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Claiming Travel Expenses – Company Director

Tue, 10 Feb 2026 01:15:40 GMT

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$20,000 Instant Asset Write-off For This 2025

Sat, 31 May 2025 03:23:29 GMT

On 14 May 2024, as part of the 2024–25 Budget, the government announced it will continue to provide support for small businesses by extending the $20,000 instant asset write-off limit for a further 12 months until 30 June 2025.

This measure is now law.

Under the measure small businesses with an aggregated turnover of less than $10 million, can deduct:

the full cost of eligible depreciating assets costing less than $20,000 that are first used or installed ready for use between 1 July 2024 and 30 June 2025;

an amount included in the second element (cost addition) of eligible depreciating asset's cost that they have incurred between 1 July 2024 and 30 June 2025, if they claimed an immediate deduction for the asset under the simplified depreciation rules in a prior income year where the amount is:
the first amount of second element cost incurred after the end of the income year in which the asset was written off; and
less than $20,000.

The $20,000 limit under the measures applies on a per asset basis, so small businesses can instantly write off multiple assets.

Assets valued at $20,000 or more can continue to be placed into the small business simplified depreciation pool and depreciated at 15% in the first income year and 30% each income year after that. In addition, pool balances under $20,000 at the end of 2024-25 income year can be written off.

Are you running your own business and have no time to deal with tax issues? Contact us today, Sydney's leading accounting firm at ACP Accountants on 02-8046 7621, or simple drop us a line at info@acpaccountants.net.au.

Employer Obligations in 2025

Fri, 14 Feb 2025 02:23:38 GMT

If you employ staff, here are the important dates and obligations to remember throughout the year, to set yourself up for success.

Super guarantee (SG)

28 January, 28 April, 28 July, and 28 October are the quarterly due dates for making SG payments.
The SG rate is currently 11.5% of an employee’s ordinary time earnings. From 1 July 2025, the SG rate will increase to 12%.
Ensure SG for your eligible employees is paid in full, on time and to the right super fund. If you don’t, you'll need to lodge a super guarantee charge (SGC) statement and pay the SGC to the ATO.

Fringe benefits tax (FBT)

31 March 2025 marks the end of the 2024–25 FBT year. There are 4 key steps to nail your obligations for FBT tax time.

Identify if you've provided a fringe benefit.
Determine the taxable value to work out if you have an FBT liability.
Lodge an FBT return and pay any FBT owed (if you have a liability) by 21 May 2025. If your registered tax agent lodges electronically for you, you have until 25 June 2025.
Keep the right records to support your FBT position.

Pay as you go (PAYG) withholding

You need to withhold the right amount of tax from payments you make to your employees and other payees, and pay those amounts to the ATO. This helps your employees meet their end-of-year tax liabilities. Your accounting or payroll software, the ATO tax tables or online tax withheld calculator will help you do this.

Single touch payroll (STP)

Fina lize your STP data by 14 July 2025 for the 2024–25 year.

This ensures your employees have the right information they need to lodge their income tax returns. If you have any closely held payees, you may have a later due date for those payees only. Remember to finalize all employees you’ve paid in the financial year.

ACP Accountants are leading Sydney accountants and tax specialists. Please call us today on 02-8046 7621 if you need our help.

Christmas Celebration May Attract FBT

Wed, 27 Nov 2024 01:16:02 GMT

With the holiday season kicking off, you may be planning a celebration with your staff. Consider if fringe benefits tax (FBT) may apply or you could end up with an unexpected FBT liability.

Before you hire a restaurant or book an event, make sure you work out if the benefits you provide your employees are considered entertainment related and if they’ll attract fringe benefits tax (FBT).

This will depend on:

the amount you spend on each employee
when and where your celebration is held
who attends - is it just employees? Or are partners, clients and suppliers also invited?
the value and type of gifts you provide

If you do provide entertainment-related fringe benefits, keep the right records to support this so you can calculate their taxable value.

It's important to get on top of how FBT works before you provide perks and extras. Otherwise, you may end up with an unexpected FBT liability.

For more information, please contact your Sydney business accountants – ACP Accountants on 02-80467621, or simply get in touch and email us at info@acpaccountants.net.au.

