligence
	Federal Budget 2022-23 Round Up
	2022 Tax Return Checklist 

]]></description>
<content><![CDATA[As we approach the end of the 2022 financial year, tax planning has never been more important. As accountants, we believe our client brief includes helping you minimise your tax liability within the framework of the Australian taxation system.

This months newsletter explores


	Key Tax Minimisation Strategies
	Superannuation and Tax Planning
	Federal Budget main points
	Individual Checklist for your 2022 Tax return

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2022-117s101</guid>
<pubDate>10 Jun 2022 04:28:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/eofy-financial-planning-strategies-117s100</link>
<title><![CDATA[EOFY Financial Planning Strategies]]></title>
<description><![CDATA[Top 10 strategies to implement by June 30
]]></description>
<content><![CDATA[10 strategies to implement 


	Be aware of Financial Support on offer
	Check your Total Super balance
	If you have a transition to retirement pension and have now met a condition of release, notify your pension fund
	Make concessional contributions (tax deductible) 
	Consider making a spouse contribution &amp; obtain a tax saving
	Consider an after tax contribution to receive the Governments co-contribution 
	Review personal and family protection premiums
	Consider making any planned donations before 30 June
	Utilise the bring forward rules
	If you are 65 or over, and planning to sell your home, consider a superannuation contribution


Ben Graham-Nellor
Smart Happy Money

Suite 1/18-20 Floriston Road, Boronia VIC 3155
Phone: 1300 592 539
Email: ben@smarthappymoney.com.au
Website: www.smarthappymoney.com.au
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/eofy-financial-planning-strategies-117s100</guid>
<pubDate>20 May 2022 04:12:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/tax-planning-trusts-117s99</link>
<title><![CDATA[Tax Planning - Trusts]]></title>
<description><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this. 

It involves these 4 steps.
]]></description>
<content><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this

Best time to do tax planning is after you lodge your March BAS / reconcile your business transactions up to 31/03. You can do tax planning earlier if required

Tax planning involves 4 steps:


	Step 1- estimate your taxable income for the year (01/07 - 30/06)
	Step 2- calculate tax payable taking into account tax rates, offsets etc
	Step 3- strategies to minimise your tax
	Step 4- ensure you have sufficient $ set aside to pay your tax bill by the due date



Step 1- Estimate your business profit the year (01/07 - 30/06)

Firstly, we do a quick review of your profit &amp; loss and balance sheet to ensure there are no issues OR items that need to be factored into our calculations eg new asset purchase 

We take your current year profit (July - March) and add an estimate for Q4 (April - June). The estimate is based on last year&#39;s Q4 profit and the previous 9mths profit

example

July - March $100,000 sales less $40,000 expenses = $60,000 business profit
April - June profit estimate = $60,000 / 3 = $20,000
Total business profit for the year is estimated at $60,000 + $20,000 = $80,000

We recommend you use a qualified bookkeeper &amp; computerised bookkeeping program such as

-Xero (recommended)
-MYOB
-Quickbooks


Step 2- Calculate tax payable

Trusts normally distribute all profits to individual and company beneficiaries

Individual beneficiaries pay tax on profits at individual marginal tax rates 
Company beneficiaries pay tax on profits at company tax rates

Profits which are not distributed are taxed by the Trustee at the highest individual marginal tax rates (section 99A)

You will need to estimate tax for the whole group i.e. directors, beneficiaries and spouses as this will affect Trust decisions such as distribution resolutions


Step 3- Strategies to minimise your tax

You can legally minimise tax by


	reducing income
	increasing deductions


But beware of &#39;part IV A&#39; which states the dominant purpose cannot be for tax purposes - need to tread carefully and work within the rules

Small business entities (SBE&#39;s) have concessions which are favourable to businesses which earn under $10m

Before deciding how to reduce your business income / increase your deductions you first need to determine whether your business is on the &#39;accrual&#39; or &#39;cash&#39; basis for income tax

Most businesses are on an accrual basis for income tax and on a cash basis for GST

Accrual basis
You are taxed on income when invoiced / you claim a deduction when invoiced i.e. invoice date

Reduce Business Income


	Invoice your customer after 30/06 rather than before 30/06


Increase Business Deductions


	Ask your supplier to invoice you pre 30/06 rather than after 30/06
	Make additional concessional super contributions (limits apply)
	
		Your fund MUST receive the funds by 30 June
	
	
	Pay June quarter super in Mid June as apposed to Mid July
	Pay bills up to 12mths in advance eg rent (SBE only)
	Update tools which are going to help you do your job better / faster
	
		Items under the instant asset write-off limit are immediately written off when paid &amp; installed (the 2024-25 limit is $20,000)
		Items over the instant asset write-off limit are depreciated at 15% in yr1 then 30% in yr 2 onwards
	
	


Cash basis
You are taxed on income when received / you claim a deduction when paid

Reduce Business Income


	Ask your customer to hold off paying you until after 30/06


Increase Business Deductions


	Pay bills pre 30/06 rather than after 30/06
	Make additional concessional super contributions (limits apply)
	
		Your fund MUST receive the funds by 30 June
	
	
	Pay bills up to 12mths in advance eg rent (SBE only)
	Update tools which are going to help you do your job better / faster
	
		Items under the instant asset write-off limit are immediately written off when paid &amp; installed (the 2024-25 limit is $20,000)
		from 01/07/2025 the limit has been reduced to $1,000
		I&#x200B;&#x200B;&#x200B;&#x200B;&#x200B;&#x200B;items over the instant asset write-off limit are depreciated at 15% in yr1 then 30% in yr 2 onwards
	
	



Owner Wages

If the business is running at a loss consider reducing your wages

Before adjusting your wages and business profits consider how it will affect the following, if applicable

Business


	Profits
	Cash flow
	Work cover insurance premiums
	Superannuation guarantee
	Payroll tax
	Director (Div 7A) Loans
	Business finance applications
	Valuing your business
	Selling your business


Individual


	Taxable Income
	Adjusted Taxable Income &ndash; including reportable super &amp; reportable fringe benefits
	Income tax rates including the tax-free threshold
	Tax return offsets
	Government benefits such as Child Care Benefit &amp; Family Tax Benefit Part A &amp; B 
	Study and training loan repayment thresholds and rates eg HECS
	Medicare levy
	Medicare levy surcharge
	Leave entitlements
	Income protection insurance claims
	Work cover insurance claims
	Concessional superannuation contribution limits
	Government super co-contribution
	Div 293 tax
	Personal finance applications - banks will use your latest notice of assessment and will also want to see the business is profitable after adding back items such as depreciation
	Child support



&#x200B;&#x200B;&#x200B;&#x200B;&#x200B;&#x200B;&#x200B;Step 4- Ensure you have sufficient $ set aside to pay your tax bill by the due date

Set aside funds regularly eg weekly to cover BAS, Super, Work Cover, Payroll Tax and Income Tax, if applicable

Don&#39;t put your head in the sand - once you are behind it can be very difficult to catch up

If you do fall behind and you are unable to pay your tax when due we recommend you enter into a payment plan with the ATO

But note all future debts must be lodged and paid on time or the payment plan will default. The more you default the harder it will be to negotiate a new payment plan

The ATO can garnish wages and bank accounts if you are not effectively engaging with the ATO to manage the debt. They can also report large debts to Australian credit bureaus
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/tax-planning-trusts-117s99</guid>
<pubDate>09 Apr 2022 03:25:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/tax-planning-companies-117s98</link>
<title><![CDATA[Tax Planning - Companies]]></title>
<description><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this

Tax planning involves 4 steps:


	Step 1- estimate your taxable income for the year (01/07 - 30/06)
	Step 2- calculate tax payable taking into account tax rates, offsets etc
	Step 3- strategies to minimise your tax
	Step 4- ensure you have sufficient $ set aside to pay your tax bill by the due date


Step 1- Estimate your business profit the year (01/07 - 30/06)

Best time to do tax planning is after you lodge your March BAS / reconcile your business transactions up to 31/03

Add to this an estimate of business profit (income less deductions) for April to June. You can estimate this figure OR divide the July - March results by 3

example

July - March $100,000 sales less $40,000 expenses = $60,000 business profit
April - June profit estimate = $60,000 / 3 = $20,000
Total business profit for the year is estimated at $60,000 + $20,000 = $80,000

We recommend you use a qualified bookkeeper &amp; computerised bookkeeping program such as

-Xero (recommended)
-MYOB
-Quickbooks

Step 2- Calculate tax payable

Taxable payable = Taxable income x company tax rate less tax instalments already paid to the ATO

You will need to estimate tax for the whole group i.e. directors, shareholders and spouses as this will affect Company decisions such as declaring dividends

Step 3- Strategies to minimise your tax

You can legally minimise tax by


	reducing income
	increasing deductions


But beware of &#39;part IV A&#39; which states the dominant purpose cannot be for tax purposes - need to tread carefully and work within the rules

Small business entities have concessions which are favourable to businesses which earn under $10m

Before deciding how to reduce your business income / increase your deductions you first need to determine whether your business is on the &#39;accrual&#39; or &#39;cash&#39; basis for income tax

Most businesses are on an accrual basis for income tax and a cash basis for GST

Accrual basis - you are taxed on income when invoiced / you claim a deduction when invoiced i.e. invoice date

Cash basis - you are taxed on income when received / you claim a deduction when paid

Reduce Business Income

Cash basis


	ask your customer to hold off paying you until after 30/06


Accrual basis


	don&#39;t invoice your customer until after 30/06


Increase Business Deductions

Cash basis


	pay bills now you would otherwise hold off on paying until later


Accrual basis


	ask your supplier to invoice you pre 30/06 rather than after 30/06


Small Business Entities (SBE)

Special rules apply to SBE&#39;s


	temporary full expensing of depreciable assets - special rules apply to cars


Superannuation

Superannuation is on a cash basis - you claim a deduction only when received by the fund

If you want to claim a deduction in the current tax year we recommend paying by  the 20th June

Concessional &amp; non-concessional limits apply

Director Wages

If the business is running at a loss consider reducing Director wages

Before adjusting Director wages consider how it will affect the following, if applicable


	Government benefits such as
	
		Family Tax Benefit Part A &amp; B
		Child care rebate
	
	
	Medicare Levy Surcharge (not payable if the WHOLE family has appropriate Hospital Cover)
	Private Health Insurance rebate
	Business profits
	Business cash flow
	Work Cover insurance premiums
	Superannuation guarantee
	Superannuation concessional limits
	Payroll tax
	Applying for a loan in your personal name - banks will use your latest notice of assessment and will want to see that the business is profitable
	Income protection insurance
	Child support
	Selling your business
	etc


