1300 GRIMA TAX (1300 474 628) emma@grimaaccounting.com.au

Budget Changes 2018 and impact on your business!

Apr, 2018

With the end of financial year approaching fast, we want to ensure you are taking the steps to equip yourself for the start of the new financial year.

Firstly, please find below important changes proposed by the Federal Budget which will impact on your Small Business, and further, if you havent already, take up an offer for our firm to perform an interim review of your financial position and status to implement any changes before its too late.

Please contact us at emma@grimaaccounting.com.au for further information on how to get this done.

Remember, our practice is not just a tax agent but a registered CPA Firm that maintains high professionalism and integrity.

Small Business

  • Extending small business $20,000 immediate write off – proposed to extend it for another 12 months up to 30th June 2019. The business must have turnover of under $10 million to access such concessions.

From 1st July 2019, it will revert back to $1,000 immediate deduction

TAX TIP: If you need to acquire any large assets more than $1,000 and valued under $20,000 you can take advantage of this immediate write off for 2018 year and 2019 year.

  • Taxable payments for contractors will expand to security, road freight and computer system and design related services from 1st July 2019.
  • From 1st July 2019, no deduction will be allowed for businesses for payments to employees when no PAYG has been withheld
  • Directors will continue to face being personally liable for not meeting certain tax obligations such as superannuation guarantee and PAYG tax payments, this will extend to non-payment of GST, luxury car tax and wine equalisation tax

 End of financial year planning tips 2018

  • Ensure superannuation is paid and received by your fund for all employees by 30th June 2018
  • Review assets list for 2018 Depreciation Schedule for any scrap/obsolete items
  • Delay issuing invoices for non-cash basis to post 30th June 2018
  • Pay all expenses incurred prior to 30th June 2018 if on cash basis
  • Write off all bad debts prior to 30th June 2018
  • Make sure you have a diary for working from home for internet/phone usage for 4 weeks of the year to verify claim
  • Make sure logbooks are up to date for company/work related vehicles
  • If a low income earner, ensure pay up to $1,000 prior to 30th June to receive government co-contribution of up to $500.

This newsletter is for general information only. The articles should not be relied upon without professional advice. Contact my office for further information. Liability limited by a scheme approved under Professional Standards Legislation

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