Wednesday 31 May 2017

2017 YEAR END TAX TIPS

 
 
 With 30 June 2017 just one month away, small businesses should be giving some consideration to year-end tax planning:

Write off bad debts: if you have debtors, that have been previously recognised as income, that you now know are not collectible, writing them off will enable a deduction to be recognised.

Consider pre-paying some expenses: If cashflow allows, prepaying some expenses like rent, insurance and office supplies for a period of up to twelve months provides an immediate deduction.

Review inventory: a physical stocktake should be conducted to quantify and value inventory. Slow moving, damaged and obsolete stock must be written off prior to 30 June to claim a tax deduction.

Pay superannuation: SGC for employees must be paid before 30 June 2017 to receive a tax deduction for the business in the 2017 year.

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 WoodendGisborne and Macedon Ranges areas within Victoria Australia.  


Wednesday 17 May 2017

ACCOUNT BASED PENSIONS - ENSURE THE MINIMUM PAYMENT REQUIREMENT IS MET



Once an account-based pension commences, there is an ongoing requirement for the trustee of a complying super fund to ensure the pension standards in the super laws are satisfied. This includes meeting the minimum pension payment requirements.

Minimum pension payment requirements are calculated by applying age based percentages to member account balances. They need to be re-calculated every year.

If a fund fails to meet the minimum pension payment requirements in an income year the pension income stream will be taken to have ceased at the start of that income year for income tax purposes and the fund will not be entitled to treat income or capital gains as exempt current pension income (ECPI )for the year. This usually results in the fund paying income tax of 15% on earnings of the fund.

With 30 June 2017 just around the corner, trustees of SMSFs paying pension income streams should review now to ensure minimum pension payments will be met. 

Further information can be found at:

 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 WoodendGisborne and Macedon Ranges areas within Victoria Australia.  
 

 

Wednesday 10 May 2017

SMALL BUSINESS - INSTANT ASSET WRITEOFF





If you are operating a Small Business and thinking about purchasing new assets then now is an ideal time to start thinking about what your business will need to purchase before the end of the financial year. To take advantage of the immediate write off in the current financial year you will need to ensure the asset is first used or installed ready for use by 30 June 2017. Also note that the write-off threshold is on an individual asset basis so if you have multiple small business assets that are less than the threshold they can be immediately written off. Another point to be aware of is that both new and second hand assets qualify for the immediate write off. 

***The Federal Budget on 9 May 2017 has announced a proposed reprieve for the $20,000 immediate asset write off for another year until 30 June 2018, enabling small businesses to take advantage of this again next year. 

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 WoodendGisborne and Macedon Ranges areas within Victoria Australia.  


Wednesday 3 May 2017

THE VICTORIAN STATE BUDGET


The Victorian State Budget for the 2017/2018 financial year has been released.

Of particular interest to our clients is the increase in the payroll tax free threshold from $575,000 to $650,000 effective 1 July 2018.

There have also been announced a number of changes to property taxes starting 1 July 2017 including the abolishment of stamp duty for first home buyers up to a house value of $600,000 and cuts to stamp duty for first home house values up to $750,000.

For further information regarding the Victorian State Budget see the below link to the State Government website



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