Step 4- Ensure you have sufficient $ set aside to pay your ATO and other employee obligations by the due dates

Set aside funds regularly eg weekly to cover BAS, Super, Work Cover, Payroll Tax and Income Tax, if applicable

Don&#39;t put your head in the sand - once you are behind it can be very difficult to catch up

If you do fall behind and you are unable to pay your tax when due we recommend you enter into a payment plan with the ATO

But note all future debts must be lodged and paid on time or the payment plan will default. The more you default the harder it will be to negotiate a new payment plan

The ATO can garnish wages and bank accounts if you are not effectively engaging with the ATO to manage the debt. They can also report large debts to Australian credit bureas
]]></description>
<content><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this

Tax planning involves 4 steps:


	Step 1- estimate your taxable income for the year (01/07 - 30/06)
	Step 2- calculate tax payable taking into account tax rates, offsets etc
	Step 3- strategies to minimise your tax
	Step 4- ensure you have sufficient $ set aside to pay your tax bill by the due date


Step 1- Estimate your business profit the year (01/07 - 30/06)

Best time to do tax planning is after you lodge your March BAS / reconcile your business transactions up to 31/03

Add to this an estimate of business profit (income less deductions) for April to June. You can estimate this figure OR divide the July - March results by 3

example

July - March $100,000 sales less $40,000 expenses = $60,000 business profit
April - June profit estimate = $60,000 / 3 = $20,000
Total business profit for the year is estimated at $60,000 + $20,000 = $80,000

We recommend you use a qualified bookkeeper &amp; computerised bookkeeping program such as

-Xero (recommended)
-MYOB
-Quickbooks

Step 2- Calculate tax payable

Taxable payable = Taxable income x company tax rate less tax instalments already paid to the ATO

You will need to estimate tax for the whole group i.e. directors, shareholders and spouses as this will affect Company decisions such as declaring dividends

Step 3- Strategies to minimise your tax

You can legally minimise tax by


	reducing income
	increasing deductions


But beware of &#39;part IV A&#39; which states the dominant purpose cannot be for tax purposes - need to tread carefully and work within the rules

Small business entities have concessions which are favourable to businesses which earn under $10m

Before deciding how to reduce your business income / increase your deductions you first need to determine whether your business is on the &#39;accrual&#39; or &#39;cash&#39; basis for income tax

Most businesses are on an accrual basis for income tax and a cash basis for GST

Accrual basis - you are taxed on income when invoiced / you claim a deduction when invoiced i.e. invoice date

Cash basis - you are taxed on income when received / you claim a deduction when paid

Reduce Business Income

Cash basis


	ask your customer to hold off paying you until after 30/06


Accrual basis


	don&#39;t invoice your customer until after 30/06


Increase Business Deductions

Cash basis


	pay bills now you would otherwise hold off on paying until later


Accrual basis


	ask your supplier to invoice you pre 30/06 rather than after 30/06


Small Business Entities (SBE)

Special rules apply to SBE&#39;s


	temporary full expensing of depreciable assets - special rules apply to cars


Superannuation

Superannuation is on a cash basis - you claim a deduction only when received by the fund

If you want to claim a deduction in the current tax year we recommend paying by  the 20th June

Concessional &amp; non-concessional limits apply

Director Wages

If the business is running at a loss consider reducing Director wages

Before adjusting Director wages consider how it will affect the following, if applicable


	Government benefits such as
	
		Family Tax Benefit Part A &amp; B
		Child care rebate
	
	
	Medicare Levy Surcharge (not payable if the WHOLE family has appropriate Hospital Cover)
	Private Health Insurance rebate
	Business profits
	Business cash flow
	Work Cover insurance premiums
	Superannuation guarantee
	Superannuation concessional limits
	Payroll tax
	Applying for a loan in your personal name - banks will use your latest notice of assessment and will want to see that the business is profitable
	Income protection insurance
	Child support
	Selling your business
	etc


Step 4- Ensure you have sufficient $ set aside to pay your ATO and other employee obligations by the due dates

Set aside funds regularly eg weekly to cover BAS, Super, Work Cover, Payroll Tax and Income Tax, if applicable

Don&#39;t put your head in the sand - once you are behind it can be very difficult to catch up

If you do fall behind and you are unable to pay your tax when due we recommend you enter into a payment plan with the ATO

But note all future debts must be lodged and paid on time or the payment plan will default. The more you default the harder it will be to negotiate a new payment plan

The ATO can garnish wages and bank accounts if you are not effectively engaging with the ATO to manage the debt. They can also report large debts to Australian credit bureas
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/tax-planning-companies-117s98</guid>
<pubDate>09 Apr 2022 03:11:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/my-sole-trader-business-profit-is-45-000.-where-has-the-profit-gone-117s97</link>
<title><![CDATA[My sole trader business profit is $45,000. Where has the profit gone?]]></title>
<description><![CDATA[To work this out you need to run the Balance Sheet report as at 30 June this year and compare it to 30 June last year

Example- Profit $45,000


	
		
			 
			
			30/06/2022
			
			
			30/06/2021
			
			
			Difference
			
		
		
			
			Assets
			
			 
			 
			 
		
		
			
			Bank
			
			
			18,000
			
			
			18,000
			
			
			0
			
		
		
			
			Accounts Receivable
			(owed by customers)
			
			
			18,000
			
			
			15,000
			
			
			+3,000
			
		
		
			
			Owner Loan / Drawings
			
			
			25,000
			
			
			5,000
			
			
			+20,000
			
		
		
			 
			
			 
			
			
			 
			
			
			-----------
			
		
		
			
			Assets have increased by
			
			
			 
			
			
			 
			
			
			23,000
			
		
		
			 
			 
			 
			 
		
		
			
			Liabilities
			
			 
			 
			 
		
		
			
			Credit Card
			
			
			1,000
			
			
			3,000
			
			
			-2,000
			
		
		
			
			Accounts Payable
			(owed to suppliers)
			
			
			11,000
			
			
			21,000
			
			
			-10,000
			
		
		
			
			ATO Debt
			
			
			2,000
			
			
			12,000
			
			
			-10,000
			
		
		
			 
			
			 
			
			 
			
			-----------
			
		
		
			
			Liabilities have decreased by
			
			 
			 
			
			22,000
			
		
		
			 
			 
			 
			
			-----------
			
		
		
			
			Total
			
			 
			 
			
			$45,000
			
		
	



In Summary
-$20,000 has been taken by the owner
-$22,000 liabilities have been paid off
-customers owe extra $3,000 compared to same time last year
]]></description>
<content><![CDATA[To work this out you need to run the Balance Sheet report as at 30 June this year and compare it to 30 June last year

Example- Profit $45,000


	
		
			 
			
			30/06/2022
			
			
			30/06/2021
			
			
			Difference
			
		
		
			
			Assets
			
			 
			 
			 
		
		
			
			Bank
			
			
			18,000
			
			
			18,000
			
			
			0
			
		
		
			
			Accounts Receivable
			(owed by customers)
			
			
			18,000
			
			
			15,000
			
			
			+3,000
			
		
		
			
			Owner Loan / Drawings
			
			
			25,000
			
			
			5,000
			
			
			+20,000
			
		
		
			 
			
			 
			
			
			 
			
			
			-----------
			
		
		
			
			Assets have increased by
			
			
			 
			
			
			 
			
			
			23,000
			
		
		
			 
			 
			 
			 
		
		
			
			Liabilities
			
			 
			 
			 
		
		
			
			Credit Card
			
			
			1,000
			
			
			3,000
			
			
			-2,000
			
		
		
			
			Accounts Payable
			(owed to suppliers)
			
			
			11,000
			
			
			21,000
			
			
			-10,000
			
		
		
			
			ATO Debt
			
			
			2,000
			
			
			12,000
			
			
			-10,000
			
		
		
			 
			
			 
			
			 
			
			-----------
			
		
		
			
			Liabilities have decreased by
			
			 
			 
			
			22,000
			
		
		
			 
			 
			 
			
			-----------
			
		
		
			
			Total
			
			 
			 
			
			$45,000
			
		
	



In Summary
-$20,000 has been taken by the owner
-$22,000 liabilities have been paid off
-customers owe extra $3,000 compared to same time last year
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/my-sole-trader-business-profit-is-45-000.-where-has-the-profit-gone-117s97</guid>
<pubDate>09 Apr 2022 03:06:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/what-happens-if-i-take-drawings-from-the-business-does-it-reduce-profits-tax-117s96</link>
<title><![CDATA[What happens if I take drawings from the business? Does it reduce profits &amp; tax?]]></title>
<description><![CDATA[Answer:

a) It reduces the bank balance and the amount the business owes you.

b) No - it does not reduce profit or tax

Director withdraws $10,000


	
		
			 
			
			BS / PL
			
			
			Before
			
			
			Adjustment
			
			
			After
			
		
		
			
			Bank
			
			
			BS
			
			
			40,000
			
			
			-10,000
			
			
			30,000
			
		
		
			
			Loan owing to Director
			
			
			BS
			
			
			25,000
			
			
			-10,000
			
			
			15,000
			
		
		
			 
			 
			 
			 
			 
		
	



There is no change to the PL
There is no change to the PL

There is no change to Tax
]]></description>
<content><![CDATA[Answer:

a) It reduces the bank balance and the amount the business owes you.

b) No - it does not reduce profit or tax

Director withdraws $10,000


	
		
			 
			
			BS / PL
			
			
			Before
			
			
			Adjustment
			
			
			After
			
		
		
			
			Bank
			
			
			BS
			
			
			40,000
			
			
			-10,000
			
			
			30,000
			
		
		
			
			Loan owing to Director
			
			
			BS
			
			
			25,000
			
			
			-10,000
			
			
			15,000
			
		
		
			 
			 
			 
			 
			 
		
	



There is no change to the PL
There is no change to the PL

There is no change to Tax
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/what-happens-if-i-take-drawings-from-the-business-does-it-reduce-profits-tax-117s96</guid>
<pubDate>09 Apr 2022 02:52:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/profit-and-loss-statement-and-balance-sheet-what-do-they-mean-117s95</link>
<title><![CDATA[Profit and Loss Statement and Balance Sheet - what do they mean?]]></title>
<description><![CDATA[Profit and Loss Statement (PL)

PL shows how much profit a business has made

Income

-sales
-bank interest

less Expenses

-purchases/materials
-bank fees
-car expenses
-rent
-wages
-super etc

equals Profit

Balance Sheet (BS)

The BS shows the businesses assets and liabilities (who it owes $ to)

