The 2% Temporary Budget Repair Levy (or ‘TBRL’), which has applied to individuals with a taxable income exceeding $180,000 since 1 July 2014, is repealed with effect from 1 July 2017. Up until 30 June 2017, including the TBRL and the Medicare Levy, individuals earning more than $180,000 faced a marginal tax rate of 49%. […]
Due to the introduction of the new ‘transfer balance cap’ from 1st July, 2017, super fund members with pension balances (in ‘retirement phase’) exceeding $1.6 million will need to partially commute one or more of their pensions to avoid the imposition of excess transfer balance tax. In addition, members in receipt of a transition to […]
From 1st July 2017, overseas clients with an Australian turnover of $75,000 or more will need to register for, collect and pay GST on goods up to $1,000 that they sell to consumers in Australia. If Australian clients are registered for GST and buy low value imported goods for their business from overseas, they will […]
The ATO is visiting more than 400 businesses across Perth and Canberra this month as part of a campaign to “help small businesses stay on top of their tax affairs”. Assistant Commissioner Tom Wheeler said: “Our officers will be visiting restaurants and cafes, hair and beauty and other small businesses in Perth and Canberra to […]
In conjunction with the introduction of the temporary budget repair levy of 2%, payable by high income earners, the FBT rate was also increased from 47% to 49% for the 2016 and 2017 FBT years. However, the FBT rate will revert back to 47% from 1st April, 2017. This means that there will be a […]
With the prevalent focus on increasing audit activity, it is more likely than ever that you could be audited. Audit Shield service provides for the payment of professional fees incurred in the event that you are selected for an audit, enquiry, investigation or review by the Australian Taxation Office (ATO) or other government body, in […]
The Treasurer has ordered the forced sale of a further 15 Australian residential properties held by foreign nationals in breach of the foreign investment framework, taking the total number of forced sales to 61, with a combined value of $107 million. A further 36 foreign nationals have sold properties during the course of ATO investigations, […]
An employee construction project manager/supervisor was denied deductions for overtime meal expenses, as he was not paid an overtime meal allowance under an industrial agreement (award). The taxpayer often worked at nights and on weekends during the relevant income years, and so additional amounts were negotiated and ‘rolled into’ his salary to cover the fact […]
The ATO is currently reviewing arrangements where individuals (at, or approaching, retirement age) purport to divert their personal services income to an SMSF, so that the income is taxed concessionally (or exempt from tax) in the fund, rather than being subject to tax at the individual’s margin rate. These arrangements normally involve the individual’s income […]
The ATO has issued a reminder that the government has changed the way fringe benefits will be treated for the calculation of several tax offsets from 1 July 2017. The meaning of ‘adjusted fringe benefits total’ (which is used to calculate a taxpayer’s entitlement for the low income superannuation tax offset, the seniors and pensioners […]