End of Another Financial Year

General News: 05/07/2017

It’s hard to believe, but 30th June 2017 is now but a distant memory and a new financial year is upon us. You know what that means! Yes, it’s tax time again. Bearing this in mind, you may be interested to know the following:

  • It’s hard to believe, but 30th June 2017 is now but a distant memory and a new financial year is upon us. You know what that means! Yes, it’s tax time again. Bearing this in mind, you may be interested to know the following:• Great news for business who once were ineligible for the small business concessions. If your turnover is less than $10 million you will now have access to these concessions including the new reduced company tax rate of 27.5%
  • The $20,000 instant asset write-off is here for at least another 12 months, so if you missed out on the great tax planning opportunities for the 2017 financial year, make sure you take advantage of this tax saving for 2018 financial year;• The $20,000 instant asset write-off is here for at least another 12 months, so if you missed out on the great tax planning opportunities for the 2017 financial year, make sure you take advantage of this tax saving for 2018 financial year;
  • The National minimum wage increased starting 1st July, ensure you update your payroll and pay your employees correctly to avoid the severe penalties that some unfortunate businesses have had to endure; the new financial year is a great time to review all pay rates and ensure you are paying your employees correctly;
  • Superannuation caps have decreased – if you salary sacrifice additional super contributions with your employer, be sure to update them on the lessor amount to ensure you don’t go over your 2018 financial year caps. The new caps are as follows:
    • Concessional Contributions (Employer + Salary Sacrifice) – $25,000o
    • Non-Concessional (After Tax Contributions) – $100,000

Despite changes to superannuation laws, superannuation funds remain the most tax effective structure, only paying tax at 15%.

  • Superannuation contributions for your employees are due on the 28th July, be sure to lodge and pay your employees super contributions by at least the 25th July, to ensure your super guarantee obligations are met.
  • You are required by law to issue your employees their PAYG Summaries by the 14th July and lodge them with the ATO by the 30th September 2017
  • The ATO are looking very closely at work related deductions, meals, phone use and self-education expenses, not to mention an area they are always keen to query…motor vehicle claims – ensure you have sufficient documentation and or collaboration for the claims you are wanting to make;Make sure you are claiming everything you are entitled to claim!
  • The new financial year is a great time to review the following:
    • Estate/Retirement Planning including Wills
    • Succession Planning
    • Superannuation Funds
    • Insurances

A lot can happen in 12 months, make sure your Wills, Estate Plan and Succession plan are still relevant.

If you have multiple superannuation funds, you are likely to be paying multiple fees, the start of the new financial year is a great time to review you super funds and potentially save more for your retirement.

For more information on all tax and financial related matters, please contact our office and discuss with one of our many experts or arrange an appointment and start your pathway to becoming Financially Secure.