The government’s hasty answer to the financial strain of COVID-19 has puzzled many businesses regarding their responsibilities to their employees. Considering that COVID-19 has taken the nation by surprise, it’s fitting that the same can be said for the financial support the Australian government has formulated. Here are few decoded facts about JobKeeper: JobKeeper is […]
The ATO has warned taxpayers and businesses to be extra vigilant to guard against scammers throughout the COVID-19 pandemic, pointing out that scammers often work to steal your money and identity while you’re most vulnerable. “Life’s busier than ever for small business owners. Scammers hope you’re too busy to check what they’re saying so you’ll hand over your […]
Sole traders and businesses operating as a partnership are being offered temporary protection during the COVID-19 pandemic. To reduce the financial stress, the Australian Government has temporarily changed bankruptcy laws to protect people who are facing unmanageable debts to help them stay afloat in this difficult period, rather than face insolvency or mandatory closure. This […]
The ATO has moved the exemption cut-off date for Single-Touch Payroll (STP) reporting back a full year to 1 July 2021 in light of the COVID crisis. This applies to businesses with less than 20 employees. The ATO defines closely held payees as those directly related to the entity from which they receive payments, including family members directors or shareholders […]
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With close to 100% of Australian businesses paying annualised salaries under 22 modern awards, it’s very likely you’ve been impacted by the changes implemented by the Fair Work Commission on 1 March 2020. Prior to this date, you were obligated to pay salaried employees under all Awards at least the same gross amount they would […]
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The Coronavirus has shaken up our economic landscape and many businesses are wondering what their rights, responsibilities and possibilities are for their employees. In addition to several financial benefits for retaining staff, the government has provided some key information on the FairWork website to guide you through the options available to you, including: Arranging flexible work Using paid […]
There are several reasons a business may have underpaid the Super Guarantee (SG) to one or more employees, such as accounting mistakes, cash-flow issues or simply a knock-on effect from the myriad of disasters throughout this summer. If you believe your organisation may have incorrectly paid SG to your staff, you can now rectify it during an SG […]
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A simple statement like ‘I don’t like pineapple on my pizza!’ as a password can take more than one year and costs scammers more than $100,000 to crack. This is a great password because it: is easy to remember has lots of characters includes special characters such as an apostrophe, exclamation mark and spaces. The […]
It’s time to say goodbye to the multiple paper forms that have been required when hiring a new employee. Simply ask your new hire to use the pre-filled Tax file number declaration and Super Choice form via the ATO online services account linked through their myGov login. All you need to do is provide the employee with: your ABN […]
Many employees choose to forego part of their pay and instead have their employer contribute it to their superannuation fund instead. Prior to 1 January 2020, employers could calculate the amount of superannuation guarantee contributions (SGC) they had to pay based on the reduced salary of an employee after their salary sacrifice had been taken […]
The last few months have seen tragic loss of lives, properties and wildlife. If you have been affected, here are some resources that may help ease some of your financial worries: The ATO’s bushfire support page offers impacted parties a range of tax assistance including: extra time to pay debts or lodge tax forms help finding lost tax […]
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At the end of last year the ATO began cracking down on tax dodgers by demanding information from 30 insurance companies about their wealthy customers during the past five years. Insurers were instructed to provide policy information on assets that met these thresholds: Aircraft: $150,000 Marine vessels: $100,000 Fine art: $100,000 per item Motor vehicles: […]
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The new year brings with it a raft of payroll changes, many aimed at reducing wage theft and non-compliance with awards.There are also several changes to superannuation to ensure fairer outcomes for employees. Paying super on gross rate of pay As of 1 January 2020, employers are no longer allowed to pay super only on […]
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In August, three tax practitioners had their registrations terminated for five years after breaching the Code of Professional Conduct. Their offences included failure to: act honestly and with integrity, having falsified supplier invoices and personal bank statements lodge a personal income tax return and quarterly activity statements by their respective due dates and pay a […]
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As of 1 July 2019, you can no longer claim a tax deduction for a worker payment if you failed to comply with PAYG withholding and reporting obligations. Payments can include: employee salary, wages, commissions, bonuses or allowances directors’ fees labour-hire arrangements contractor services (except supply of goods and real property) where no ABN was […]
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There are almost 8 million active Australian Business Number (ABN) holders in Australia. Last month, the Australian Business Register (ABR) began contacting a randomly selected sample in order to measure the ABR’s data quality. If you’re contacted, you will be asked to confirm your business information and discuss your understanding, usage and experience of the […]
Any employer can hire a working holiday maker, especially when they need labour for a short period. Working holiday makers will hold a Working Holiday visa (subclass 417) or Work and Holiday visa (subclass 462). If your new employee has ticked the box on their TFN declaration that they’re a working holiday maker there are three […]
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The main difference between cash and accrual (non-cash) accounting is timing. If you record revenue or expenses when you pay and receive money, you’re using cash-basis accounting. This is the simplest method and is suitable for most smaller businesses who handle cash transactions. It can only be used if your aggregated turnover is less than $10 […]
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Do you have suppliers who don’t have or provide you with their ABN? In this scenario, you are required to withhold 47% from their payment and send the withheld amount to the ATO. However, some suppliers are not required to quote an ABN and can use a Statement by a Supplier to justify why payment should not […]
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A Taxable Payments Annual Report (TPAR) tells the ATO about contractor payments for services. This includes subcontractors, consultants and independent contractors who could be either sole traders (individuals), companies, partnerships or trusts. You may be required to lodge TPAR by 28 August if your business provides: building and construction services cleaning services for contractor payments […]