Valuing fund assets for SMSFs

Fri, 04 Oct 2024 01:36:44 GMT

One of the many responsibilities SMSF trustees have every income year is valuing your fund's asset at market value. Each year you need to value your SMSFs assets and provide supporting evidence to your auditor.

The market value of an asset is the amount that a willing buyer and seller would agree to in an arms-length transaction. These valuations will be used when preparing your fund's accounts, statements and SMSF annual return (SAR).

Your asset valuations will be reviewed by your approved SMSF auditor as part of the annual audit prior to lodgment of your SAR. Your auditor will check that assets have been valued correctly, assess and document whether the basis for the valuations is appropriate given the nature of the asset. They are not responsible for valuing fund assets.

Make sure you get your valuations done before going to your auditor.

It's your responsibility to provide objective and supportable evidence to your auditor for the valuation of the fund's assets, including all relevant documents requested to prevent delays in auditing the fund. Failure to do so could result in a potential late lodgment of your annual return or a contravention if mistakes have been made.

Start researching now to find what type of evidence your need to support the valuation as this can take time. For some asset types the law requires valuations to be undertaken by a qualified independent valuer.

For further information, please contact Sydney Business Accountants – ACP Accountants on 02-80467621, or simply email us at info@acpaccountants.net.au.

Directors convicted for failing to have a director ID

Sun, 14 Jul 2024 23:17:25 GMT

Two Western Australian directors were recently convicted for failing to have a director ID.

Both directors were fined $5,000 in the Perth Magistrates Court on 3 May 2024, for failing to comply with director identification requirements. The maximum penalty for failure to comply is currently a fine of $18,780.

The Magistrate stated the director ID service had been enacted for a proper public purpose and considerable efforts had been made by government agencies to bring the accused’s attention to the service and comply.

All directors are required to verify their identity with the Australian Business Registry Services (ABRS) and apply for their director ID prior to being appointed as a director.

Please note that directors must apply for their director ID themselves.

The fastest way is to apply online at ABRS.gov.au. If a director is unable to apply online, you can phone ABRS on 13 62 50.

For more information about who needs a director ID and how to apply, visit ABRS.gov.au.

If you have any questions, please contact your accountant/tax professionals, or contact us today on 02-8046 7621, your local Sydney business accountants.

Are You Tax Ready for 2024 Tax Time?

Wed, 19 Jun 2024 01:46:33 GMT

2024 tax time is just around the corner. It’s also the time to check if there are any items that you tax deductible and that it could save you quite a bit of time.

Finalise your employees' single touch payroll (STP).

If you have employees, make sure you finalise their 2023–24 STP information by 14 July. This is an important end-of-year obligation and ensures your employees have the right information they need to lodge their income tax return. Remember to finalise all employees you’ve paid in the financial year, even those you haven’t paid for a while, like terminated employees.

Check your pay as you go (PAYG) withholding and instalments

From 1 July, individual tax rates and thresholds will change. This will impact your PAYG withholding for the 2025 financial year.

Check you're using the correct PAYG withholding tax table and that your payroll software is using the new withholding rates from 1 July.

When it comes to your PAYG instalments, if you think these could result in you paying too little or too much tax for the year, you can vary your instalments. You can do this when you lodge your activity statement or instalment notice.

Remember to lodge your variation on or before the day your PAYG instalment is due, and before you lodge your tax return for the year.

Good record-keeping habits

Heading toward the new financial year, think about your record-keeping habits this past year and whether you’d do anything differently. Good record keeping is one of the foundations of running a successful business.

If you haven’t already, now is a great time to connect with us – your Sydney business accountants at ACP Accountants. Simple call us on 02-80467621, or send us an email at info@acpaccountants.net.au.

Time To Lodge Fringe Benefits Tax Return

Wed, 17 Apr 2024 00:59:51 GMT

From 1 April, it's a new fringe benefits tax (FBT) year.

If you're an employer and have provided certain benefits to your staff in addition to their salary and wages, it's important to understand how FBT works and what is considered a fringe benefit.

Perks that could attract FBT include providing employees with a work car (including dual cab Utes) for private purposes, gym memberships, or tickets to an event or show. If you provided these benefits to your staff, make sure you know how to lodge and pay the FBT.