Assets

-bank
-stock
-accounts receivable
-equipment
-cars

Liabilities

-credit card
-accounts payable
-ATO BAS debt
-finance
-loan from director

Tax

Tax is payable on the profits (after tax adjustments*)

-Sole Traders pay tax on profits* plus other income eg wages less deductions eg work related expenses at individual marginal tax rates

-Companies pay tax on profits* at company tax rates

-Trusts normally distribute the profits to beneficiaries - Individual beneficiaries pay tax on profits* at individual marginal tax rates. Company beneficiaries pay tax on profits* at company tax rates
]]></description>
<content><![CDATA[Profit and Loss Statement (PL)

PL shows how much profit a business has made

Income

-sales
-bank interest

less Expenses

-purchases/materials
-bank fees
-car expenses
-rent
-wages
-super etc

equals Profit

Balance Sheet (BS)

The BS shows the businesses assets and liabilities (who it owes $ to)

Assets

-bank
-stock
-accounts receivable
-equipment
-cars

Liabilities

-credit card
-accounts payable
-ATO BAS debt
-finance
-loan from director

Tax

Tax is payable on the profits (after tax adjustments*)

-Sole Traders pay tax on profits* plus other income eg wages less deductions eg work related expenses at individual marginal tax rates

-Companies pay tax on profits* at company tax rates

-Trusts normally distribute the profits to beneficiaries - Individual beneficiaries pay tax on profits* at individual marginal tax rates. Company beneficiaries pay tax on profits* at company tax rates
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/profit-and-loss-statement-and-balance-sheet-what-do-they-mean-117s95</guid>
<pubDate>08 Apr 2022 04:04:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/tax-planning-sole-traders-117s92</link>
<title><![CDATA[Tax Planning - Sole Traders]]></title>
<description><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this

Tax planning involves 4 steps:


	step 1- estimate your taxable income for the year (01/07 - 30/06)
	step 2- calculate tax payable taking into account tax rates, offsets etc
	step 3- strategies to minimise your tax
	step 4- ensure you have sufficient $ set aside to pay your tax bill by the due date


see below for a detailed explanation
 

Step 1- Estimate your business profit the year (01/07 - 30/06)

Best time to do tax planning is after you lodge your March BAS / reconcile your business transactions up to 31/03.

Add to this an estimate of business profit (income less deductions ATO link) for April to June. You can estimate this figure OR divide the July - March results by 3

example

July - March $100,000 sales less $40,000 expenses = $60,000 business profit
April - June profit estimate = $60,000 / 3 = $20,000
Total business profit for the year is estimated at $60,000 + $20,000 = $80,000

Once your sales reach $75,000 * or if you employ staff we recommend you use a qualified bookkeeper &amp; computerised bookkeeping program such as

-Xero (recommended)
-MYOB
-Quickbooks

* you will need to register for GST once your sales reach the GST turnover threshold (ATO link)

ATO Small Business Guides

Step 2- Calculate tax payable

Income

-gross wages
-bank interest
-net rental property income
-capital gains (eg sale of crypto)
-business profit e.g. $80,000 (refer above example)

less deductions

-work related expenses
-donations
-tax agent fees
-income protection insurance
-concessional superannuation contributions (limits apply)

Equals taxable income

Tax is payable on your taxable income at marginal tax rates less tax offsets etc. We recommend using a qualified tax agent to do this calculation. You can opt to use the ATO simple tax calculator but note that it exludes medicare levy, rebates, HECS debts etc - it is a &#39;simple&#39; calcuator

Tax Estimate
-If your taxable income is below $30,000 keep aside 10% of business profit
-If your taxable income is between $30,000 and $70,000 keep aside 20% of business profit
-If your taxable income is between $70,000 and $150,000 keep aside 30% of business profit
-If your taxable income is more than $150,000 keep aside 40% of business profit

You should also take into consideration your spouses taxable income as this could affect your decisions

Note that generally you cannot split income with your spouse. Refer to the ATO PSI rules
 

Step 3- Strategies to minimise your tax

You can legally minimise tax by


	reducing business income
	increasing business deductions 


Before deciding how to reduce your business income / increase your deductions you first need to determine whether your business is on the &#39;accrual&#39; or &#39;cash&#39; basis for income tax

Note- you may be on a different method for GST - most businesses are on a cash basis for GST

If unsure ask your accountant / tax agent

Accrual basis - you are taxed on income when invoiced / you claim a deduction when invoiced i.e. invoice date

Cash basis - you are taxed on income when received / you claim a deduction when paid

Business Income

1-Deferring Income
Deferring Income until the following year

Business Expenses

1- Prepaying Expenses
You can claim an immediate deduction for prepaid expenses where the payment covers a period of 12 months or less that ends in the next income year

2-Write-off Bad Debts
Write-off bad debts before 30 June to claim a bad debt deduction

3-Assets under $20,000
Small business entities MUST write off assets purchased under $20,000 (new or second hand) provided the asset is installed and ready for use

Assets over $20,000 are depreciated at 15% in year 1 then 0% in year 2 onwards

Ends 30/06/2025

4-Employee Superannuation
Pay your employee super by 30 June (normally due by 28 July)
Employee superannuation is on a cash basis - you claim a deduction only when received by the fund

Individual taxpayer deductions

1-Superannuation

Sole traders cannot be employees of their own business therefore the compulsory super contribution (SG) rules do not apply. They can however make voluntary super contributions and claim a tax deduction (conditions apply)

Consider making non-concessional contributions of up to $1,000 to receive the governments $500 co-contribution. conditions apply

2- Maximising Home Office Deductions

Claim home office expenses using 2 methods:
-Fixed Rate
-Actual Costs

ATO link

3-Other

If you are a high income earner and your spouse is a low income earner then income is better in the low income earners name eg bank interest

If you are a high income earner and your spouse is a low income earner then deductions are better in the high income earners name eg donations

 

Step 4- Ensure you have sufficient $ set aside to pay your tax bill by the due date

Don&#39;t put your head in the sand - once you are behind it can be very difficult to catch up

If you do fall behind and you are unable to pay your tax when due we recommend you enter into a payment plan with the ATO

But note all future debts must be lodged and paid on time or the payment plan will default. The more you default the harder it will be to negotiate a new payment plan
]]></description>
<content><![CDATA[Tax planning is the process of estimating your current year&#39;s taxable income and tax payable and taking steps to minimise this

Tax planning involves 4 steps:


	step 1- estimate your taxable income for the year (01/07 - 30/06)
	step 2- calculate tax payable taking into account tax rates, offsets etc
	step 3- strategies to minimise your tax
	step 4- ensure you have sufficient $ set aside to pay your tax bill by the due date


see below for a detailed explanation
 

Step 1- Estimate your business profit the year (01/07 - 30/06)

Best time to do tax planning is after you lodge your March BAS / reconcile your business transactions up to 31/03.

Add to this an estimate of business profit (income less deductions ATO link) for April to June. You can estimate this figure OR divide the July - March results by 3

example

July - March $100,000 sales less $40,000 expenses = $60,000 business profit
April - June profit estimate = $60,000 / 3 = $20,000
Total business profit for the year is estimated at $60,000 + $20,000 = $80,000

Once your sales reach $75,000 * or if you employ staff we recommend you use a qualified bookkeeper &amp; computerised bookkeeping program such as

-Xero (recommended)
-MYOB
-Quickbooks

* you will need to register for GST once your sales reach the GST turnover threshold (ATO link)

ATO Small Business Guides

Step 2- Calculate tax payable

Income

-gross wages
-bank interest
-net rental property income
-capital gains (eg sale of crypto)
-business profit e.g. $80,000 (refer above example)

less deductions

-work related expenses
-donations
-tax agent fees
-income protection insurance
-concessional superannuation contributions (limits apply)

Equals taxable income

Tax is payable on your taxable income at marginal tax rates less tax offsets etc. We recommend using a qualified tax agent to do this calculation. You can opt to use the ATO simple tax calculator but note that it exludes medicare levy, rebates, HECS debts etc - it is a &#39;simple&#39; calcuator

Tax Estimate
-If your taxable income is below $30,000 keep aside 10% of business profit
-If your taxable income is between $30,000 and $70,000 keep aside 20% of business profit
-If your taxable income is between $70,000 and $150,000 keep aside 30% of business profit
-If your taxable income is more than $150,000 keep aside 40% of business profit

You should also take into consideration your spouses taxable income as this could affect your decisions

Note that generally you cannot split income with your spouse. Refer to the ATO PSI rules
 

Step 3- Strategies to minimise your tax

You can legally minimise tax by


	reducing business income
	increasing business deductions 


Before deciding how to reduce your business income / increase your deductions you first need to determine whether your business is on the &#39;accrual&#39; or &#39;cash&#39; basis for income tax

Note- you may be on a different method for GST - most businesses are on a cash basis for GST

If unsure ask your accountant / tax agent

Accrual basis - you are taxed on income when invoiced / you claim a deduction when invoiced i.e. invoice date

Cash basis - you are taxed on income when received / you claim a deduction when paid

Business Income

1-Deferring Income
Deferring Income until the following year

Business Expenses

1- Prepaying Expenses
You can claim an immediate deduction for prepaid expenses where the payment covers a period of 12 months or less that ends in the next income year

2-Write-off Bad Debts
Write-off bad debts before 30 June to claim a bad debt deduction

3-Assets under $20,000
Small business entities MUST write off assets purchased under $20,000 (new or second hand) provided the asset is installed and ready for use

Assets over $20,000 are depreciated at 15% in year 1 then 0% in year 2 onwards

Ends 30/06/2025

4-Employee Superannuation
Pay your employee super by 30 June (normally due by 28 July)
Employee superannuation is on a cash basis - you claim a deduction only when received by the fund

Individual taxpayer deductions

1-Superannuation

Sole traders cannot be employees of their own business therefore the compulsory super contribution (SG) rules do not apply. They can however make voluntary super contributions and claim a tax deduction (conditions apply)

Consider making non-concessional contributions of up to $1,000 to receive the governments $500 co-contribution. conditions apply

2- Maximising Home Office Deductions

Claim home office expenses using 2 methods:
-Fixed Rate
-Actual Costs

ATO link

3-Other

If you are a high income earner and your spouse is a low income earner then income is better in the low income earners name eg bank interest

If you are a high income earner and your spouse is a low income earner then deductions are better in the high income earners name eg donations

 

Step 4- Ensure you have sufficient $ set aside to pay your tax bill by the due date

Don&#39;t put your head in the sand - once you are behind it can be very difficult to catch up

If you do fall behind and you are unable to pay your tax when due we recommend you enter into a payment plan with the ATO

