INVITE SANTA NOT THE TAX MAN TO YOUR CHRISTMAS PARTY

At this time of year business’ often want to reward employees and customers with Christmas gifts.

Generally the FBT and income tax consequences for these gifts are as follows:

1.  gifts to employees and family members – are liable to FBT (except where
     the ‘less than $300’ minor benefit exemption applies) and tax deductible; and

2.  gifts to clients, suppliers, etc. – are not liable to FBT and are tax deductible.

For more information on FBT exemptions for minor fringe benefits please see the ATO link below:

https://www.ato.gov.au/general/fringe-benefits-tax-(fbt)/fbt-exemptions-and-concessions/minor-benefits-exemption/

 Please contact Andrew Marshall or Janine Orpwood at Langley McKimmie Chartered Accountants on (03) 5427 8100 to discuss further.

We provide accounting and wealth management services to clients in Woodend, Gisborne and Macedon Ranges areas within Victoria Australia.  

DO NOT BE A DUMMY WITH YOUR DEDUCTIONS

The Australian Taxation Office will be looking for unusually high amounts in relation to work-related expenses claimed in 2017 Income Tax Returns. These claims include car expenses, clothing and laundry expenses. Taxpayers will need to prove the following in order to claim these expenses:

• They have spent the money themselves and have not been reimbursed.
• The claim is directly related to earning their income.
• They will need a record to prove the amount being claimed. 

The link below outlines in detail what expenses a taxpayer can claim and an explanation for those deductions which cannot be claimed:

https://www.ato.gov.au/media-centre/media-releases/do-not-be-a-dummy-with-your-deductions/

Please contact Andrew Marshall or Janine Orpwood at Langley McKimmie Chartered Accountants on (03) 5427 8100 to discuss further.

We provide accounting and wealth management services to clients in Woodend, Gisborne and Macedon Ranges areas within Victoria Australia.      

ARE YOU AWARE OF THE NEW VACANT RESIDENTIAL LAND TAX?

From 1 January 2018, a vacant residential land tax applies to homes in inner and middle Melbourne that were vacant for more than six months in the preceding calendar year. This is a new Victorian tax, and is different to land tax, the absentee owner surcharge and the federal annual vacancy charge.

The vacant residential land tax is assessed by calendar year (1 January to 31 December) and the six months do not need to be continuous.

For more details follow the link below:

http://www.sro.vic.gov.au/vacant-residential-land-tax

Please contact Andrew Marshall or Janine Orpwood at Langley McKimmie Chartered Accountants on (03) 5427 8100 to discuss further.

We provide accounting and wealth management services to clients in Woodend, Gisborne and Macedon Ranges areas within Victoria Australia.