Tax Archives - BILANZ For Business

Accounting, BAS Agents, COVID19, Superannuation, Tax

The Super Guarantee (SG) Amnesty

The Super Guarantee (SG) Amnesty is a one-off opportunity to correct past unpaid SG amounts.

Employers have a six-month window, until 7 September 2020, to disclose, lodge and pay unpaid SG amounts for their employees. …

Payments made during the amnesty can be claimed as tax deductions, and payment plans can be arranged.

Bookkeeping for business and payroll/superannuation management can be very time-consuming – it may be too much to do for a small team and yet not enough to employ a full-time bookkeeper. Bilanz bookkeeping and payroll management service are cost-effective so that business owners can focus on growing their businesses instead of focusing on the paperwork and legalities behind payroll, super and tax. We can assist you onsite or remotely and from as little as a few hours a quarter.

Get in touch which us today via the ‘Contact Us’ Page and we will be in touch with you as soon as possible.

Accounting, BAS Agents, BILANZ, COVID19, Tax

JobKeeper Explained

JobKeeper Payment for Employers:

The Federal Government has released a new subsidy to assist employers to keep their staff employed.

This will help our Bilanz clients retain their apprentices, trainees and other staff through the next 6 month period, as the economy is hit by the impacts of COVID-19.

For the next six months, each worker in hard-hit businesses will be eligible to be paid a wage of $1,500 a fortnight.

If your small-medium business (under $1bn turnover) has suffered a revenue hit of 30 per cent due to COVID-19, your business qualifies.
If your larger business (over $1bn turnover) has suffered a revenue hit of 50 per cent due to COVID-19, your business qualifies.
These losses are self-assessed.
Full time, part time and stood-down workers are eligible.
Sole traders, not-for-profits, and casuals who have been employed for 12 months are also eligible.
The JobKeeper Payment is considered ‘equivalent’ for the purposes of Supporting Apprentices and Trainees, as it is designed to help businesses cover the costs of their employee’s wages.
An employer will not be eligible to claim Supporting Apprentices and Trainees for any period where they elect to claim the JobKeeper Payment for the same Australian Apprentice.

An eligible employer may elect to claim the JobKeeper Payment after they have begun claiming the Supporting Apprentices and Trainees. One payment will stop when the other starts. The two cannot be paid simultaneously

If you must lay off staff, help your employees to apply for Centrelink. $550 per fortnight will be paid to individuals who are currently eligible for certain income support payments, including the:
–       Jobseeker Payment;
–       Youth Allowance; and
–       Parenting Payment (Partnered and Single).
Furthermore, it appears that this new (additional) supplement will be paid to eligible individuals as part of their existing income support payments (e.g., Jobseeker Payment and Youth Allowance).

Accounting, BAS Agents, BILANZ, COVID19, Payroll, Tax

Australian Government’s Economic Response to the Coronavirus

FOR MORE INFORMATION on the Australian Government’s Economic Response to the Coronavirus visit treasury.gov.au/coronavirus.

Businesses can visit business.gov.au to find out more about how the Economic Response complements the range of support available to small and medium businesses.

We have tried to take the guess work out of what is available to you and have provided a summary below:

please note that the situation is rapidly changing. We will endeavour to keep you updated as it changes.

The small business relief includes:

$17,500 grants for small businesses with a payroll between $1 million and $4 million.
The $1 million payroll tax threshold (announced in October 2019) will be brought forward by six months to 1 July 2020.
The WA Government will waive rental payments for small businesses and not-for-profit groups in State Government-owned buildings for six months.
JobKeeper As well as the following measures announced on 31 March 2020:
One-off $2,500 credit on electricity bills for small businesses that consume less than 50MWh per annum. For more information read the statements on the Synergy and Horizon Power websites.
Power and water disconnections will not occur and interest will not be charged on deferred payments until 30 September for small businesses facing financial difficulty due to COVID-19. Please note: This applies to Synergy customers.
Payroll tax will be waived for four months for businesses with annual wages under $7.5 million (NB: this replaces the previous payroll deferral measure which was announced).
Affected businesses can apply for interest free payment arrangements and for late payment penalties to be waved for a range of taxes and duties, including payroll tax, transfer duty, landholder duty, vehicle licence duty or land tax.
A range of business licence fees have been waived, including liquor licence renewal fees for 2020, which will be waived and refunds given to businesses that have already paid
Payroll grant payments (updated 30 March) Grants of $17,500 will automatically be paid by cheque to eligible businesses from July, however you should log in to Revenue Online to ensure your postal address is up to date. There may be delays for those whose tax status changed in 2018-19 or liability for payroll tax changed in 2018-19 or 2019-20.

Rent relief for WA Government commercial tenants (announced 30 March) The WA Government will waive rental payments for small businesses and not-for-profit groups in State Government-owned buildings for six months to help these lease holders respond to the impacts of COVID-19.

The plan will benefit businesses such as convenience stores in train stations, cafés in government buildings, and restaurants in tourism precincts, such as Elizabeth Quay and Yagan Square. It will also benefit eligible small businesses leasing land from the State, such as caravan park and eco-tourism operators.

