Management of Fringe Benefits Tax The management of Fringe Benefits Tax (FBT) obligations is often seen as an additional compliance task, not as important as other compliance obligations such as income tax, GST and PAYG withholding tax. However, FBT obligations that are not appropriately managed or accounted for can impose significant on-costs for businesses. Over…
Flexible working arrangements are so hot right now. But while the benefits are usually only seen through the employee’s eyes, there may be an even bigger benefit to the employer. Some of the reasons people want or need flexible working arrangements are: Commute times keep on going up, making it a pain to get to…
A light-hearted look at the complexity of Australian tax laws Dear Santa, Thank you for the opportunity to provide tax advice for your operation. We are pleased you have initiated this advice as the Australian Taxation Office (ATO) is looking closely at any business or individual that operates within Australia but has significant transactions or operations…
Australian Securities and Investment Commission (ASIC) to increase penalties for corporate and financial sector misconduct to deter fines being seen as the cost of doing business. The impact of the proposed changes would be to expand the range of civil penalty provisions and to increase maximum civil penalty amounts in the Corporations Act 2001 and…
How small subsidiaries are being caught by Australia’s new multinational tax crackdown Entities with a global parent or that are part of a large group of companies are being caught in the multinational tax crackdown regardless of their size in Australia. With effect from 1 July 2016, many smaller entities connected to a larger parent…
Legislation restricting access to the small business company tax rate reduction entered Parliament in October. The changes specifically preclude companies with passive investments such as rental property income from qualifying for the small business entity tax rate of 27.5%. For the 2017 income year a company could access the reduced company tax rate if it was…
Details of Government’s crackdown on cleaning and courier companies revealed. From 1 July 2018, the taxable payments reporting system will extend beyond the building industry to cleaning and courier businesses. This means that these businesses will need to report payments they make to contractors (individual and total for the year) to the ATO. By ‘payment’ the…
Arguably, an SMSF can invest in cryptocurrencies but there are several factors to take into account before investing. Cryptocurrencies are a high-risk product as they are blockchain driven and unregulated. While there have been numerous stories in the media about massive gains made on the currency by early investors, the price fluctuates, cryptocurrencies face new…
If your business accepts cryptocurrency as payment for goods or services, these payments are treated in the same way as any other. That is, if your business is registered for GST, the price paid by the person paying in the digital currency should include GST. Likewise, if you purchase goods or services for use in…
If you hold cryptocurrency for your own personal use and you paid $10,000 or less to acquire the digital currency, then there is generally no tax impact when you dispose of the currency. However, if the cryptocurrency is not held for your personal use and enjoyment then there are some tax issues that can arise.…