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As business taxpayers prepare their 30 June 2021 income tax returns they will need to consider their depreciation claim for depreciable business assets.  These considerations may need to include whether the following rules may apply Instant Asset Write Off (IAWO) or Temporary Full Expensing (TFE) – Eligible businesses can claim an immediate deduction for the business portion of the cost of an asset in the year the asset is first used or installed ready for use. Backing Business Investment –…

For annual reporting periods beginning on or after 1 July 2021 (i.e. 30 June 2022 year ends), the following Australian for-profit private sector entities no longer need to prepare special purpose financial statements (SPFS): Required by legislation to prepare financial statements that comply with Australian Accounting Standards or accounting standards; or Required by their constituting or another document (e.g. lending agreement, shareholder agreement and trust deed) to prepare financial statements that comply with Australian Accounting Standards, if the document is created or amended…

LOSS CARRY BACK TAX OFFSET AND TEMPORARY FULL EXPENSING/INSTANT ASSET WRITE OFFS The government has proposed to extend loss carry back tax offset and temporary full expensing by 12 months to 30 June 2023. The loss carry back tax offset was a welcome announcement in the Federal Budget handed down on 6 October 2020. The temporary rules are designed to provide a cash flow support to eligible corporate entities that were previously in a tax paying position but now find…

We are happy to provide the following list of changes to Superannuation for the current 30 June 2022 financial year: Concessional Contributions The concessional contribution cap has moved to $27,500, the cap was previously $25,000. Non-Concessional Contributions The non-concessional contributions cap has moved to $110,000, the cap was previously $100,000. To make non-concessional contributions your total super balance at 1 July must be under $1,700,000. The maximum amount of non-concessional contributions that can be brought forward into a current year…

As Year end fast approaches, we provide you with the DFK Benjamin King Money Winter Bulletin which contains some very important information for year end and beyond including: Claiming working from home costs using COVID-19 rate of 80 cents per hour Increase in superannuation guarantee rate to 10% Increase in superannuation concessional contributions to $27,500 Temporary full expenses of Depreciating Assets extended to 30 June 2022 A key dates checklist An article on cryptocurrency and tax How COVID-19 has changed…

As part of the Annual Wage Review for 2021, the Fair Work Commission (FWC) announced a 2.5% increase to the national minimum wage and award wages. This will occur in 3 different stages. The increase in annual wages applies to anybody who is paid minimum award wages or the national minimum wage. If you are covered by a registered agreement, (usually a contract between an employer and their employees regarding employment conditions), it is important you check if this increase…

Single Touch Payroll (STP), is an Australian Government initiative to reduce employers’ reporting burdens to government agencies. With STP, you report employees’ payroll information to us each time you pay them through STP-enabled software. Payroll information includes: Salaries and wages Pay as you go (PAYG) withholding Superannuation. STP started on 1 July 2018 for employers with 20 or more employees and 1 July 2019 for employers with 19 or fewer employees and is a mandatory obligation. If you haven’t started already started reporting your wages under…

The Victorian state government has announced Circuit Breaker Support Package to assist small and medium business and sole traders under the circuit breaker restrictions that were announced on 27 May 2021. There are 2 programs, which include: The Business Costs Assistance Program Round Two providing $2,500 or $5,000 grants for eligible employing and non-employing businesses in sectors most impacted. This includes businesses operating in an industry that cannot operate under the circuit breaker restrictions and which cannot work remotely, and;…

The Victorian government has announced a number of support packages for businesses affected by the current COVID-19 circuit breaker. The packages are aimed to assist small to medium business who are unable to operate whilst the circuit breaker is in operation. There are three packages announced which relate to:  Business cost assistance program: provides $2,500 grants for eligible employing and non-employing businesses in the sectors most impacted. Licensed hospitality venue fund 2021: provides businesses holding an eligible liquor licence and food certificate with a…