CGT hit on those who sell their home whilst living overseas

Late last week, a highly contentious bill passed which levies a Capital Gains Tax (CGT) hit on those who sell their home whilst living overseas. It doesn’t matter how long you lived in your former Australian home.  If you sell it whilst loving overseas, you pay tax on the whole gain.  There is neither a

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Binding death benefit nomination

For a binding death benefit nomination to be binding:- It must be made in favour of a tax dependent. It must be done using the approved form for the fund. It must be witnessed. It must be made whilst having mental capacity (so an elderly person may be wise to have their GP assess their

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Tips to stay positive in the face of COVID-19

We are doing all we can to help our clients.  With this in mind, we publish below a series of tips to stay positive in the face of COVID-19.  We give thanks to the UK’s James Ashby who has allowed this document to be openly shared.

COVID-19 matters

We are sorry to have not posted over recent weeks. In the face of various COVID-19 matters, we have been flat out:- Helping our clients with their challenges, Creating a Business Continuity Plan and support program, Creating and delivering Friday’s business survival webinar,  Undertaking necessary precautions internally, and Preparing ourselves for a possible office closure.

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SG amnesty – prior reported breaches

An employer who is late in paying their super must pay it to the ATO on an SG Super Charge Statement.  An admin charge and lost earnings component are added to the amount payable.  Worse still, the total amount paid is not tax deductible.  As we always say super liabilities are the liabilities you pay

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ATO focusing in on investment strategies

The ATO is focusing in on investment strategies.  Last September they wrote to, and scared the life out of, 17,700 self managed super fund (SMSF) trustees.  Last week they released their guidelines.  We will explain their approach and demands as we study these guidelines. We will also be in discussion with our SMSF auditor. We

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Reducing tax on the former home

An often over looked way to reduce the tax paid on the sale of a former home is to use the six year absence rule. The net rent you receive is assessable (or deductible if negatively geared) but the gain itself can be disregarded. However, you must take care when choosing to use this method

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Maximise your health insurance entitlements

The end of the year is fast approaching.  So amongst your festivity planning, make sure you maximise your health insurance entitlements. Health funds re-set their limits for extras come January.  If you have an unused cap for things such as dental, physios and the like, you may wish to use up your health insurance entitlements

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Don’t forget to register for GST!

Don’t forget to register for GST!  If you don’t it could be costly. The GST registration threshold for businesses that are not non-profits and taxis is $75,000.  If your annual turnover exceeds $75,000 and you are not registered, then the ATO will demand you pay them 1/11th of your turnover. It can prove rather costly!

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How can I claim car travel?

In order to claim car travel in your personal Tax Return:- You must own the car. You must have undertaken a trip for either your business or your employer. You can claim under two methods:- Log book, or Cents per kilometre Tip You can use a log book kept for three months in the current

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