December 2021 Newsletter

Contents:

  • Jolly Selling Season for Wimmera Farmland
  • A Shock to the System – Spousal Asset Ruling Change
  • Land Tax Relief for Eligible Landlords & Commercial Owner Occupiers
  • Why Millennials are Turning to SMSFs
  • Unpaid Overtime Continues to Climb
  • 1 in 5 SMEs Targeted by Fraudulent Invoices
  • Announcements

Jolly Selling Season for Wimmera Farmland

There has been another strong auction result for versatile Wimmera farm land this time near the Victorian/South Australian border.

Dixons, a 295 hectare (729 acre) block 17km north of Edenhope, sold in an online auction for $3.6 million on Friday.

 

 

A Shock to the System – Spousal Asset Ruling Change

A recent judgment heard by the Full Court of the Federal Court will have a profound impact on the way accountants approach matters concerning spousal assets.
The matter of Commissioner of Taxation v Bosanac [2021] FCAFC 158 was heard recently with the judgment holding that a $4.5 million property acquired in the name of one spouse was jointly owned 50/50.
 

Land Tax Relief for Eligible Landlords & Commercial Owner Occupiers

Applications are open for further 2021 land tax relief for landlords who provide commercial tenants with rent relief between 28 July 2021 and 15 January 2022, and for commercial owner-occupiers. You must apply for this 2021 relief separately from other relief measures.
 
 
 

Why Millennials are Turning to SMSFs

The growth trajectory of more millennial SMSFs is set to continue in the years to come, according to the CEO of Smarter SMSF.
Speaking on the latest episode of The SMSF Show, co-host Aaron Dunn shared some reasons as to why the millennial cohort is commanding more share in the number of new SMSF entrants than in years past.
 
 

Unpaid Overtime Continues to Climb

The average Australian employee is losing the equivalent of more than $460 in income every fortnight, new research has found. Australian workers are currently performing an average of 6.13 hours of unpaid overtime each week, representing $125 billion of lost income in this year alone.
 
 

1 in 5 SMEs Targeted by Fraudulent Invoices

New research has found the prevalence of invoice fraud in Australia continues to rise, with small business and sole traders experiencing an average loss of $15,500 this year. As part of this week’s Scams Awareness Week (8-12 November), Xero has released data from a new survey, showing the impact fraudulent invoices have on Australia’s SME community.  
 

Office Closure

Please note that our office will be closed:
  • Friday 10th December for a staff function

Christmas Hours

Watts Price Accountants & Knights Accounting will be closed from Friday 24 December 2021 and will re-open Monday 10 January 2022.

 

Director IDs

Recent legislation has introduced new obligations for company directors requiring them to obtain a personal director identification number (‘Director ID’). 

This is particularly important as failure to comply with these new Director ID requirements may result in both civil and criminal penalties.

What is a Director ID?

A Director ID is a unique (15-digit) identifier that a director will keep forever (even if they cease being a director).  This additional layer of identification verification has been primarily introduced by the Government to prevent the appointment of fictitious directors, and facilitate traceability of an individual director’s profile and their relationships with companies over time.

You will need to personally apply for a Director ID if you are an appointed company director (or even an alternative director).  Note this also includes where you are a director of a company acting as a trustee (such as the corporate trustee of your SMSF or family trust). 

Importantly, while our office can help you in understanding your new Director ID obligations, we are not permitted to make the application on your behalf (although we are happy to assist if and when required).

When do I need to apply for a Director ID?

When you must apply for a Director ID depends on the date you became a director (as outlined below).

Date you were/are appointed          Date you must apply by
On or before 31 October 2021           30 November 2022
Between 1 November 2021 and 4 April 2022            Within 28 days of appointment
From 5 April 2022       Before appointed director

How do I apply for a Director ID?

Each individual director must apply for their own Director ID directly, to verify their identity via the ABRS website (abrs.gov.au), where you will click on the heading Apply for your Director ID.

IF YOU HAVE ANY QUERIES OR NEED ASSISTENCE PLEASE CONTACT OUR OFFICE!
 

Xero Accounting Software

We were thrilled to hear that one of our clients was recently selected to be part of a national ad campaign for accounting software brand xero.

The radio was on mainstream FM stations in the cities, the posters were put up all around major train stations and a run of adverts in the state papers like herald and Sydney morning herald etc.

Dan said, “It was quite a hit with a broad coverage, at one stage people were sending me photos of the posters from all over Australia and quite amused to hear me on the radio”

Congratulations Dan!
 

Announcements:

This month we wish Lee a very happy birthday and congratulate Phoebe on achieving 5 years of service with Watts Price Accountants!

   

Phoebe McPherson

   

Important ATO Dates


Lodgement Program  Date
November monthly activity statements 21/12/2021

 


Appointment Procedures Due to COVID

Both our offices are open again and only restricted by density limits

This means we are able to contact face to face appointments again.

Please note:

  • we are able to provide phone and video appointments via Zoom if you prefer
  • Those coming into the office are required to
    • QR code
    • inform us of your vaccination status prior to your appointment
    • if you are feeling unwell we ask that you phone to make other arrangements
    • wear a mask (this is now optional)

If you have any queries we can be contacted via:

Watts Price Accountants P: 03 5382 3001 E: mail@wattsprice.com.au M: PO Box 118, Horsham VIC 3402

Knights Accounting P: 03 5385 5330 E: info@knightsaccounting.com.au M: 16 Cromie Street, Rupanyup VIC 3388

Note: Both offices are equipped with mail slots so you can drop off paperwork at anytime.

All the best from the Watts Price Team!