Here's 4 easy steps to help you get your FBT reporting right the first time:

Identify the types of fringe benefits you provide
Determine the taxable value of each fringe benefit
Lodge an FBT return and pay by 21 May (for self-preparers). If your tax professional lodges electronically on your behalf, you have until 25 June
Keep good records to support your calculations and FBT position

If you don't have an FBT liability for the 2023–24 FBT year and you're registered for FBT, you will need to lodge a completed FBT non-lodgment advice form.

If this is your first time lodging through a tax professional, make sure you contact them before 21 May to be added to their FBT client list. This ensures you’re eligible for the June lodgment and payment date.

Small Business Crypto Tips

Wed, 20 Mar 2024 01:12:06 GMT

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Super Concessional Contribution Cap Increase

Thu, 14 Mar 2024 05:19:33 GMT

The Federal Government recently announced the increases in the standard concessional and non-concessional contributions caps.

From 1 July 2024, the standard concessional contribution cap will increase from $27,500 to $30,000.

From 1 July 2024, the non-concessional contribution cap, which is expressed as 4 times the standard concessional contribution cap, will also increase from $110,000 to $120,000. This also means that the maximum available, under the non-concessional contribution bring-forward provisions, will increase from $330,000 to $360,000.

From 1 July 2024, the Total Superannuation Balance Thresholds used to determine the maximum amount of bring-forward non-concessional contributions available to an individual will also be adjusted.

Running your own business and have no time to deal with tax issues? Contact ACP Accountants today on 02 8046 7621, or email us at info@acpaccountants.net.au, and we will take care of your taxation matters as they were our own.

Residential investment property loan data-matching program

socialmedia@acpaccountants.net.au (Alan Law) — Mon, 08 May 2023 01:27:04 GMT

The ATO will acquire residential investment property loan data from authorized financial institutions for the 2021-22 through to 2025-26 financial years, including:

client identification details (names, addresses, phone numbers, dates of birth, etc);

account details (account numbers, BSB's, balances, commencement and end dates, etc);

transaction details (transaction date, transaction amount, etc); and

property details (addresses, etc).

The ATO estimates that records relating to approximately 1.7 million individuals will be obtained each financial year. The principal uses of this data include “education and online services”, “data analytics and insights”, as well as to help the ATO “identify relevant cases for administrative action, including compliance activities”.

The ATO has a dedicated webpage dealing with its data-matching protocols (24 in total at the time of writing). It states on this webpage that: “Matching external data with our own helps us to ensure that people and businesses comply with their tax and super obligations. It also helps us to detect fraud against the Commonwealth.”

Changes to Super for under - 18s

socialmedia@acpaccountants.net.au (Alan Law) — Wed, 20 Apr 2022 01:07:54 GMT

From 1 July 2022, you will need to pay super for your employees who are under 18 years old if they work more than 30 hours for you in a week.

This is because the $450-per-month threshold for super guarantee is being removed.

Employees who are under 18 will be eligible for super if they work more than 30 hours in a week, regardless of how much they’re paid.

For example, Jenny is 17 years old and works a 32-hour week once a month at her local hardware store, earning $382 before tax. She also works 6 hours a month as a barista for a cafe down the road.

As Jenny works over 30 hours in one week in her job with the hardware store, her hardware employer will need to pay her super from 1 July 2022.

As Jenny does not work 30 hours in a week in her job as a barista, she won’t be entitled to super for this work. Likewise, Jenny won't be entitled to super for any weeks she works less than 30 hours for the hardware store.

As we move closer to 1 July 2022, check your payroll and accounting systems have been updated so you can correctly calculate your employees' super guarantee payments.

What Is Super Guarantee Charge

socialmedia@acpaccountants.net.au (Alan Law) — Thu, 18 Nov 2021 23:54:09 GMT

There are many things to remember when paying superannuation for your employees; but knowing the difference between super guarantee (SG) and the SG charge may just be the most important.

