Individual Tax Returns: Tax Tips FY19

The time has come to start preparing for your 2019 tax return. There are a couple of key areas of interest and changes that you should be aware of. The ATO has told us that they have two key areas of focus this financial year: Work related deductions, and Rental property deductions. There has also been changes to Superannuation for the 2018-19 financial year that allow you to carry forward…  Read more

Important EOFY actions for Businesses

We all would like to reduce our tax exposure and minimise risk of an audit by the regulators. This end of financial year update outlines the actions to take to do exactly that: Summary of key changes and actions What’s New: Instant Asset Write Off – Extension and increase to the instant asset write-off Single touch payroll – extended to all employees TPAR – Reporting payments to contractors Withholding Tax…  Read more

Single Touch Payroll is coming

The deadline for employers with fewer than 20 employees to implement Single Touch Payroll is fast approaching. Unless you are exempted, you must implement this change by 1 July 2019. If you are an employer with 20 or more employees, then you should already have implemented Single Touch Payroll. What is Single Touch Payroll? Single Touch Payroll (STP) is a new way to report your employees’ payroll information directly from…  Read more

What you need to know about FBT 2019

What is FBT? Fringe Benefits Tax (FBT) is a tax payable by employers on certain benefits they provide to their employees. The FBT year runs from 1 April to 31 March. If you have provided certain benefits to your employees, you may be liable to pay FBT. What types of benefits? FBT is payable on any benefit given to an employee (such as free or discounted goods or services), unless…  Read more

Be Alert for Scams

Be Alert for Scams We have seen a dramatic rise in the number of scam attempts on our clients in the form of: • ATO Debt scams • Fake Medicare Scams • ASIC scams As a simple rule, if you are getting threatening phone calls, text messages or emails demanding payment from a government agency, or offering you free money, it’s likely to be a scam. They are increasingly sophisticated…  Read more

Last Minute Tax Reminder for Businesses

As we get closer to the end of financial year, you may be thinking about what deadlines you still need to meet for your business, as well as how you may be able to claim some tax benefits. 1. Maximise Deductible Contributions The concessional superannuation cap for 2018 is $25,000 per year. Do not go over this limit or you will pay more tax! Note that employer super guarantee contributions are…  Read more

What you need to know about FBT 2018

The Fringe Benefits Tax (FBT) year ends on 31 March. We’ve outlined the key hot spots for employers and employees. Motor vehicles – using the company car outside of work New safe harbour for utes and commercial vehicles Car parking – are you really declaring the true cost of parking? The living away from home allowance – the common errors Salary sacrifice or employee contribution – where employers are getting…  Read more

Work-related travel claims on the ATO’s radar

Last year the ATO went before the Administrative Appeals Tribunal to battle against a truck driver whose large work-related travel claims grabbed their attention. The case revealed that the taxpayer had failed to declare travel allowance received from his employer as income, didn’t keep records for any work-related travel expenditure, and ultimately thought he was entitled to claim the full amount of the Commissioner of Taxation’s reasonable rates each day…  Read more

In an effort to encourage compliance, ATO relaxes rules for private use of work utes

The ATO has plans to relax the rules for the private use of work utes in the lead up to their blitz on Fringe Benefits Tax non-compliance. Existing rules allow utes to only be used for ‘minor, infrequent and irregular’ journeys without incurring Fringe Benefits Tax. At the moment these journeys can include the occasional use of the vehicle to remove domestic rubbish. The draft compliance guidelines allow for more…  Read more

State tax warning for family trusts

Recent changes to State laws may trigger a surprise tax bill for family trusts (discretionary trusts). The problem for family trusts stems from recent legislative changes in New South Wales (NSW), Victoria (VIC) and Queensland (QLD) that impose a surcharge on foreigners purchasing residential land. While that might not sound like a problem, the issue arises because of the way family trust deeds are often drafted. These trust deeds are…  Read more

Saving on insurance costs

The 2017 State Budget brought with it a change worthy of celebration for small businesses. The NSW small business exemption will mean that from 1 January 2018, small businesses will no longer have to pay stamp duty on certain types of insurance. The exemption applies to small businesses whose aggregated turnover is under $2 million. The types of insurance that the exemption will apply to include: Commercial vehicle insurance Commercial…  Read more

Government incentives to hire new employees

Changes to the Jobs Action Plan and the Small Business Grant are providing incentives for NSW businesses to up their employee count. Companies that are liable for payroll tax can earn up to $6000 for every new employee, and those that aren’t liable for payroll tax can earn up to $2000 per employee. Jobs Action Plan The Jobs Action Plan (JAP) provides eligible NSW businesses with a payroll tax rebate…  Read more

How to get to our new office

As you will no doubt be aware, last month the team moved into our new premises in North Sydney. We’ve finally settled in and are beyond pleased with the location and refreshing chance of space. We look forward to showing you around! Our new address is: Level 4 1 James Place North Sydney Our new office is really easy to get to by car or by public transport. There is plenty…  Read more

How Prime Partners automates its accounts

At Prime Partners we’re big fans of using the latest technology to make business as easy as possible. We started using Xero back in 2012 and have always practiced what we preach. A product we’ve been using in our business to great effect is Receipt Bank. This is a receipt and expense processing system that is linked up to Xero. What’s so great about Receipt Bank, is that it can automatically…  Read more

Prime Partners Chartered Accountants is moving

Our home for the last 11 years at 230 Victoria Road Gladesville is scheduled to be demolished to make way for new apartments at the end of this year. After a long search, we have found a new home at Level 4, 1 James Place North Sydney. We will be moving in September 2017. All client appointments booked for 15 September onwards will be held at our new office. Why…  Read more

ATO to Clamp Down on Tax Deductions

Thinking of claiming that $300 decanter for your future career as a sommelier? Think again. With tax time fast approaching, the ATO have put ITR deductions in their line of fire, clamping down on individuals making excessive and incorrect claims for work-related expenses. ATO Commissioner Chris Jordan is making these investigations a priority in an effort to minimise the ‘tax gap’ – that is, the difference between how much the…  Read more

Client Alert: Email Scams containing Malware, Virus & Ransomware

We have recently seen a spike in the number and quality of fake emails being sent to our clients. These emails are sent with malicious intent, purporting to be from a government agency, where you are led to click on a link that will install malware, ransomware or viruses. We have had clients lose days and weeks of productivity due to falling for these traps. One email we have seen…  Read more

What you need to know about FBT for 2017

We know that no one likes to pay tax and certainly no more tax than they should.  But very few people want to be on the wrong side of an Australian Tax Office (ATO) audit where fees and penalties are paid for neglecting your obligations. The Fringe Benefits Tax (FBT) year ended on 31 March which means the ATO will be looking closely at whether or not every employer who…  Read more

Merry Christmas & Happy New Year

Dear Clients & Friends, As the Christmas season approaches, there is always so much happening, that it’s easy to forget to thank our valued clients & friends for their support throughout the year. Our office will be closed from 1pm Wednesday 21st December. The Financial Planning team will return on the 3rd January, and the Accounting and Lending will be back on 9th January. The Team at Prime Partners want to…  Read more

Take Control of Your Operations: Properly Classify Your Business Risks

A lesson some business leaders learn the hard way is that in today’s global operating environment risks appear to be increasing exponentially. It takes only one trial by fire for a leader to recognize the importance of basing each decision in part on its risk versus its reward. It’s important that a leader maintain a steady focus on business risk, lest his business suffers a loss that can drastically brunt…  Read more