Changing accountants can feel awkward, particularly when they have worked with you for years or hold important information about your tax and business affairs. However, you are entitled to choose the adviser who best suits your needs, communication style and plans for the future. Whether you are a sole trader looking for more [...]
Many Australian business owners know that companies can potentially access a lower company tax rate, but the rules are not based on size alone. A company must satisfy the definition of a base rate entity for the relevant income year, and getting this wrong can affect both its income tax return and the [...]
Selling an eCommerce business is not simply a matter of applying a multiple to last year’s profit. Buyers are paying for future cash flow, but they are also assessing the reliability of your systems, brand, customer base, stock, supplier relationships and online sales channels. A well-prepared business can be easier to diligence, less [...]
Many Australian business owners reach a point where leaving all profits in their own name no longer feels efficient or practical. If your business operates through a discretionary trust, a bucket company can provide a way to retain profits for future business or investment purposes, rather than automatically distributing all income to individual [...]
Choosing between a discretionary trust and a unit trust is not simply a legal paperwork decision. It can affect who is taxed on business income and capital gains, how profits can be used within a family or investor group, how easily ownership can change, and how much administration is required each year. For [...]
A tax return and a tax refund are often spoken about as if they are the same thing. They are not. Your tax return is the information you lodge to report your income, claim eligible deductions and tax offsets, and work out your position for the income year. A tax refund is one [...]
Leaving information blank, using an unclear separation reason or reporting the wrong leave details can slow Centrelink’s assessment of a former employee’s claim. For a small business, completing an Employment Separation Certificate correctly is a practical way to support a departing worker while keeping payroll and employment records consistent. The certificate is not [...]
Driving for work or business can create a valuable tax deduction, but the right claim is not simply a matter of adding up how far you travelled. The key is to identify which trips were genuinely connected to earning your income, choose the method that suits your circumstances and keep records that support [...]
A vacant property can create a costly compliance issue for some foreign owners of Australian residential property. The key risk is not only the vacancy fee itself. Failing to lodge the required annual return on time can result in a vacancy fee being imposed even where the property was occupied or genuinely available [...]
A Taxable Payments Annual Report, commonly called a TPAR, can be easy to overlook when you are focused on quoting jobs, paying contractors, reconciling accounts and keeping your business moving. However, for businesses in relevant industries, it is an important annual ATO reporting obligation. Missing it can lead to follow-up action, late-lodgment penalties [...]
Businesses with multiple companies often reach a point where managing tax separately for each entity becomes inefficient. Intercompany loans, asset transfers, shared operations and different profit levels can make the annual compliance process more complicated than it needs to be. An Australian income tax consolidated group can simplify some of those issues by [...]
Raising capital is demanding enough without having to hunt for signed contracts, explain inconsistent numbers or answer the same due diligence question several times. A well-built startup data room gives prospective investors a clear, credible view of the business, the opportunity and the risks. For Australian founders, it also helps demonstrate that the [...]
Businesses often want to reward loyal employees, attract hard-to-find talent and encourage people to think like owners, without placing unnecessary pressure on cash flow. An employee share plan can help achieve those goals, but it needs more than a promise of “equity” to work well. The legal, tax and administrative treatment of employee [...]
A staff gift can be a thoughtful way to recognise effort, celebrate a milestone or say thank you at the end of the year. However, a gift that feels modest from a business owner’s perspective can still create a fringe benefits tax, or FBT, issue if it is not planned and recorded correctly. [...]
A Christmas party is a valuable way to thank your team, mark the end of a busy year and build goodwill. However, the venue, guest list, cost per attendee and even the method your business uses to value meal entertainment can all affect fringe benefits tax (FBT), income tax deductions and GST credits. [...]