The SG charge is an additional amount you'd need to lodge and pay to the ATO if you didn't pay your employees' super:

on time by the quarterly due date
at the new rate of 10%, or
to the right fund (e.g. employee's chosen fund)

If any of the above applies to you for quarterly super payments due on 28 October, for example, your organization must lodge a Super guarantee charge statement online by 29 November and pay the SG charge to the ATO. By doing this, you will avoid significant penalties.

The way you calculate the SG charge is also different from how much SG you pay to your employees' funds. The SG charge is calculated on an employee's total salary and wages (including overtime and some allowances) and includes interest and an administration fee of $20 per employee, per quarter.

For further information about how to calculate your super guarantee charge, please contact ACP Accountants, or the ATO.

Director Identification Number Regime

socialmedia@acpaccountants.net.au (Alan Law) — Wed, 03 Nov 2021 05:54:27 GMT

Based on the recent ATO announcement, the Australian Business Registry Services (ABRS) will be introducing and maintaining the Director Identification Number as of 1 November 2021.

What is a Director Identification Number?

The Director Identification Number (Director ID) is a 15 digit unique identifier that will help prevent the use of false or fraudulent director identities with the new registry services of the ABRS. This will make it easier to trace director relationships across companies and help identify and eliminate involvement in illegal activity such as illegal phoenix activity.

What you need to do from 1 November 2021?

Individuals who are currently a director or will be acting as a director in the future must apply for a Director ID based on the transitional arrangements specified in the table below:

For example:

If you become a director on or before 31/10/2021, you must apply for Director ID by 30/11/2021;
If you become a director between 1/11/2021 and 4/04/2022, you must apply within 28 days of appointment;
From 5/4/2022, you must apply for Director ID before appointment.

How do individuals apply online for a Director ID?

1. Go to the ABRS website to access the ABRS Director ID service and learn about the Director ID requirements

2. Verify your identity using your myGovID credentials or create a myGovID using your smartphone and Australian identity documents. For more information visit How to set up myGovID .

3. Conduct a proof of record ownership by answering two questions about the individual's ATO record. See below for further information.

4. Complete a Director ID application on the ABRS platform to receive the Director ID instantly.

Get Your BAS Right

socialmedia@acpaccountants.net.au (Alan Law) — Wed, 21 Apr 2021 00:11:28 GMT

When completing your next business activity statement (BAS), please remember:

Keep accurate and complete records of all sales, fees, expenses, wages and other business costs;
You can use the ATO Record keeping evaluation tool to help you assess how well you're keeping your business records;
Only lodge one BAS for each period. If your form has been replaced, you should use the replacement form and not the original;
If you lodge electronically, there's no need to send back the paper form to the ATO;
Only complete fields that apply to you. If you have nothing to report, enter zero;
Make sure that you have entered the figures for your obligations at the correct label;
Enter whole dollar amounts - leave cents out and don't round up to the next dollar;
If you have made a mistake, you can revise or fix the mistake on your next BAS;
Lodge your BAS by ACP Accountants and you may get an extra two weeks to lodge and pay your BAS.

Questions? Contact ACP Accountants, your local Sydney Business Accountants today on 02-8277 4551.

Time To Review If You Provide Fringe Benefits

socialmedia@acpaccountants.net.au (Alan Law) — Tue, 16 Mar 2021 23:56:14 GMT

It's time to review your fringe benefits for the year.

The fringe benefits tax (FBT) year ends on 31 March. That means it's time to review benefits you've provided to your employees for the last 12 months and work out which benefits attract FBT.

You need to lodge your FBT return by 21 May 2021.

Examples of fringe benefits include:

• private use of work cars

• entertainment (e.g. concert tickets)

• reimbursement of employees' expenses (e.g. school fees)

• salary sacrifice arrangements

Over past year there have been many changes and restrictions due to COVID. To adapt, you may have provided your employees different benefits to those you usually provide, and these may be exempt from FBT.

Generally, you do not need to pay FBT for:

• items provided to employees to enable them to work from home (e.g. laptop or portable device)

• emergency accommodation, food and transport

• emergency health care

The minor benefits exemption may also apply for minor, infrequent and irregular benefits under $300.

Contact ACP Accountants, your Sydney business accountants today.

Do You Use Company Money Or Assets

socialmedia@acpaccountants.net.au (Alan Law) — Tue, 16 Mar 2021 23:49:33 GMT

Your company is a separate legal entity from you as a director or shareholder. The money your business earns and its assets belong to the company.

