May 2024 Newsletter
Contents:
- Not For Profit – Self Review Returns Required from 01/07/2024
- How Your Super Will Be Taxed When You Die
- HECS Indexation Expected to be 4.7 percent
- 2024-25 Super Thresholds – Key Changes & Implications
- Late Payers Set to be ‘Named & Shamed’
- CGT Implications on Inheriting an Investment Property
- Announcements
Not For Profit – Self Review Returns Required from 01/07/2024
Starting from July 1st 2024, non-profit organizations (NFPs) registered with an Australian Business Number (ABN) but not classified as charitable will need to submit an annual NFP self-review return to the Australian Taxation Office (ATO) to confirm their tax exemption status.The first self- review return is due by 31 October 2024, or after the end of your reporting year if you have an approved substituted accounting period.
How Your Super Will Be Taxed When You Die
HECS Indexation Expected to be 4.7 percent
The financial year doesn’t end for another two months, but there’s a closer deadline many people with university debts are dreading: June 1.
On June 1, all unpaid HECS/HELP debts will automatically increase when indexation is applied.
If you’ve got a higher education debt, here’s what you need to know.
2024-25 Super Thresholds – Key Changes & Implications
The ATO has released all the superannuation rates and thresholds that will apply from 1 July 2024. This article outlines what’s changing and what’s not. It also explains some key considerations and opportunities in the lead up to 30 June and beyond.
Transfer balance cap
The transfer balance cap limits the amount of superannuation that can be used to start a pension, where the investment returns are generally tax free.
CGT Implications on Inheriting an Investment Property
Property inheritance is the transfer of property to an heir or beneficiary upon the death of an owner. There are various tax implications triggered when inheriting an investment property, particularly where capital gains tax (CGT) is concerned.
In the instance that an inherited property is sold immediately, the tax implications will be determined by factors around the date of acquisition and the type of use of the property by the previous owner from whom it was inherited.
Announcements:
This month we have no birthdays to announce! |
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Important ATO Dates
| Lodgement Program | Date |
| Fringe benefits tax (FBT) return – Final date for lodgment and payment if required | 21/05/2024 |
| April monthly activity statements | 28/05/2024 |
Other News
Wimmera Farm Benchmarks
We’re in the process of finalising our 2023 Wimmera Farm Benchmark report, a valuable resource that provides insights into key performance indicators (KPIs) for farms in our region.
We’d love to include your insights! The datasheet takes about 10 minutes to complete and covers topics relevant to your farming operation.
Your participation is entirely voluntary, and all responses will be kept confidential. By participating, you’ll be helping to create a valuable benchmark for Wimmera farms and gain insights from your peers.
To participate please contact our office on 5382 3001 or email mail@wattsprice.com.au.All Australian taxpayers will receive a tax cut
The Australian Government has made changes to individual income tax rates and thresholds. This will apply to all taxable income you earn from 1 July 2024. The changes will not impact your 2023–24 tax return.
From 1 July this year, these changes will:
- reduce the 19 per cent tax rate to 16 per cent
- reduce the 32.5 per cent tax rate to 30 per cent
- increase the 37 per cent tax threshold from $120,000 to $135,000
- increase the 45 per cent tax threshold from $180,000 to $190,000
| Thresholds in 2024–25 ($) | Rates in 2024–25 (%) |
| 0 – 18,200 | Tax free |
| 18,201 – 45,000 | 16 |
| 45,001 – 135,000 | 30 |
| 135,001 – 190,000 | 37 |
| Over 190,000 | 45 |
Victorian Drivers Licences to go Digital in May
Digital driver’s licences will roll out in May in Victoria, which will require businesses that check or rely on photo identification and proof of age functions to update their processes.
More than 4.5 million fully licenced Victorian drivers, motorcyclists and heavy vehicle operators will be the first eligible to download digital licences on their phones as part of a state-wide launch.
Xero Planday
Xero’s Planday product will be retired in Australia on 30 September 2024.
Xero has suggested that Australian customers are best to look at Deputy for their workforce management needs going forward.
SUPERANNUATION CONTRIBUTION CAPS INCREASE FROM 1 JULY 2024
The concessional and non-concessional contributions caps will be increasing effective from 1 July 2024 as follows:
- The concessional contribution cap will increase from $27,500 to $30,000.
- The non-concessional contribution cap will increase from $110,000 to $120,000.
Also, employers should note that the Super guarantee percentage increases from 11.0% to 11.5% from 1 July 2024.
Bookkeeping Software
- Accessibility: Access your data and work from anywhere with an internet connection, on any device. No more needing to be tied to your desktop computer.
- Automatic Updates: Always have the latest features and security patches without the need for manual downloads or installations.
- Improved Collaboration: Seamlessly collaborate with colleagues in real-time.
- Enhanced Security: Data is securely stored in the cloud, minimizing the risk of loss or damage.
- Bank Feeds: Link your bank account and daily transaction data will be imported ready for coding.