The Government will introduce the Low and Middle Income Tax Offset, a non-refundable tax offset of up to $530 per annum to Australian resident low and middle income taxpayers.
The offset will be available for the 2019, 2020, 2021 and 2022 income years and will be received as a lump sum on assessment after an individual lodges their tax return.
With tax time coming up, it is always difficult to know what you can and cannot claim.
If you are in the construction Industry, you may be able to claim items such as sun care, meals and tools.
The ATO have provided a general guideline of items you can claim to make getting organised for tax time easier.
How would you feel if your customers, prospective customers, suppliers or competitors knew your business was struggling to meet its tax obligations?
At some stage in 2018, if proposed legislation passes, this will be a reality.
If you have an ABN, have more than $10,000 in debt outstanding for more than 90 days, and are not effectively engaging with the ATO to manage this debt, the ATO will have the power to report these debts to credit reporting agencies (effectively making the information publicly available).
If your business falls foul of these criteria, this could result in credit applications being denied, contracts / tenders being awarded to your competitors or customers seeking a ‘please explain’.
As a small business owner, here are some things you can do to avoid being affected by these changes:
And remember, we are here to help. If you are worried about how these changes will affect you, please contact us today.