It’s important to keep appropriate records and correctly report transactions if you use company money or assets. Fox example:

• take money out of your company for yourself or your family

• receive money from it (for example, as a director, shareholder or an associate)

• use your company’s assets for private purposes

You may do it through, for example:

• salary, wages or director’s fees

• repayments of a loan you have previously made to the company

• a fringe benefit, such an employee using a company car

• dividends

• a loan from the company

Not correctly reporting and keeping appropriate records for transactions can result in an unfranked deemed dividend being included in your assessable income.

If you realize that you’re not correctly reporting these transactions or keeping appropriate records, talk to a registered tax professional and make sure that you correctly report the use of company money or assets in your next tax return.

If you have made a mistake or left something out of your previous tax returns, you can lodge an amendment.

Contact ACP Accountants today, your Sydney business accountants.

Claim Correct GST Credit

socialmedia@acpaccountants.net.au (Alan Law) — Tue, 24 Nov 2020 23:54:21 GMT

You can claim GST credits for most business purchases. However, there are some things that are GST-free or that you can't claim for various reasons.

If your suppliers aren't registered for GST, you can't claim GST credits. That applies even if they give you a tax invoice with an ABN and GST amount on it.
Use the ABN Lookup online tool to check if your suppliers are registered for GST.
Things such basic foods, some medical goods or services and other items are GST-free.
Check your tax invoices and only claim the amount of GST shown.
If you use an item for both personal and business use, you can only claim the business portion.
There is no GST on wages you pay to staff.
There are also some property transactions where you can't claim GST credits. For example, you can't claim GST credits when buying a property using the margin scheme or build-to-rent developments.

As part of your record keeping, remember to keep your tax invoices. Contact ACP Accountants today - your local Sydney accountants, to help you with your tax.

Updating Your ABN Details

socialmedia@acpaccountants.net.au (Alan Law) — Thu, 29 Oct 2020 01:03:59 GMT

Updating your Australian business number (ABN) details might be the last thing on your mind, but it's important to keep these contact details up to date in case of a disaster or emergency in your area.

Emergency services and government agencies use ABN details to identify businesses in affected areas during emergencies. Then they know who might need help or support during and after the event.

If your ABN details are out of date you risk missing out on important assistance, updates or opportunities such as grants.

To make sure you receive important information, update your ABN details including:

Authorised contacts
Your business's physical location
Postal address
Email
Phone number

If you're no longer in business, cancel your ABN so you're not contacted unnecessarily. You can do this online, or contact ACP Accountants, your Sydney Accountants to take care of it for you.

When To Lodge Your Tax Return

socialmedia@acpaccountants.net.au (Alan Law) — Thu, 29 Oct 2020 00:53:21 GMT

If you’re doing your own tax return, your lodgment due date will be:

31 October if you run your business as a sole trader, partnership or trust
28 February if your business is a company, but there are some exceptions so double check your due date.

If you're doing your own tax return, remember:

Sole traders can lodge online with myTax, which you can also use to track the progress of your return
Company, trust and partnership returns can be lodged using Standard Business Reporting-enabled software.

If you lodge through a tax agent:

Contact them before 31 October
Confirm your due date with them.

Before you lodge your return, remember to double check:

What you report (including personal services income and income from the sharing economy)
What you claim
Your bank and contact information.

If you need some extra help with your tax and super affairs, speak to ACP Accountants, your Sydney Accountants today.

Claiming Motor Vehicle Expenses

socialmedia@acpaccountants.net.au (Alan Law) — Tue, 20 Oct 2020 23:35:00 GMT

This is a subtitle for your new post

You can claim motor vehicle expenses that are part of the everyday running of your business, such as travelling between different business premises and visiting clients.

Common expenses include:

Fuel
Repairs
Lease payments
Insurance & registration
Depreciation.

If you operate your business as a sole trader or partnership and use a car as part of the everyday running of your business, you can work out your claim using the:

Cents per kilometre method, or
Logbook method

The rates for the cents per kilometre method are:

68 cents from 1 July 2018 to 30 June 2020
72 cents from 1 July 2020.