But note all future debts must be lodged and paid on time or the payment plan will default. The more you default the harder it will be to negotiate a new payment plan
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/tax-planning-sole-traders-117s92</guid>
<pubDate>24 Mar 2022 04:51:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/buying-a-car-117s91</link>
<title><![CDATA[Buying a Car]]></title>
<description><![CDATA[IMPORTANT: If unsure as to whether your vehicle / dual cab ute is an exempt vehicle please contact us BEFORE purchasing it
]]></description>
<content><![CDATA[Cars

There are 2 types of cars


	Type 1 = car (eg. suv, sedan)
	Type 2 = vehicle (eg. ute, van) - not principally designed to carry passengers


Type 1 = car (eg. suv, sedan)

You can claim a deduction for work use using 1 of 2 methods (choose the best method each year)


	Cents per km method (individuals, sole traders and partnerships only)
	Log Book method


Cents per km method (individuals, sole traders and partneships only)
Claim up to 5,000 work km (based on a reasonable estimate) x ATO set rate

-2021-22 rate is $0.72 per km
-Based on a reasonable basis
-You need to show how you worked out your claim
-Log book is not required
-You do not need receipts

Log book method
Claim actual expenses by work use % - based on log book

Expenses include Fuel, Rego, Insurance, Repairs, Depreciation, Finance Interest

Depreciation
Claim 25% of the car cost up to car limit ($60,733 for 2021-22 tax year) reduced by personal use

Special depreciation rules apply for small business entities (SBE) using simplified depreciation up to 30/06/2023

You must claim 100% of depreciation in the year the car is purchased provided installed &amp; ready for use - reduced by an non-business use

GST
If registered for GST you can claim GST up to the car limit (max $5,521 for 2021-22 tax year) reduced by any non-business use

Example 1- you buy car for $55,000 including GST - used 60% per work

GST claimed = $55,000 / 11 = $5,000 x 60% = $3,000

depreciation claimed yr1 = $55,000 - $5,000 GST = $50,000 x 25% = $12,500 x 60% = $7,500
depreciation claimed yr2 = $50,000 - $12,500 = $37,500 x 25% = $9,375 x 60% = $5,625
depreciation claimed yr3 = $37,500 - $9,375 = $28,125 x 25% = $7,031 x 60% = $4,218
and so on

If you are NOT registered for GST the depreciation is

depreciation claimed yr1 = $55,000 - $0 GST = $55,000 x 25% = $13,750 x 60% = $8,250 and so on
 

Log book rules

-Log book must be started by 30/06 in the year you wish to use it
-Must be kept for 12 consecutive weeks that is representative of your travel throughout the year
-Lasts 5 years, even if your change cars
-Must keep opening / closing odomter readings each year
-Must estimate work use each year - if work use varies &gt; 10% from original log book % then need to do a new log book
-Must keep receipts for 5 years

Finance
Finace using Chattel Mortgage (preferred if registered for GST), or Hire Purchase


Fringe Benefits provided to employees
If your business provides car benefits (non-exempt car eg SUV) to an employee and there is private use you will be required to lodge a fringe benefits tax (FBT) return and pay tax on the private use.

Directors and their associates eg spouse can allocate their private use to their loans accounts and avoid paying FBT but they may need to pay dividends to reduce their loan account to nil.

Type 2 = motor vehicle (eg. van, single cab utes, some dual cab utes)

You can claim 100% of your vehicle costs &amp; GST (i.e. car GST and depreciation limits do not apply) provided your private use is


	minor
	infrequent
	irregular


Private trips must be

-less than 200km per trip
-less than 1,000km per year
-diversions between home and work should be less than 2km in total

Having a child seat in your vehicle for instance indicates the private use is not infrequent

Private trips to / from work are disregarded

You DO NOT need a Log Book

Dual Cab Utes - special rules apply

If the payload (GVM - kerb weight) is under 1 tonne = car (type 1)
If the payload (GVM - kerb weight) is over 1 tonne = vehicle (type 2)

Note - altering the manufacturer&#39;s specifications from say 950kg to 1020kg will not change the car from type 1 to type 2

Example 2- GST registered business buys an exempt vehicle for $110,000 including GST on 12/05/2022 and takes delivery by 30/06/2022

GST claimed = $10,000
Immediate depreciation claimed = $100,000

Fringe Benefits provided to employees

If your business provides car benefits (non-exempt car eg SUV) to an employee and there is private use you will be required to lodge a fringe benefits tax (FBT) return and pay tax on the private use. 

Directors and their associates eg spouse can allocate their private use to their loans accounts and avoid paying FBT but they may need to pay dividends to reduce their loan account to nil.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/buying-a-car-117s91</guid>
<pubDate>18 Mar 2022 12:37:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2022-117s89</link>
<title><![CDATA[March 2022]]></title>
<description><![CDATA[
	The Key Ingredients for Business Success - Part 3
	Great Teams Build Great Businesses
	Winning Website
	Video, Technology &amp; Software
	Customer Database and CRM system


Marketing Essentials for Business Start-Ups


	Branding
	Website
	Social Media


 
]]></description>
<content><![CDATA[In part one and two of this series of articles we identified the fact that there is no secret formula that guarantees financial success in business. 

In part three, we look at the importance of building a great tea, building a customer database and having a lead generation website (including video content).
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2022-117s89</guid>
<pubDate>07 Mar 2022 00:18:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/bookkeeping-software-117s88</link>
<title><![CDATA[Bookkeeping software]]></title>
<description><![CDATA[We recommend Xero (for most clients)

Other common bookkeeping software includes


	MYOB
	Quickbooks
	Reckon
	Sassu

]]></description>
<content><![CDATA[www.xero.com.au

Monthly subscription from $10/mth

Standard Plan ($59/mth)


	Send invoices and quotes
	Enter bills
	Reconcile bank transactions
	Hubdoc - data capture
	Payroll for 2 people
	Analytics - short-term cash flow and business snapshot


Standard Plan ($76/mth) includes the featurs of a Standard Plan plus


	Payroll for 5 people
	Auto Superannuation
	Multi currency


https://www.xero.com/au/pricing-plans/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/bookkeeping-software-117s88</guid>
<pubDate>15 Dec 2021 14:16:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/paying-workers-links-117s86</link>
<title><![CDATA[Paying Workers - Links]]></title>
<description><![CDATA[Take care when employing contractors as they may actually be employees in the eyes of the ATO.

Work cover, payroll tax and super may also be payable - you will need to refer to the relevant authority&#39;s website for further information
]]></description>
<content><![CDATA[ATO


	https://www.ato.gov.au/businesses-and-organisations/hiring-and-paying-your-workers/employee-or-independent-contractor
	https://www.ato.gov.au/businesses-and-organisations/hiring-and-paying-your-workers?=redirected_URL


Super


	https://www.ato.gov.au/businesses-and-organisations/super-for-employers/work-out-if-you-have-to-pay-super
	www.ato.gov.au/business/super-for-employers/work-out-if-you-have-to-pay-super/super-for-contractors/


Work Safe


	https://www.worksafe.vic.gov.au/understanding-who-and-isnt-your-worker
	https://www.worksafe.vic.gov.au/resources/contractor-guideline-flowchart


SRO Payroll Tax


	https://www.sro.vic.gov.au/contractors


Fairwork


	Fairwork


ABN Lookup


	https://abr.business.gov.au/

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/paying-workers-links-117s86</guid>
<pubDate>15 Dec 2021 13:49:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-super-rules-117s85</link>
<title><![CDATA[ATO Super Rules]]></title>
<description><![CDATA[For employers
]]></description>
<content><![CDATA[https://www.ato.gov.au/business/super-for-employers/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-super-rules-117s85</guid>
<pubDate>15 Dec 2021 13:46:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/mental-health-117s84</link>
<title><![CDATA[Mental Health]]></title>
<description><![CDATA[https://www.workwell.vic.gov.au/
]]></description>
<content><![CDATA[https://www.workwell.vic.gov.au/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/mental-health-117s84</guid>
<pubDate>15 Dec 2021 13:42:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/how-much-super-do-you-need-117s83</link>
<title><![CDATA[How much super do you need]]></title>
<description><![CDATA[How much super do you need to retire depends on the lifestyle you want
]]></description>
<content><![CDATA[https://moneysmart.gov.au/grow-your-super/how-much-super-you-need

ASFA estimates that the lump sum needed at retirement to support a comfortable lifestyle is $690,000 for a couple and $595,000 for a single person. This assumes a partial Age Pension.

ASFA estimates that a modest lifestyle, which covers the basics, is mostly met by the Age Pension. They estimate the lump sum needed to support a modest lifestyle for a single or couple is $100,000.

figures as at March 2023
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/how-much-super-do-you-need-117s83</guid>
<pubDate>15 Dec 2021 13:32:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/starting-a-business-117s80</link>
<title><![CDATA[Starting a business]]></title>
<description><![CDATA[When starting a business &amp; deciding which entity to use (sole trader, trust, company) we focus of 4 things

 

1-Asset Protection - protecting business owners assets

2-Income Tax Minimisation

3-Capital Gains Tax Minimisation - when selling / exiting

4-Exit / Sale of Business

Other considerations include &ndash; director wages &amp; super, work cover, image, note that some businesses will only deal with a company/trust as opposed to sole traders

Make a free 30min no obligation appointment with us
]]></description>
<content><![CDATA[1-Asset Protection

* this article is a work in progress *

The 4 most common structures used for businesses are 1- sole trader 2-partnership 3- company and 4-  family trust

 

Sole Trader

Advantages / Benefits


	Simplest structure available
	No setup costs
	Lower accounting fees


Disadvantages / Costs


	No asset protection
	No work cover insurance for business owner
	All businness profits are taxed in the hands of the business owner
	Difficult to split income with spouse


 

Partnership

2 or more entities (usually individuals) who share income &amp; assets

Advantages / Benefits


	No setup costs
	Easier
	Accounting fees are lower
	Easier to split income with spouse


Disadvantages / Costs


	No asset protection
	No work cover insurance for business owner
	All businness profits are taxed in the hands of the business owner according to partnership agreement


Company

The trustee is responsible for business operations

Advantages / Benefits


	Limited asset protection as it is a separate legal entity
	Income tax minimisation / ability to retain profits in the company
	
		Base rate entities are taxed at 25%
		Other companies are taxed at 30%
	
	
	Access small business concessions
	Succession planning
	
		Ability to add / remove shareholders
		You can sell the company or just the assets of the company
	
	


Disadvantages / Costs


	Once off setup cost is $1,980 (Tax Slayer) includes meeting and advice
	Annual filing fees $342 (ASIC)
	Annual company management fee $220 (Tax Slayer)
	Annual accounting fees start from $2,200 (Tax Slayer)
	Unable to access the capital gains 50% general discount
	Losses are trapped and carried forward &ndash; subject to tests
	ATO rules (subject to change)
	If you want to take $ out of the company it will need to be paid as wages / dividends / repaid back to the company over 7 years plus interest


