Using the Blackhole Expenditure Rule - Starting A Business

It costs money to start a business, and generally you cannot deduct those expenses because they are not incurred as part of running a company. Money spent to start a business is not considered as the cost of carrying on business. For example,…

Electronic data-matching

Electronic data-matching is a key tool used by the ATO to check compliance. Most people are willing to meet their tax and superannuation responsibilities. However, there are a small minority of taxpayers who don't fully meet their responsibilities.…

Trust Tax Tips 2016

Here are some useful tax tips and reminders concerning trusts: Beneficiaries Trustees should check their trust deed and make sure that they only make distributions to eligible beneficiaries. Only an eligible beneficiary can be presently…

Phone & Internet Claims - Tax Deduction 2016

The ATO has released information on claiming deductions for mobile, home phone and internet expenses for work purposes. The following are some key points made by the ATO. Substantiating claims Taxpayers need to keep records for a four-week…

ATO Tax Audits

Voluntary compliance of taxpayers is the ATO's main goal. However, the ATO also undertakes a range of compliance activities to detect, deter and address non-compliance. If the ATO considers that a taxpayer may not be meeting certain tax obligations,…

Federal Election on 2 July 2016

The Treasurer has handed down his first Budget, an "election Budget". Labor has made it clear that it will reject some of the key revenue measures announced in the Budget. A number of Bills containing important tax changes have been enacted…

2016 Federal Budget Summary

In this Special Issue we summarise the key announcements of the 2016 Federal Budget.  Personal taxation Personal tax rates: small tax cut from 1 July 2016 From 1 July 2016, the 32.5% personal income tax threshold will increase from $80,000…

Client Alert Explanatory Memorandum (May 2016)

CURRENCY: This issue of Client Alert takes into account all developments up to and including 13 April 2016. Tax planning There are many ways in which entities can defer income, maximise deductions and take advantage of other tax planning…