It applies for a maximum of 5,000 business kilometres per car.

For the logbook method, you need to keep a logbook for at least 12 continuous weeks and work out the percentage of business use for each car expense.

You can only claim the actual costs of expenses based on receipts if you:

Operate your business as a sole trader or partnership and use an ‘other vehicle’, such as motorcycles or vans designed to carry loads of at least one tonne
Operate your business as a company or trust.

Always keep records showing how you calculated your claim.

Remember, if you use your vehicle for both business and private use, you can only claim the business portion of the expenses.

Contact ACP Accountants today, Sydney small business accountants, and get your tax sorted.

Tips For Good Record Keeping

socialmedia@acpaccountants.net.au (Alan Law) — Fri, 25 Sep 2020 06:50:27 GMT

Good record keeping helps you keep track of:

The money you’ve made
The money you’ve spent
Your cash flow position.

It also helps provide a snapshot of your current situation to help with your business decisions and planning, which is why it’s important to do it properly.

Consider your record keeping practices, do you:

Keep records electronically and make a backup so they don’t fade or get lost, and keep them for five years
Reconcile sales regularly to help you identify problems early, such as administration errors
Remember to account for stock taken for personal use
Only use your business account to pay for business expenses, so you don’t need to sort through and separate your business and personal expenses all the time
Keep complete and accurate records as you go along, instead of leaving it until later?

Good record keeping practices will make it easier for you, and your accountant/registered agent when it’s time to lodge.

If you’re having difficulty with your cash flow, you can prepare a cash flow projection to help you plan and manage.

Talk to ACP Accountants today and we can assist you to work it through.

Working From Home?

socialmedia@acpaccountants.net.au (Alan Law) — Fri, 25 Sep 2020 06:33:56 GMT

If your home is your main place of business, you may be able to claim the business portion of some expenses.

You can calculate your home-based business running expenses using the following methods:

1. A fixed rate of 52 cents an hour for each hour you operate your business from home

This covers heating, cooling, lighting, cleaning and the depreciation of furniture and furnishings.

You will need to separately calculate phone and internet expenses, consumables and certain depreciation expenses.

2. The temporary working from home shortcut method of 80 cents an hour

This can be used by individuals running home-based businesses from 1 March 2020 until 30 September 2020.

This covers all the expenses normally included under the 52 cents rate and all additional deductible running expenses.

3. Any other reasonable method.

You may also be able to claim occupancy expenses, like rent, in certain circumstances.

Exclude your private living costs and keep records to show how you calculated your expenses.

You can’t claim the same expenses two different ways. The temporary working from home shortcut method is all-inclusive.

For example, you can't claim the full cost of purchasing a photocopier using instant asset write-off and also claim with the home shortcut method.

Contact ACP Accountants - your Sydney business accountants to handle all your tax issues. Get it right!

Sydney Business Accountants

socialmedia@acpaccountants.net.au (Alan Law) — Tue, 15 Sep 2020 06:44:46 GMT

Your Sydney Business Accountants

Modern Accountants not just count. They plan!

Super Amnesty Ends on 7 Sept 2020

socialmedia@acpaccountants.net.au (Alan Law) — Fri, 21 Aug 2020 05:20:22 GMT

If you are late for superannuation guarantee payments, this is your last chance.

The superannuation guarantee (SG) amnesty is your chance to catch up on unpaid super without incurring penalties or paying administration fees.

This is your last chance to apply for the amnesty as it ends on 7 September 2020. So, if you want to participate in the amnesty, you must apply to the ATO by 7 September 2020.

Once you've applied, the ATO will advise you within 14 days which quarters are eligible for the amnesty. The ATO will also give you a payment reference number (PRN) to make amnesty payments.

Any amnesty amounts you pay before 7 September 2020 are tax deductible.

The Payment Reference Number (PRN) can be obtained:

From a super guarantee charge related statement the ATO sent you for the same ABN
You can request it through the Business Portal
Or contact the ATO helpline on 1800 815 886 between 8.00am and 6.00pm Monday to Friday
Alternatively, you can contact your accountants, or contact ACP Accountants - Sydney's leading business accountants.