 

Family Trust (with Company trustee)

Advantages / Benefits


	Limited asset protection (assumes corporate trustee) as it is a separate legal entity
	Access the capital gains 50% general discount
	Access small business concessions
	Ability to distribute to a &ldquo;bucket company&rdquo; &ndash; taxed at 30%
	Income tax minimisation
	
		Income can be split
		Ability to distribute $ to beneficiaries on lower marginal tax rates &ndash; although the ATO is currently looking to restrict this
	
	
	Succession planning
	
		You can only sell the assets eg stock, equipment, goodwill &ndash; you cannot sell the Trust
	
	
	Wide list of beneficiaries including
	
		adult children
		parents
		siblings
	
	


 

Disadvantages / Costs


	Once off setup cost is $3,300 including corporate trustee (Tax Slayer) includes meeting and advice
	Annual filing fees $342 (ASIC)
	Annual company management fee $220 (Tax Slayer)
	Annual accounting fees from $2,200 (Tax Slayer)
	Lifespan of 80 years
	Requires a trustee &ndash; individual / company (recommended)
	Losses are trapped and carried forward &ndash; subject to tests
	Unable to add business partners
	Profits must be paid to beneficiaries
	Profits retained at top marginal rates i.e. 45%. Alternatively profits can be paid to a bucket company
	ATO rules (subject to change)


 

See also

ATO

business.gov.au

business.gov.au - starting a business checklist

business.vic.gov.au

Xero

ASIC
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/starting-a-business-117s80</guid>
<pubDate>15 Dec 2021 13:21:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/business-victoria-117s79</link>
<title><![CDATA[Business Victoria]]></title>
<description><![CDATA[https://business.vic.gov.au/

Starting a business https://business.vic.gov.au/search-results?query=startingabusiness
]]></description>
<content><![CDATA[https://business.vic.gov.au/

Starting a business https://business.vic.gov.au/search-results?query=startingabusiness
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/business-victoria-117s79</guid>
<pubDate>15 Dec 2021 13:17:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/fair-work-ombudsman-117s78</link>
<title><![CDATA[Fair Work Ombudsman]]></title>
<description><![CDATA[https://www.fairwork.gov.au/
]]></description>
<content><![CDATA[https://www.fairwork.gov.au/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/fair-work-ombudsman-117s78</guid>
<pubDate>15 Dec 2021 13:16:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/payroll-tax-vic-117s77</link>
<title><![CDATA[Payroll Tax (Vic)]]></title>
<description><![CDATA[https://www.sro.vic.gov.au/payroll-tax
]]></description>
<content><![CDATA[https://www.sro.vic.gov.au/payroll-tax
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/payroll-tax-vic-117s77</guid>
<pubDate>15 Dec 2021 13:14:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/work-cover-vic-117s76</link>
<title><![CDATA[Work Cover (Vic)]]></title>
<description><![CDATA[https://www.worksafe.vic.gov.au/

https://www.workwell.vic.gov.au/
]]></description>
<content><![CDATA[https://www.worksafe.vic.gov.au/

https://www.workwell.vic.gov.au/
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/work-cover-vic-117s76</guid>
<pubDate>15 Dec 2021 13:12:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/australian-taxation-office-117s75</link>
<title><![CDATA[Australian Taxation Office]]></title>
<description><![CDATA[ATO Links
]]></description>
<content><![CDATA[https://www.ato.gov.au/

https://www.ato.gov.au/businesses-and-organisations/starting-registering-or-closing-a-business/starting-your-own-business

 

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/australian-taxation-office-117s75</guid>
<pubDate>15 Dec 2021 13:04:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-record-keeping-rules-d1-d5-117s73</link>
<title><![CDATA[ATO Tax Time Information - Record Keeping Rules (D1-D5)]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-record-keeping-rules-d1-d5-117s73</guid>
<pubDate>07 Dec 2021 09:55:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-self-education-expenses-d4-117s72</link>
<title><![CDATA[ATO Tax Time Information - Self-education Expenses (D4)]]></title>
<description><![CDATA[General expenses eg course fees and books

Depreciating assets eg laptop

Car expenses
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-self-education-expenses-d4-117s72</guid>
<pubDate>07 Dec 2021 09:52:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-clothing-laundry-deductions-d3-117s71</link>
<title><![CDATA[ATO Tax Time Information - Clothing &amp; Laundry Deductions (D3)]]></title>
<description><![CDATA[Occupation specific

Protective

Compulsory uniform

Non-compulsory uniform (registered with AusIndustry)
]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-clothing-laundry-deductions-d3-117s71</guid>
<pubDate>07 Dec 2021 09:51:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/ato-tax-time-information-travel-expenses-d2-117s70</link>
<title><![CDATA[ATO Tax Time Information - Travel Expenses (D2)]]></title>
<description><![CDATA[Tolls

Parking

Motor vehicles (other than cars)

Local travel

Overseas travel
]]></description>
<content><![CDATA[ 

 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ato-tax-time-information-travel-expenses-d2-117s70</guid>
<pubDate>07 Dec 2021 09:49:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/car-expenses-which-trips-are-claimable-as-work-/-business-trips-117s69</link>
<title><![CDATA[Car Expenses - which trips are claimable as work / business trips]]></title>
<description><![CDATA[Which trips are claimable as work / business trips?
]]></description>
<content><![CDATA[Which trips are claimable as work trips?

In limited circumstances, you can claim the cost of trips between home and work, where:

&#x25A0; your home was a base of employment (that is, you were required to start your work at home and travel to a workplace to continue your work for the same employer)

&#x25A0; you had shifting places of employment (that is, you regularly worked at more than one site each day before returning home)

&#x25A0; you carry bulky tools or equipment for work and all of the following apply:
&ndash; the tools or equipment are essential to perform your employment duties and you don&rsquo;t carry them merely as a matter of choice
&ndash; the tools or equipment are bulky &ndash; meaning that because of their size and weight they are awkward to transport and can only be transported conveniently by the use of a  motor vehicle
&ndash; there is no secure storage for such items at the workplace

Employees (including Sole Traders working in home office)


	
		
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
		
		
			
			Home
			
			
			No
			
			
			Place of employment/ business
			
			
			No
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Home
			
			
			No
			
			
			Place of employment/ business
			
			
			Yes
			
			
			Client or Alternative Premises
			
			
			Yes
			
			
			Home
			
		
		
			
			Home
			
			
			No
			
			
			Place of employment/ business
			
			
			Yes
			
			
			Second job
			
			
			No
			
			
			Home
			
		
		
			
			Home
			
			
			Yes
			
			
			Client or alternative premises
			
			
			Yes
			
			
			Place of employment/ business
			
			
			No
			
			
			Home
			
		
		
			
			Home
			
			
			Yes
			
			
			Client
			
			
			Yes
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Place of employment/ business
			
			
			No
			
			
			Post Office
			
			
			No
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Home
			
			
			No
			
			
			Place of employment/ business
			
			
			No
			
			
			Home
			
			
			No
			
			
			Place of employment/ business
			
		
		
			
			Home based business
			
			
			No
			
			
			Place of employment
			
			
			Yes
			
			
			Place of Business 
			
			
			No
			
			
			Home
			
		
	


 

 

Business Owners (including Sole Traders working at home as a &quot;place of business&quot; - tests apply)


	
		
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
			
			Work

			Yes/No
			
			
			 
			
		
		
			
			Home
			
			
			Yes
			
			
			Place of employment/ business
			
			
			Yes
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Home
			
			
			Yes
			
			
			Place of employment/ business
			
			
			Yes
			
			
			Client or Alternative Premises
			
			
			Yes
			
			
			Home
			
		
		
			
			Home
			
			
			Yes
			
			
			Client or alternative premises
			
			
			Yes
			
			
			Place of employment/ business
			
			
			No
			
			
			Home
			
		
		
			
			Home
			
			
			Yes
			
			
			Client
			
			
			Yes
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Home
			
			
			Yes
			
			
			Post Office
			
			
			No
			
			
			Home
			
			
			 
			
			
			 
			
		
		
			
			Home
			
			
			Yes
			
			
			Place of employment/ business
			
			
			Yes
			
			
			Home
			
			
			Yes
			
			
			Place of employment/ business
			
		
		
			
			Home
			
			
			Yes
			
			
			Place of employment
			
			
			Yes
			
			
			Place of Business 
			
			
			Yes
			
			
			Home
			
		
	


 
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/car-expenses-which-trips-are-claimable-as-work-/-business-trips-117s69</guid>
<pubDate>07 Dec 2021 09:44:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2021-117s67</link>
<title><![CDATA[December 2021]]></title>
<description><![CDATA[
	The Key Ingredients for Business Success - Part 2
	Government Locks in Director ID Deadline
	Preparing to Sell Your Business
	ATO&#39;s New Stapled Super Fund Rules
	Why Do New Businesses Fail?

]]></description>
<content><![CDATA[Marketing - Doom, Gloom or Boom?

When you&#39;re starting your business, you need to wear a lot of hats. Inventor, production manager, receptionist, bookkeeper and cleaner just to name a few. You also need to fill the role as marketing manager and successful businesses have a aclear marketing plan. In the digital age, your marketing could be the difference between Doom, Gloom and Boom.

Download the latest December 2021 Newsletter below
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2021-117s67</guid>
<pubDate>02 Dec 2021 04:03:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/director-id-new-117s66</link>
<title><![CDATA[Director ID (NEW)]]></title>
<description><![CDATA[A unique 15-digit identifier given to a director which will be kept forever. It will help to prevent the use of false or fraudulent director identities
]]></description>
<content><![CDATA[A 15-digit identifier given to a director

A unique identifier you will keep forever. It will help to prevent the use of false or fraudulent director identities

When you must apply for your director ID depends on the date you become a director.


