Is Your Family Home Really Tax-Free?
Understanding the Main Residence Exemption and Capital Gains Tax As the character of Darryl Kerrigan in The Castle said, “it’s not a house. It’s a home.” This sentiment resonates deeply with many Australians. But when it comes to taxes, the distinction between a house and a home can have significant financial implications. The main residence […]
Rental Property Owners: ATO Tax Crackdown
ATO Crackdown: Rental Property Owners & Tax Returns As we are now past the end of financial year, rental property owners must be more vigilant than ever in ensuring their tax returns are accurate and compliant. The ATO continues to focus on inflated claims to offset increases in rental income, with many property owners still […]
Claiming Working from Home Expenses: ATO Crackdown
ATO Crackdown: Claiming Working from Home Related Expenses Correctly With the ATO intensifying its scrutiny on incorrectly claimed work-related expenses, particularly for those working from home, it’s crucial to understand the right way to claim deductions. As tax time 2024 is here, taxpayers must ensure they are accurately identifying and claiming work-related expenses to avoid […]
How to Spot Tax Scams and Stay Safe
Stay Safe This Tax Season: Guard Against Rising Tax Scams As tax season approaches, business owners and employees alike need to be vigilant against a rising tide of tax time scams. Despite the proactive measures taken by the Australian Taxation Office (ATO) and the National Anti-Scam Centre (NASC), fraudsters continue to find new ways to […]
Business Asset Depreciation 101
Understanding the Basics: Business Asset Depreciation Business asset depreciation is what happens when business assets lose value over time. It’s an often-forgotten cost of doing business – but it shouldn’t be. Here’s why depreciation is so important: The ins and outs of business asset depreciation Usually, only long-term or fixed assets can be depreciated, while […]
Business Taxes 101
Understanding the Basics: Business Taxes When running a business, it’s essential to understand the different types of taxes that apply. Depending on your business structure, you may be required to pay a variety of taxes. The most common taxes include: In addition to these, your business might also encounter: Taxes Paid on the Business Activity […]
Tax on Superannuation 101
Understanding the Basics: Tax on Superannuation Do you know how much tax you pay on superannuation contributions and withdrawals? The amount of tax depends on several factors. It is possible to minimise the amount you pay by understanding how the tax on super works. Tax on super is generally a lower rate than the tax […]
Personal Income Tax 101
Understanding the Basics: Personal Income Tax Australian residents pay personal income tax on all forms of income after a tax-free threshold of $18,200. The tax office calculate tax at four different rates according to how much income you earn each year, and the tax rate increases the more you make. The highest tax bracket applies […]
Capital Gains Tax 101
Understanding the Basics: Capital Gains Tax A capital gain (or loss) occurs when an asset is sold. The difference between the purchase price and the sale price is the gain or loss. Capital gains tax (CGT) applies to money you have made from selling an eligible asset. Capital gains tax events occur when an asset […]
PAYGI and PAYGW: What’s the Difference?
PAYGI and PAYGW: What’s the Difference? Many people new to running a business and employing people are unsure about the difference between PAYGI and PAYGW. They are not the same thing! PAYG stands for ‘pay as you go’. This is the means the ATO uses to obtain tax payments from both employees and business owners. […]