The Australian Taxation Office (ATO) is announcing special arrangements this year due to COVID-19 to make it easier for people to claim deductions for working from home. The new arrangement will allow people to claim a rate of 80 cents per hour for all their running expenses, rather than needing to calculate costs for specific running expenses. More Information New working from home…read more →
Date From 30 March 2020 for up to six monthsFor employees employed at and from 1 March 2020First payments in first week of May 2020 Applies to Based on comparable periods:Employers <$1 bn that have experienced a downturn of more than 30%Employers >$1bn that have experienced a downturn of more than 50% A subsidy of $1,500 per fortnight per employee, administered by…read more →
The Government released a second, far reaching $66.1 bn stimulus package that boosts income support payments, introduces targeted changes to the superannuation rules, provides cash flow support of up to $100,000 for small business employers, and relaxes corporate insolvency laws. The stimulus measures were legislated the day after Parliament reconvened on Monday 23 March. The Prime Minister has warned that…read more →
The Government has announced a $17.6 billion investment package to support the economy as we brace for the impact of the coronavirus. The yet to be legislated four part package focuses on business investment, sustaining employers and driving cash into the economy. For business Business investment Increase and extension of the instant asset write-off Accelerated depreciation deductions Cash flow assistance…read more →
The Federal Budget 2019/20 announced on 2 April 2019 has been described as a prelude to the ballot box. The Budget targets an underlying cash surplus of $7.1 billion in 2019/20. This follows an estimated deficit of just $4.2 billion in 2018/19. The Budget also sets out a surplus for the forward period including: An $11 billion surplus in 2020/21;…read more →
The threshold for the popular $20,000 instant asset write-off is set to increase to $30,000* from Budget night until 30 June 2020. After this time it may (potentially) return to its original $1,000 level on 1 July 2020, although we note that the threshold has been at or above $20,000 since 12 May 2015. The Government had previously announced an…read more →
Personal Tax Cuts The Budget celebrated the surplus with a $19.5 billion package of personal income tax cuts for Australian residents. (Note: This package revises the legislated seven year income tax plan). The personal tax changes result in a tax saving of $855 for someone on an annual taxable income of $45,000 per annum until 2022, then $1,080 until 2024…read more →
Individuals Personal tax bracket changes – The threshold for the 32.5% personal income tax bracket will increase from $87,000 to $90,000*. Introduction of the Low and Middle Income Tax Offset* providing a tax offset for those with taxable income of up to $125,333. GST on property developments and residential subdivisions – The manner in which GST is collected on sales…read more →
The end of the financial year is fast approaching. We have therefore compiled a list of our top tips to assist with your end of financial year planning. Donate – If you are going to donate to charity, now is the time. Any donations of over $2 that you make to deductible gift recipients can be deducted this year. Remember,…read more →
1 July 2018 is the start date for the seven year income tax plan announced in the recent 2018-19 Federal Budget. The seven year plan benefits low and middle income earners in the first few years before expanding out to a broader restructure of the tax rates and brackets for everyone. From 2018-19, the top threshold of the 32.5% personal…read more →