	
		
			Date you become a director
			Date you must apply                                                 
		
	
	
		
			On or before 31 October 2021
			By 30 November 2022
		
		
			Between 1 November 2021 and 4 April 2022       
			Within 28 days of appointment
		
		
			From 5 April 2022
			Before appointment
		
	


 

https://www.abrs.gov.au/director-identification-number/about-director-id
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/director-id-new-117s66</guid>
<pubDate>16 Nov 2021 06:58:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/why-use-a-tax-agent-117s65</link>
<title><![CDATA[Why Use A Tax Agent]]></title>
<description><![CDATA[Tax Agents will help you to minimise your tax and their fee is tax deductible
]]></description>
<content><![CDATA[For a lot of people, using a tax agent to lodge your tax return is the easiest way to ensure you&#39;re claiming everything that you&#39;re eligible for. Here&#39;s how tax agents can help you this tax time:


	Claim the tax agent fee as a tax deduction. You might be surprised to learn that the cost of using a tax agent is completely tax deductible.
	Claim more deductions. Tax agents know the ins and outs of the tax system so they&#39;ll be able to help you claim everything you&#39;re entitled to, even things you might not be aware that you&#39;re entitled to claim.
	Claim correctly. If you don&#39;t claim your deductions correctly, you could be hit with a fine from the ATO. Tax agents will help make sure you&#39;ve claimed everything correctly so you can have peace of mind after you lodge your return.
	Help with calculations. Claiming things like home office expenses and car use can be really tricky and time consuming. You&#39;ll often need to create a log book, or show your working for figuring out how much you can claim. Tax agents are professionals at this, so it can save you a lot of time and stress.
	Offer tax tips. Tax agents can also offer you extra tax tips and tips for organising your finances in general.

]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/why-use-a-tax-agent-117s65</guid>
<pubDate>19 Sep 2021 05:57:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2021-117s64</link>
<title><![CDATA[September 2021]]></title>
<description><![CDATA[
	The Key Ingredients for Business Success - Part 1
	COVID-19 Grants &amp; Subsidies

]]></description>
<content><![CDATA[At some stage in life, most people entertain the idea of starting a business. The attraction of being your own boss offering more freedom and potentially a higher income is almost irresistible. While there&rsquo;s no magic potion or secret formula that guarantees business success, highly successful businesses have some common characteristics that we will explore across a series of articles.

Are You Suited to Entrepreneurship?

Before we explore the common denominators of successful businesses, let&rsquo;s look at whether you have the right DNA to run a business. People go into business for a multitude of reasons, but some people almost fall into business by accident. While entrepreneurship sounds attractive, it isn&rsquo;t for everyone and the traits of successful business owners often include being disciplined, organised, passionate, skilled and creative. If you want to go into business you need to be prepared to make sacrifices including working longer hours plus selfemployment comes with added pressure, stress and risk. The survival rate in the first five years isn&rsquo;t encouraging with around 50% of Australian small businesses disappearing in that timeframe.

Download the latest September 2021 Newsletter below
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2021-117s64</guid>
<pubDate>10 Sep 2021 14:20:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2021-117s62</link>
<title><![CDATA[June 2021]]></title>
<description><![CDATA[
	2021 budget highlights
	Year end tax planning
	Superannuation and tax planning

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2021-117s62</guid>
<pubDate>16 Jul 2021 14:43:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2021-117s61</link>
<title><![CDATA[March 2021]]></title>
<description><![CDATA[
	Planning for a pandemic
	Coronavirus vaccine rollout
	What drives business growth and profits
	Ways to grow your business

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2021-117s61</guid>
<pubDate>16 Jul 2021 14:42:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2020-117s60</link>
<title><![CDATA[December 2020]]></title>
<description><![CDATA[
	Is it the right time to start a business
	Jobkeeper scam
	2020-21 federal budget summary

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2020-117s60</guid>
<pubDate>16 Jul 2021 14:40:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2020-117s59</link>
<title><![CDATA[September 2020]]></title>
<description><![CDATA[
	Marketing in preparation for a post-pandemic world
	Closing a business
	Jobkeeper extension
	Business lessons from a pandemic
	Car expense &amp; home office claims

]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2020-117s59</guid>
<pubDate>16 Jul 2021 14:39:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2020-117s58</link>
<title><![CDATA[June 2020]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2020-117s58</guid>
<pubDate>16 Jul 2021 14:37:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2020-117s57</link>
<title><![CDATA[March 2020]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2020-117s57</guid>
<pubDate>16 Jul 2021 14:36:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2019-117s55</link>
<title><![CDATA[December 2019]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2019-117s55</guid>
<pubDate>16 Jul 2021 14:35:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2019-117s54</link>
<title><![CDATA[September 2019]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2019-117s54</guid>
<pubDate>16 Jul 2021 14:33:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/june-2019-117s52</link>
<title><![CDATA[June 2019]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/june-2019-117s52</guid>
<pubDate>16 Jul 2021 14:25:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/march-2019-117s51</link>
<title><![CDATA[March 2019]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/march-2019-117s51</guid>
<pubDate>16 Jul 2021 14:24:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/december-2018-117s50</link>
<title><![CDATA[December 2018]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/december-2018-117s50</guid>
<pubDate>16 Jul 2021 14:23:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/september-2018-117s49</link>
<title><![CDATA[September 2018]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/september-2018-117s49</guid>
<pubDate>16 Jul 2021 14:22:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-teachers-117s47</link>
<title><![CDATA[2023 Individual Tax Return Checklist - Teachers]]></title>
<description><![CDATA[]]></description>
<content><![CDATA[]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/2023-individual-tax-return-checklist-teachers-117s47</guid>
<pubDate>14 Jul 2021 07:41:00 GMT</pubDate>
</item>

<item>
<link>https://www.taxslayer.com.au/blog/the-5-phases-of-buying-a-business-117s41</link>
<title><![CDATA[The 5 Phases of Buying a Business]]></title>
<description><![CDATA[If you&rsquo;re thinking of buying a business, you need to understand that it is a process. Basically, there are five stages or phases. Read our blog on what these stages/phases are.
]]></description>
<content><![CDATA[1. Due Diligence

When you&#39;re investigating buying a business and potentially spending several hundred thousand dollars, it&rsquo;s vitally important that you to do a detailed review of the business&#39; operations, financials and reputation. This is the &lsquo;due diligence&rsquo; process.

There&rsquo;s a lot at stake so you can&rsquo;t just rely on gut feel and trust your instincts. You probably wouldn&rsquo;t buy a second-hand car for $20,000 without a detailed inspection by a qualified mechanic so if you&rsquo;re planning on spending fifty, a hundred or two hundred thousand dollars to buy a business then you need to complete a comprehensive review of the business.

Buying a business is exciting and can be a whirlwind but it&rsquo;s also a process that requires planning and patience. To minimise the risk, you need access to financial data of the business including historical sales figures. How profitable is the business and what assets are included in the sale? What are the terms of the lease on the building and what stock is included in the sale? There&rsquo;s a long list of questions around the financial aspects of the business and it all starts with a financial health check. If the business doesn&rsquo;t satisfy the financial test, then it&rsquo;s probably not worth investigating the other aspects. As a guide here are some questions we would ask regarding the financials.


	Have you received and analysed the financial records for the past 3 years including profit and loss statements and tax returns? There is no substitute for certified copies of financial statements and never rely on statements simply generated by the vendor&rsquo;s accounting software.
	Is there a list of plant and equipment plus fixtures and fittings that the owner intends to sell and where has the valuation come from for these items? Are any of these items under finance agreements (lease or chattel mortgage)?
	Details of any stock being sold with the business and the valuation method. How will it be counted and valued at settlement?
	Do sales and purchase records reconcile to bank statements? Have the records been well kept? Are the total sales broken down by product or service line?
	Does the business have potential for growth and if so, what is your plan to turn that potential into profit? Can you increase sales with the current resources?
	Based on past financial results, have you done a future cash flow projection and profit forecast? What is the break-even point and are profits adequate to warrant the risk of buying?
	What are the sales patterns year-by-year and month-by-month? Is there a seasonal pattern? What is the sales mix (the ratio of each product sold to total sales)? Do a small percentage of customers or clients represent a large percentage of sales?
	Are there any one-off sales that won&rsquo;t be recurring? What is the impact on profit?
	Are you buying the accounts receivable/debtors? If so, do you have an aged listing of them?
	Has the existing owner received any pre-payments (e.g. deposits) that should be handed over to you at settlement?


Of course, this is just the tip of the iceberg and every business is different. You&rsquo;ll also need a thorough understanding of the industry, trends and latest technology being used. You should know why the vendor is selling the business. Basically, the due diligence process is all about making sure you know what you are buying and making sure the price is fair and reasonable. You don&rsquo;t want any surprises after you complete the purchase.

2. The Offer and Acceptance

Once you have done your due diligence the next stage is to make an offer to buy the business. The offer should be in writing and set out the terms and conditions to avoid any misunderstandings down the track. Of course, once the offer is accepted you should get the acceptance in writing. The offer should be clear about:


	The purchase price and payment terms - deposit, retention and settlement amounts.
	What assets are included in the sale - goodwill, stock, plant and equipment, client lists, website, phone numbers etc.
	Treatment of existing employees - who is to be retained and on what terms?
	Whether the sale is subject to any special conditions - e.g. satisfactory due diligence or finance approval.
	Whether the vendor will provide any handover - training and ongoing involvement.
	Restraint or non-compete clause to be imposed on the vendor. At this stage there is no legal requirement to pay a deposit, however, most vendors will request one. If you pay a deposit, we recommend you pay it to a third party like a solicitor or business broker rather than directly to the vendor.


3. Contract Review

Once agreement has been reached regarding the general terms of the sale, you move to the next phase and get the solicitor to draft a contract of sale.

Both parties will review the contract and you can expect changes as the contract goes back and forth with revisions. Having a solicitor who specialises in business sales can save time and money and all correspondence between the buyer and vendor should be channelled through them. Make sure you review the draft contract with your solicitor and understand the terms. You&rsquo;ll normally find the contract contains a number of clauses that seem favourable to one party or the other and remember, the buyer is risking their money, so you need to be negotiable.

4. Negotiations and Exchange

After you and your solicitor have reviewed the contract you will need to provide the other party with your feedback. Typically, the changes to the contract will be handled by the respective solicitors. The contract review should identify any issues or points for negotiation. When the parties finally reach agreement, it&rsquo;s time to sign (execute) the contract. The deposit is normally paid at this point and the vendor should start to plan the transfer of the business&rsquo; assets.

