June 2017 Newsletter
- Small Business Fair Payment Code
- Plant and Equipment Depreciation Changes for residential Property
- Payroll Tax Changes: Winners & Losers
- Victorian Vacant Residential Property Tax
- Recent Facebook Posts
- Most Asked Question of the Month
- Upcoming Events
|Small Business Fair Payment Code|
|Plant and Equipment Depreciation Changes for residential Property|
|Payroll Tax Changes: Winners & Losers|
|Victorian Vacant Residential Property Tax|
Recent Facebook posts you may have missed:
Is your wealth diminishing at the hands of the Tax Office?
The 30th of June only comes around once a year and it’s the last chance you will have this year to ensure you are paying the least amount of tax you are legally obliged to.
If you haven’t already please contact our office to arrange your tax planning appointment!
TRUST DISTRIBUTION MINUTES
A reminder that if you make beneficiaries entitled to trust income you should ensure that the resolution is completed by 30 June for that income year.
Failure to do so may mean that the default beneficiary will be assessed on the total income of the trust. If there is no beneficiary that trustee is likely to be assessed at the highest marginal tax rate plus the Medicare levy.
If you have not created a Trust Distribution Minute yet or need further assistance please contact our office.
Please note that if you have a MyGov account that you will receive your Notice of Assessment and any relevant PAYG Installment notice via the MyGov portal.
We are informing clients of this because we do not receive a copy of either document any more if you have a MyGov account which means you need to be checking for these documents on a regular basis and ensuring any required action occurs within the specified time period to avoid penalties.
A reminder to all employees, especially those that make salary sacrifice payments to super, that from 01/07/17 the concessional contribution cap reduces to $25,000 (the current cap is either $30,000 or $35,000 based on your age and work status).
If you have a salary sacrifice arrangement with your employer where you are currently contributing up to the current concessional cap limit you will need to scale back your contributions next financial year to avoid exceeding the new cap limits.
Remember that the concessional cap is made up of your super guarantee payments (SGL) from your employer (9.5% of your salary) plus any salary sacrifice amounts you have your employer contribute to super on your behalf. Both combined need to be under the cap limit!
Taxable Payments Annual Reporting
From the Budget those businesses in the Cleaning industry and also Courier businesses will be required to report to the ATO any payments to contractors on an annual basis.
These payments need to be reported to the ATO on the Taxable payments annual report by 28 August each year.
If you require any assistance with this please contact Watts Price Accountants.
Celebrations this month
We congratulate Gabi on achieving 20 years service & best wishes to Brian who will be celebrating a birthday this month!
Most asked question of the Month:
What does the Enterprise Tax Plan Bill mean to me?
The key takeaways from the passing of the Enterprise Tax Plan Bill are:
- Small business turnover to increase to $10m
The small business entity turnover threshold will be increased from $2m to $10m from 1 July 2016. The increased threshold means businesses with an annual turnover of less than $10m will be able to access existing small business income tax concessions except the small business capital gains tax concessions.
- Staggered cuts to the company tax rate
The company tax rate for small businesses will be reduced to 27.5% for the 2016/17 and later income years. The new legislation will also increase access to the reduced company tax rate by progressively including more companies over the next three income years.
Assistance for unincorporated small business
The unincorporated small business tax discount will be increased in phases over ten years from the current 5% to 16%.
What would you like to see?
We invite you to make suggestions on what topics you would like our team to present on. Please email your suggestions to Richard Kemp on firstname.lastname@example.org
- Working ‘on’ your business (rather than ‘in’ it)!
- Employer Obligations
- Investment Properties – to invest or not?
- Wimmera Farm Performance
- Estate Planning Basics