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SepThe Australian Taxation Office (ATO) is giving taxpayers simple steps to help avoid an unexpected tax bill next tax time. Assistant Commissioner Rob Thomson said there are many reasons that a taxpayer may end up with a bill at tax time. “There are a number of factors that impact your tax assessment. In simple terms, if you don’t receive a refund or bill, it means you’ve paid the correct amount of tax throughout the year. If you receive a bill, it may mean you didn’t pay enough – this can be for a number of reasons,” Mr Thomson said. Simple steps you can take right now to ensure the correct amount of tax is being put aside throughout the year: […]
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SepYour social club may not be eligible for income tax exemption and may be required to report as a taxable not-for-profit. Being a not-for-profit (NFP) organisation doesn’t automatically make you exempt from paying income tax. Social clubs or associations generally don’t meet the requirements for income tax exemption either as: If your social club or association’s main purpose is providing social and recreational facilities or activities for your members to pursue their common interests, your organisation is considered taxable. If your social club or association is taxable, you need to lodge your income tax return or notify the ATO with a non-lodgment advice each year. Find out what you need to lodge at Taxable NFP Organisations. Example: A Social Club[…]
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SepTaxpayers can start lodging their tax returns With millions of pieces of information now pre-filled (including information from most banks, employers, government agencies, and private health insurers), the ATO is giving taxpayers with simple affairs the ‘green light’ to lodge their tax returns.Taxpayers who plan to claim deductions this year should make sure they have the correct records, and in most cases, “a bank or credit card statement (on its own) isn’t enough evidence to support a work-related deduction claim – you’ll need your receipts”.The ATO reminds taxpayers that the rules regarding how and when they can claim a deduction can change, including in relation to car expenses and working from home costs. Therefore, they should not just ‘copy and[…]
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AugRate Indexation Excise duty rates on tobacco goods increase in March and September each year under the law, based on average weekly ordinary time earnings (AWOTE). The AWOTE indexation factor for rates on and from 1 September 2024 is 1.018. In addition to ordinary indexation, tobacco excise and excise-equivalent customs duty will increase by an additional 5% per year for three years starting 1 September 2023. There will also be an alignment of the tax treatment of tobacco products subject to the per kilogram excise and excise-equivalent customs duty (such as roll-your-own tobacco) with the manufactured per-stick rate, by progressively lowering the ‘equivalisation weight’ from 0.7 to 0.6 grams. These progressive decreases will occur on 1 September each year from[…]
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AugReasons You Need to Lodge Each income year, you need to assess your personal circumstances to determine if you need to lodge a tax return. You may need to lodge a tax return if: Information You Need to Lodge Before lodging your tax return, be sure to understand what’s new for individuals this tax season. To lodge your tax return, we recommend having all of the following information: Note: If you lodge your tax return online using myTax, most of this information will be pre-filled for you. To lodge online, you will need to link the ATO to your myGov account. Please note: Many of the comments in this publication are general in nature and anyone intending to apply the[…]
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AugATO’s tips for correctly claiming deductions for rental properties Taxpayers who have work done on their rental property should consider the following factors in determining claims for expenses. Notice of online selling data-matching program Small business energy incentive available for the 2024 income year Importance of good record keeping when claiming work-related expenses The ATO is advising taxpayers that having records to substantiate claims is essential to prove deductions can be claimed, having regard to the following in particular: SMSFs acquiring assets from related parties SMSFs cannot acquire an asset from a ‘related party’ (such as a member or their spouse or relative) unless it is acquired at market value and is: If the asset is acquired at less than market value, the[…]
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JulWith tax time in full swing, it’s crucial to keep your business secure online by implementing systems and processes that help reduce the risk of a cyber event. It’s also essential to plan for what you’ll do if a cyber-attack occurs. Every Australian business, regardless of size, is a target for cyber-attacks. While there are practical steps you can take to enhance your business’s cyber security, it’s vital to make these steps part of your business habits. This includes safeguarding accounts, protecting devices and information, and preparing your staff to identify cyber threats. To help reduce the risk of a cyber breach: The Australian Signals Directorate, through the Australian Cyber Security Centre, is the Australian Government’s leading authority for cyber[…]
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JulJuly 2024 The next quarterly due date for SG contributions is 28 July. However, as this falls on a weekend, the super fund must receive your payment by Monday 29 July. Remember to make your payment in full, on time and to the right fund. If you don’t pay your SG contributions by the due date each quarter, you’ll need to pay the super guarantee charge. This is more than the SG contribution amount and you can’t claim it as a tax deduction. From 1 July, the SG rate increased to 11.5%, so make sure the payments you make for eligible workers on or after 1 July reflect the new rate. For the quarter ending 30 June, the 11% SG rate applied to payments you made before 1 July. The[…]
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JulATO’s ‘main residence exemption tips’ Reminder of June 2024 Quarter Superannuation Guarantee (‘SG’) Employers are reminded that employee superannuation contributions for the 1 April 2024 to 30 June 2024 quarter must be received by the relevant super funds by 28 July 2024 (which is a Sunday), in order to avoid being liable to pay the SG charge. Notice of Medicare levy exemption data-matching program The ATO will acquire Medicare Exemption Statement data from Services Australia for the 2024 to 2026 income years, including individuals’ full names, dates of birth, residential addresses, entitlement status, and approved entitlement details. The objectives of this program are to (among other things) ensure individuals are correctly claiming an exemption from payment of the Medicare levy[…]
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JunAre you ready for tax time? This might be your last chance to make any tax-deductible purchases before this financial year ends on 30 June. See if there are any tax-deductible items your business needs, or any concessions you can access. Finalise your employees’ Single Touch Payroll (STP) If you have employees, make sure you finalise their 2023–24 STP information by 14 July. This is an important end-of-year obligation and ensures your employees have the right information they need to lodge their income tax return. Remember to finalise all employees you’ve paid in the financial year, even those you haven’t paid for a while, like terminated employees. Check your pay as you go (PAYG) withholding and instalments From 1 July, individual tax rates and thresholds will change. This[…]