5. Settlement

Leading up to settlement, you should finalise your due diligence and satisfy yourself that the vendor&rsquo;s information and financials are accurate. You should also ensure that the following items are ready to be transferred to the buyer at settlement:


	Business Assets including the Business Name and Website Domain Name(s)
	Phone and Fax Numbers
	Client Lists
	Employees
	Lease on the Business Premises


You should also calculate price adjustments for the following:


	Any rent or rates prepaid
	Employees leave entitlements
	Lay Buys or Deposits
	Stock on hand (at cost or agreed value)


With the price now finalised it&rsquo;s time to settle and make payment. Assuming you&rsquo;ve followed the steps above you can complete the handover of keys and provide the signed forms to transfer the business assets, including the trading name and domain name etc. Finally, if you&rsquo;re looking to buy or sell a business, please don&rsquo;t hesitate to contact us.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/the-5-phases-of-buying-a-business-117s41</guid>
<pubDate>22 Jun 2021 07:09:00 GMT</pubDate>
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<link>https://www.taxslayer.com.au/blog/ways-to-grow-your-business-your-ideal-type-of-customer-117s40</link>
<title><![CDATA[Ways to Grow Your Business - Your Ideal Type of Customer]]></title>
<description><![CDATA[Everyone wants to grow their business but sadly there&rsquo;s no simple formula that guarantees growth. In fact, no amount of enthusiasm, passion, hard work or talent can guarantee business growth.
]]></description>
<content><![CDATA[Attracting new customers is a great way to grow your business but you really want more of your ideal type of customer. These customers might buy from you regularly, spend more money than your average customer and give you plenty of referrals. They might also pay their invoices on time!

To get results from your advertising and other marketing strategies it&#39;s important to be clear on what type of customer you want to attract. Identify the characteristics of your best customers - their age, gender, income, location, or occupation. For business customers, consider their industry type, approximate revenue, location, and number of staff.

Be sure to ask your team&#39;s opinions too and get them to break down the purchase history of these customers to identify how often they buy; their average spend and what products they prefer. If you know the habits of your ideal customers, you can tailor your marketing to win more of them. It&rsquo;s a bit like fishing, if you know what type of fish you want to catch you use specific bait and tackle.

To win more new customers consider the following strategies:

Increasing the Number of Customers (of the type you want) 

Target Marketing - You don&rsquo;t necessarily want to market to everyone, so you need to focus your attention on winning your ideal type of customer. This could mean targeting a certain gender, age group, income level or people in a geographic location. The next question is, where do they &lsquo;hang out&rsquo;? It could be online and more specifically it could be on Facebook. The good news is Facebook lets you target groups with ads based on specific criteria so you can really hone in on your ideal customers with targeted ads.

Riches in Niches - For some businesses it makes sense to focus on niche markets. You could have expertise in a particular type of service or you may specialise in an industry. Either way, there are &lsquo;riches in niches&rsquo; and you need to become a &lsquo;visible expert&rsquo;, which could mean speaking at industry conferences, writing articles in trade magazines or writing a series of blogs on your area of expertise.

Develop a Point of Difference - If you don&rsquo;t have a point of difference in your business, you&rsquo;re probably only competing on price, which is a recipe for disaster. What makes your business stand out in the crowd? Do you have a unique selling point (USP) that differentiates your business from your competitors? If nothing comes to mind it is time to think of ways you can differentiate your brand and communicate this to your target market. It could be the simplicity of your product, your guarantee or even your rewards program.

Research your Market - You need to understand your customer&rsquo;s needs and preferences so you can market to their needs. Know your customer&rsquo;s key frustrations and focus your marketing on the benefits you offer. Avoid just selling the product features and focus on the benefits your customer will derive from using the product.

Review your Website - Your website is your marketing heart and given the majority of people start their search online, it needs to be working 24/7 365 days of the year to promote your products and services. All too often we find websites are just &lsquo;electronic billboards&rsquo; that list the who, what and where of the business. Think about what you want the visitors to your website to do and make sure you guide them to take the next step with calls to action like - call us now, book a free meeting, call for a free quote or get a free product sample. Your website should generate leads which may require other features like social proof and testimonials, videos, a blog, e-books, and whitepapers.

Search Engine Optimisation (SEO) - there is no point having a great website if it is invisible to the search engines like Google. If you run a plumbing or electrical business where do you appear on a search for plumbers in your suburb? Search engine optimisation is a science, but you also need to build inbound links to your website, label images on your website with key words and create unique and relevant content that resonates with your target market. Your website should &lsquo;talk&rsquo; to these prospects and tell them how you can help them solve their problems or fill their needs.

Video is now an essential part of your marketing arsenal and YouTube is now the second largest search engine. Videos can bring more traffic to your website; reinforce your expertise and they may also give you a point of difference compared to your competitors. You don&rsquo;t need expensive video cameras or big budgets to produce effective videos.

Social Media is the digital &lsquo;word of mouth&rsquo; and if your target market is people under 50 you simply cannot afford to dismiss channels like Instagram, Facebook, and Twitter etc. If you&rsquo;re targeting 18&ndash;45-year-old customers, social media might be one of your most valuable marketing channels.

Build a List &ndash; Statistics show that 80% of sales are made after the fifth contact with a potential customer. For that reason, you need to keep building your list of prospects. One of the most important things your website should do is entice prospects to exchange their name and email address for a piece of your content. It could be an e-book, whitepaper, newsletter, checklist, or video but this allows you to build a pipeline of prospects and keep marketing to them. Remember, not everyone who lands on your website is ready to buy so building a list and adding them to future marketing campaigns is a key strategy to winning more new customers.

Develop a Sales System - A systemised approach to selling based on an effective sales method is a must-have for increasing your customer database. To encourage your prospects to make a purchase you should automate and systematise the process, so your customers get a consistent and positive experience.

Create Sales Forecasts - Projecting future sales is also part of increasing sales. It&rsquo;s much easier to get to your destination if you know where you are going. Establish a goal or target so you can monitor your own performance. It could also mean identifying how many new customers you need to win each week or month. If you don&rsquo;t measure you can&rsquo;t manage.

Finally, think about other ways to promote your business. There are so many options but start by focusing on where your ideal customers gather together. Join networks, update your LinkedIn profile, send out press releases regarding your new products or services, run webinars or seminars and don&rsquo;t forget to encourage referrals. Think about creating reciprocal referral agreements with a non-competitive business who share the same type of target market. Hairdressers, nail technicians and beauty therapists are great examples.
]]></content>
<guid isPermaLink="true">https://www.taxslayer.com.au/blog/ways-to-grow-your-business-your-ideal-type-of-customer-117s40</guid>
<pubDate>22 Jun 2021 06:50:00 GMT</pubDate>
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<link>https://www.taxslayer.com.au/blog/what-drives-your-business-growth-and-profits-117s33</link>
<title><![CDATA[What Drives Your Business Growth and Profits?]]></title>
<description><![CDATA[Every business owner wants to grow their business and their profits. While there&rsquo;s no secret formula or recipe, the fact is, business growth and improved profitability are outcomes achieved as a result of processes including marketing, your expertise, customer service and your team&rsquo;s performance.
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<content><![CDATA[Let&rsquo;s examine some of the key drivers of growth and profitability.

1. Planning &ndash; where do you see your business going in the future? What level of profit and growth are you targeting for next year? The definition of insanity in business is doing things the same way and expecting different results. Without a plan to achieve your targets you are just hoping all the moving parts of your business sync together. Unfortunately, hope is not a strategy that delivers growth.

What is your vision for the business and how do you plan to get there? Without a roadmap all roads lead to nowhere. Having a business plan including financial forecasts is really the start of the process because it should identify what resources you need, the equipment and finance requirements. Will you launch new products and services? To achieve the forecast growth, what level of staff will you need?

Another part of the planning process should be a SWOT Analysis to ascertain your business Strengths, Weaknesses, Opportunities and Threats. Nobody saw COVID-19 coming but pandemics and snap lockdowns are part of the landscape and you need a contingency plan to deal with such events. As they say, Failing to Prepare is Preparing to Fail.

2. Technology has been a game changer in many industries and the rate of change continues to accelerate. Before the pandemic arrived a lot of business owners were contemplating some sort of digital transformation to keep up with their competitors and deliver a better customer experience. When COVID-19 arrived, remote working became an urgent priority to keep staff working. Businesses had to invest in technology to help staff transition from office-based to home-based employment and technology that was once considered a luxury became a necessity.

There&rsquo;s been a massive shift in our daily business habits with face to face meetings replaced by video calls on platforms like Zoom, Google Meet, and Microsoft Teams. Going forward, these platforms may well become the default communication method for both internal and external meetings. Travel time has been slashed as a result and this looks like being a significant legacy of COVID.

Think about what technology you need to speed up your processes, improve productivity, reduce costs and produce better products and services. The right software can save time, help manage your inventory, reduce waste and generate repeat business with service reminders. It can also automate your marketing efforts. Most importantly, the right software lets you keep your finger on the pulse of the business and monitor all the key financial data.

3. Marketing &ndash; We suspected that the business model that relies almost exclusively on distribution of products through retail brick-and-mortar sites was under threat. With buildings and shopping centres closed through the lockdown, consumers quickly adapted and shifted their spending online. With consumers confined to their homes, e-commerce sales exploded and this massive shift to online sales is here to stay. To make the most of this shift in consumer behaviour it&#39;s time to review your website and make sure you have an e-commerce store to satisfy customer demand.

Increasing traffic to your site may be as simple as utilising the blog section of your website effectively. Chances are there is already a blog or news section on your website but nobody is posting anything, or only rarely. If you struggle for what to write in your blog section, head to a question and answer site such as Whirlpool or Quora and find questions related to your industry, product or service and use that question as the title of your blog post and answer the question. Visitors to your site appreciate this content and it will increase your SEO.

Engaging with your customers in this way and via social media channels is no longer optional with your prospects and customers living online. It&rsquo;s fair to say, for the majority of businesses, your marketing could be the difference between Doom, Gloom and Boom.

4. Team &ndash; In Michael Gerber&rsquo;s book, The EMyth Revisited, a key message for business owners was the need to &lsquo;work on the business, not just in the business&rsquo;. This message should resonate with every entrepreneur and you need to create a business that works independent of you. The purpose of your life is not to serve your business, it&rsquo;s for the business to serve your life.

Sounds good in theory and the key is finding the right people to run the operational side of the business to free you up. Experienced and trained people who can follow your systems and procedures allow you to delegate tasks that you don&rsquo;t have to do. Rather than manning the sales desk, phones or warehouse you can spend time on the key business drivers like marketing. Wages are often the biggest expense in a business for a reason and their performance can have a massive impact on your growth and profitability.

Leadership usually includes managing the team and innovating - that means providing the right tools so the team can perform their tasks efficiently. 
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<pubDate>10 May 2021 05:33:00 GMT</pubDate>
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<link>https://www.taxslayer.com.au/blog/ato-scammer-warning-117s30</link>
<title><![CDATA[ATO Scammer warning]]></title>
<description><![CDATA[The ATO has warned there are two main scripts the scammers are currently using.
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<content><![CDATA[The ATO has warned there are two main scripts the scammers are currently using


	Your TFN has been suspended as scammers have your TFN details. You need to transfer all your money to the ATO in order to protect it while we sort it out.
	Your TFN has been used illegally and you need to move all the money in your bank account to a holding account pending the outcome of legal action.