Remember, you will need to pay in full or set up a payment plan to continue qualifying for the benefits of the amnesty.

Is Government Grant Taxable?

socialmedia@acpaccountants.net.au (Alan Law) — Wed, 19 Aug 2020 05:11:10 GMT

If your business has received a grant or payment from the Australian Government or a state or territory government, you may need to include it in your tax return.

Some grants and payments are assessable income and so need to be included in your tax return.

Grants and payments that are assessable income include:

JobKeeper payments, fuel tax credits or product stewardship for oil benefit
Wine equalisation tax producer rebate
Grants, such as an amount you receive under the Australian Apprenticeships Incentives Program
Subsidies for carrying on a business

There are some government grants and payments that you do not need to pay tax on. One example of this is the cash flow boost during this COVID – 19 pandemic.

How and where you report assessable grants and payments in your tax return will depend on your business structure.

Remember, registered tax agents such as ACP Accountants, a leading Sydney Business Accountant can help you with your tax and can help you if you are uncertain about the tax treatment of government grants or payments you have received.

Single Touch Payroll – Get it right!

socialmedia@acpaccountants.net.au (Alan Law) — Thu, 13 Aug 2020 01:19:52 GMT

Single Touch Payroll (STP)

It’s a compulsory requirement by the ATO to report wages payment through Single Touch Payroll (STP). ACP Accountants, your local Sydney business accountants are here to help if you are struggling with your accounting and taxation affairs.

Reporting through Single Touch Payroll (STP) requires changes to your end-of-financial-year (EOFY) processes. You'll no longer need to provide payment summaries to your employees or lodge a payment summary annual report for information you've already reported and finalised through Single Touch Payroll (STP).

Once you finalise, your employees' income statements will display as Finalized or Tax Ready in their ATO online account. They can download this information via myGov, or if they engage registered tax agent like ACP Accountants Pty Ltd, we can download this information and it can be ready to use in the tax returns.

Employer must make a finalisation declaration for each employee after the last payment for the financial year. For the 2019–20 financial year the finalisation declaration deadline is:

31 July if you employ 19 or fewer employees
14 July for businesses with 20 or more employees.

It's important to remember that:

When finalising your 2019–20 STP information, make sure you set the date to 30 June 2020. Otherwise, iff you don't change the date, the update will apply incorrectly to the 2020–21 financial year.
You should use an Update event if you finalised after 30 June 2020.
The pay period start and end dates of your employee need to be in the same financial year as the pay/update date.

If you have further questions, please contact your software provider or your accountant. ACP Accountants, your local Sydney CBD accountants are here to help. Please contact us today.

Claiming Accelerated Depreciation

socialmedia@acpaccountants.net.au (Alan Law) — Thu, 13 Aug 2020 01:12:05 GMT

Accelarated Depreciation

If you are running your business in this 2020 financial year, you may be able to claim an accelerated depreciation deduction or instant asset write-off up to $150,000 in your income tax return.

If the assets are eligible, there's no limit of number of assets for which you can claim.

From 12 March to 30 June 2020 (inclusive), the expansion of instant asset write-off threshold for each asset increased to $150,000 (from $30,000).

Eligible depreciating assets must be:

First held by you on or after 12 March 2020
Both new and second-hand assets can be claimed, provided each asset costs less than $150,000
First used or installed ready for business use from 12 March 2020 until 30 June 2021 (you can only claim assets first used or installed up to 30 June 2020 in your 2020 tax return).

If you claimed the instant asset write-off for an asset, you can't claim accelerated depreciation.

To help you get your claim right:

Check if you're an eligible business

Only claim a deduction for the business use portion of each eligible asset.
You can only claim deductions up to the 'car limit' for certain vehicles.
Keep all supporting documentation to show how you worked out your claim.
A car limit applies to passenger vehicles. The limit is $57,581 for the 2019–20 income tax year
If your asset is for business and private use, you can only claim the business portion
You can claim a deduction for the balance of your small business pool if it's less than $150,000 at 30 June 2020 (before applying depreciation deductions)
Different eligibility criteria and thresholds apply to assets first used, or installed ready for use, prior to 12 March 2020.

Remember, ACP Accountants, a registered tax agents can help you with your tax.