For further information refer to the ATO website

https://www.ato.gov.au/general/online-services/identity-security/scam-alerts/
]]></content>
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<pubDate>11 Mar 2021 04:31:00 GMT</pubDate>
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<link>https://www.taxslayer.com.au/blog/coronavirus-vaccine-rollout-117s32</link>
<title><![CDATA[Coronavirus Vaccine Rollout]]></title>
<description><![CDATA[Here&rsquo;s What Business Owners Need to Know About Australia&rsquo;s Rollout of the Coronavirus Vaccine.
]]></description>
<content><![CDATA[With the rollout of Australia&rsquo;s coronavirus vaccine scheduled to commence in early March there are some key things that every small business owner needs to know. 

The medical regulator has approved both the Pfizer vaccine and the Oxford University - AstraZeneca coronavirus vaccine and the order of the vaccine rollout will see quarantine and border workers, frontline health care workers, aged care workers and disability care staff at the front of the queue. 

Next in the queue are workers in health care, meat processing and the public services including police, army, fire, and emergency services. The elderly (aged 70 to 79), Aboriginal and Torres Strait Islander people aged 55 and above, and younger adults with underlying medical conditions will also be prioritised to receive the jab.

The next phase includes mainly adults aged 50 to 69 plus &lsquo;other critical and high-risk workers&rsquo; but there are no details about these specific industries. The final rollout of the vaccine will be to the general adult population and lastly teenagers 16 and under. At this stage there is no definitive dates as to when these phases will start and finish, but the process will take months.

Can You Insist Staff Take the Vaccine?

The Government expect a small percentage of the population to resist inoculation and given the importance of the coronavirus vaccine to public health and economic recovery, they are launching a massive three phase advertising campaign to educate the public and remove any fears or concerns.

The Federal Government have said the coronavirus vaccine will not be compulsory, however, some industries will require workers to get vaccinated.

Legal experts suggest some employers have the right to introduce a vaccine policy in their business, particularly if there is a significant risk to workplace health and safety. Obviously high-risk. 

Industries including hospitals, meat processing, aged care facilities and organisations that work with children are expected to push for vaccination. For other industries, it is somewhat of a grey area and it will depend on the industry conditions and balancing the employer&rsquo;s duty of care to others with the employee&rsquo;s reason for rejecting the vaccine.

The Fairwork Ombudsman states that there are limited circumstances where an employer may require their employees to be vaccinated against coronavirus. Employers that have an enterprise (or registered) agreement or employment contract in place requiring vaccinations (which would need to be updated to specifically include coronavirus vaccinations) would still not be enforceable if the terms of the contract do not comply with anti-discrimination legislation. As there is currently no specific legislation or public health order enabling employers to require their employees to be vaccinated against coronavirus employers would need to consider whether it is lawful and reasonable to give their employees a direction to be vaccinated. 

The Cost of the Vaccine

The Federal Government have stated the COVID-19 vaccine will be free for all Australian permanent residents and temporary visa-holders. As such, there will be no cost to business owners.
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<pubDate>09 Mar 2021 05:15:00 GMT</pubDate>
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<link>https://www.taxslayer.com.au/blog/planning-for-a-pandemic-117s31</link>
<title><![CDATA[Planning for a Pandemic]]></title>
<description><![CDATA[There is an old saying, &lsquo;The most fertile source of insight is hindsight&rsquo;. That being the case, what can business owners learn from the COVID-19 pandemic? 
]]></description>
<content><![CDATA[American business magnate, investor, and philanthropist, Warren Buffet said, &ldquo;Only when the tide goes out do you discover who&rsquo;s been swimming naked.&rdquo; In boom times, flawed business models and poor business practices go unnoticed but when the tide turns these issues surface. The pandemic arrived with very little warning, but a lot of businesses have perished and there is more to come as the income support,
rent deferrals and loan repayment lifelines all expire shortly.

The pandemic changed the way we live, work and play. Apart from being a massive health and humanitarian crisis, the pandemic sent hundreds of thousands of businesses into hibernation and in the process, created some incredible challenges. The economy shut down, supply chains were interrupted, and we witnessed panic buying. As businesses emerge and start to adapt to the new &lsquo;normal&rsquo;, some of the temporary habits developed during the survival phase have become a permanent part of the landscape. Social distancing and staff working remotely have become mainstream and virtual meetings have replaced face to face meetings.

Consumers have embraced online shopping and research out of the US suggests that more than half (58%) of the population don&rsquo;t plan to go back to using cash after the pandemic ends, choosing instead to transition to a cash-free lifestyle.

Revival Phase

Business owners were Initially in &lsquo;survival&rsquo; mode and the Government support certainly saved many businesses. The Federal Treasurer Josh Frydenberg admitted that some businesses won&rsquo;t survive the COVID-19 pandemic. He said, &ldquo;There will be businesses that will fold, there is no doubt about that, and we can&rsquo;t save every business and we can&rsquo;t save every job.&rdquo; Obviously, some small business sectors are in a particularly precarious position including those in travel, hospitality, and event management.

In February, Victorians were put into a five day &lsquo;circuit breaker&rsquo; lockdown with stage four restrictions in place across the entire state. Business owners were given just 12 hours&rsquo; notice of the lockdown that coincided with peak season for florists and restaurants, given it was on the eve of Valentine&rsquo;s Day and Lunar New Year celebrations. It was a financial disaster for these types of businesses who were fully stocked or had ordered supplies that couldn&rsquo;t be cancelled. The fact is, there could be more pandemics, and this certainly won&rsquo;t be the only economic recession business owners have to deal with in this country. As such, every business needs to have a contingency plan.

As the Government rolls out the vaccine, we have moved into the &lsquo;revival&rsquo; phase that requires business owners to think through the strategies to operate in the new environment. Consumer behaviour has changed, and the digital domination requires business owners to invest even more resources in their online presence.

Your Digital Presence

With retail stores closed and people in lockdown, COVID-19 forced a massive shift in consumer behaviour to online shopping. We always suspected this shift was going to happen, however, the pandemic accelerated the move. According to Australia Post&rsquo;s 2020 eCommerce Industry Report, in April 2020, 5.2 million Australians shopped online, and the Australian Bureau of Statistics estimates those sales were worth $2.7 billion which is around 11.1% of all physical retail sales. This is a 56% increase compared to the 7.1% of retail sales back in March 2019.

Even as social-distancing rules ease, this trend will continue to rise. Many brick-and-mortar shops are at risk with reduced foot traffic as consumers enjoy the ease and convenience of online shopping. This massive shift to online sales will be one of the many legacies of COVID-19 and while the driving force behind the growth of online sales was necessity not consumer preference, the consumer &lsquo;tribe&rsquo; have spoken and buying online is the new &lsquo;normal&rsquo;. Businesses who aren&rsquo;t geared up for this change in consumer behaviour will pay the price.

Most businesses have some sort of digital presence with a website, however, their online sales are still only a small percentage of their total sales. The good news is, the internet is a level playing field so small business can compete with big business. In fact, some big businesses may become casualties of the pandemic which will open up opportunities to increase your market share. To capitalise, you need to be marketing right now and the focus needs to be on your digital presence.

In the last decade, the internet and social media have rewritten almost everything we knew about sales and marketing so right now is the perfect time to update your website and ramp up your social media activity. What channels work best in your industry? What are your competitors doing in that space? If we slip back into another lockdown don&#39;t sit idle, get online and do some serious research. Monitor what your competitors are doing and remember, your website will never be &lsquo;finished&rsquo; it will always be a work in progress. 

Your Website - Build it and They will Come...

In today&rsquo;s internet fuelled world, your website is the heart of your marketing. It is usually the first touch point with a prospective new customer and during the self-isolation period, people were glued to their phones, computers, and iPads. With the pandemic-driven seismic shift to online sales there&rsquo;s never been a more important time to have a website that sells your products or services.

Of course, there are websites that work, that is, they deliver new business every day of the week. On the other hand, there are nonperforming websites that are best described as &lsquo;electronic brochures&rsquo;. These websites simply list the who, what and where of the business and they don&rsquo;t generate leads or sales.

Unfortunately, we often find business owners who have spent a bucketload of money to build a &lsquo;pretty&rsquo; website that looks good but contains very little relevant content. Without original content that is relevant and interesting to your ideal type of customer you are really relying on hope to attract prospects. By contrast, producing and promoting content that targets a specific type of customer is a strategy that works.

Your website must spell out the benefits you offer prospective customers not just the features of your product or services. Focus on educating your audience and provide value. Let your content do the talking and demonstrate your expertise so visitors want to reach out and want to contact you. Obviously not everyone is ready to buy, so entice visitors to take action and as a minimum, subscribe to your mailing list.

Visitors to your website will pass judgment on your business in seconds and if your website is old and tired or doesn&rsquo;t deliver a positive customer experience it&rsquo;s time for a makeover or a new website. Take a step back and assess your current website &ndash; is it delivering new customers, clients, or patients? Is it easy to navigate? Does it differentiate you from your competitors? Does it provide everything your customers need including e-commerce facilities? Does it resonate with your ideal type of customer and is it memorable? Does it look modern, fresh, and appealing?

Compare your site with your competitors. What features on their sites give them the edge over your site? Are you missing calls to action, videos, a live chat feature, lead magnets, an online booking facility or an e-commerce store? Make sure your brand and the images on your website appeal to your target demographic.

Sadly, many business owners don&rsquo;t understand the importance of SEO (search engine optimisation). Kevin Costner famously said, &ldquo;Build it and they will come&rdquo; in the classic 1989 U.S. film, &ldquo;Field of Dreams&rdquo;.

Unfortunately, this theory doesn&rsquo;t apply to websites. To appear on page one of a search on Google is a science and it does not happen without a lot of things in place. In fact, if you aren&rsquo;t showing up on page 1 of a Google search, your website pages, blog, articles, and videos are almost invisible because ninety percent of people don&rsquo;t go past the results on page one when doing a Google search. The top 3 positions on Google account for over 60 percent of all clicks on page 1 (Position 1 = 33%, Position 2 = 18%, Position 3 = 12%) so spend some time every week to monitor your keyword rankings and try different tactics to move up the rankings. It can be a slow process but as long as you are moving up the page rankings, you are making progress. Focus on key words and phrases in your industry and tailor your content to the needs of your ideal customer and niche markets.

While this certainly creates an opportunity, do not get complacent because your competitors are probably putting their underperforming website under the magnifying glass as well. Online sales are the future and make sure your online presence delivers an innovative customer experience. 
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<pubDate>03 Mar 2021 05:05:00 GMT</pubDate>
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