Accounting, BAS Agents, BILANZ, Cloud Accounting, Tax

Why you need to hire a BAS Agent for your business

GST, PAYG, Wages Payable, Super Payable, Wages expense, Super expense, ATO…. the joys of owning a business… these are the things you dreamed about when you were thinking about running your own business right?!.. hmm maybe not! The reality is that not only do you need to focus on the basics of business, sales and making a profit – now we’ve thrown in all the above to take into consideration for your ever growing to do list! FUN!

But wait, good news!! We live in a world of endless opportunity, and lucky for you the option to outsource the management of your business’s activity papework and statement submissions to the ATO is a viable and (might I add) time-saving opportunity.

Lets Discuss!

What are the benefits to hiring someone to manage your Business Activity Statements.

Reconciliations:

Each quarter we ensure your BAS is correct by reconciling the GST, PAYG, Wages Payable, Super Payable, Wages Expense, Super Expense and ATO integrated accounts. For reference we have added the BAS filing schedule below:

Safe Harbour:

When lodging BAS on your own, you can easily make mistakes which can incur fines from the ATO. However, a BAS agent is covered by the Safe Harbour laws, which adds an extra level of protection for you. For example if you fail to lodge a document on time or there is an error in your statement resulting in a shortfall of tax you may be protected by administrative penalties imposed by the ATO if you’re going through a BAS Agent..

More time to Lodge:

Additionally, when you lodge BAS on your own, you must pay by the due date. Under the BAS lodgement program, an Agent gets extra time to lodge which means you do too!

Code of Conduct:

You have confidence knowing that you’re working with someone who is knowledgeable, professional, honest and confidential. Registered BAS Agents are bound by a code of conduct and must always reflect these attributes . In any case the Agent breaches the code, you can report it to the Tax Practitioners Board.

Qualifications and Ongoing Study:

There are a number of minimum qualifications that need to be met in order to become registered. This includes: 1400 hours experience, at least a Cert IV in bookkeeping, PI insurance, be apart of a professional membership and partake in 45 hours worth of study every 3 years in order to stay registered. These requirements enforced by the law ensures the Agent is knowledgeable on new updates to GST and tax laws, industry changes and complex topics so you don’t need to be!

Bilanz for Business has a superb team of BAS agents in Perth who can assist you in your business and help take the pressure off – so that you can focus on the rest of your to-do list!

Finally, if you’re wondering how to verify BAS Agents. Make sure to check the Tax Practitioner Board and type in the business name to see if they are a registered agent: https://www.tpb.gov.au/registrations_search

Accounting, Finance, Tax

How to navigate the End of the Financial Year

The end of the financial year wraps up June 30. That means from July 1st, it’s tax season. Sole traders and partnerships- you’ll need to lodge by October 31st, or if you’re lodging through a registered tax agent, they can advise on the date. Small companies generally need to lodge by February 28th, though – again – if you’re going through a tax agent they will let you know when to lodge. Whenever your deadline is, there’s a lot to get through, and there’s more to it than tax. Make the most of this busy time and keep stress to a minimum with these tips!

Single Touch Payroll

Recent research from Xero found one in five small businesses (20 percent) wrongly believed that STP did not apply to them. All companies are encouraged to register for Single Touch Payroll (STP) by July 1st 2019, which is a new reporting requirement introduced by the ATO. Small businesses should work to transition to STP with their accountant and bookkeeper in order to become compliant now! Bilanz Bookkeepers are Single Touch Payroll Certified with Xero, making it easier than ever to transition now.

If you’re interested in learning more about how Xero works for STP. Contact Bilanz today to set up an obligation free – one on one training session.

Purchase large assets before July

Thinking of purchasing assets for your business?

The instant asset write-off threshold has been increased to $30,000 and extended to 30 June 2020.

If you purchase an asset (new or second hand) costing less than $30,000 and it is used or installed ready for use from 7:30pm AEDT on 2 April 2019, you can claim a deduction for the business portion. Another thing to consider this EOFY is an in-depth review of all fixed assets. Have a look at any unwanted assets and consider whether they’re worth keeping around. Sales of unused assets can generate cash and reduce storage costs. Or you might want to look at hiring out items and equipment instead.

Get organised and choose the right professionals to help you do that!

Over the course of a year, your business will accumulate a decent paper trail… even if you’ve moved to the cloud. Sorting through bills, invoices and paperwork can be extremely time consuming if you’re not currently organised. In order to avoid being bogged down next year – choose to plan ahead by chatting with an accountant or bookkeeper. They can advise on all the necessary records needed and keep everything streamlined for you moving forward. It’s very important to pick the right accountant or bookkeeper. Always look for someone who has the relevant qualifications and are registered with the correct professional body.

Check the Tax Practitioner Board (linked below) to make sure they are a registered agent for lodging Income Tax and BAS. Did you know Bilanz is a registered BAS Agent ready and willing to help your business succeed!

Lodging your Business Activity Statement? check here for registered BAS agents in Perth.

Hopefully these tips helped you in some way as you navigate this EOFY (we also heard wine helps too)! As always, we are only a phone call or email away. Please do not hesitate to drop us a line at business@bilanz.com.au if you have any questions about EOFY or our Xero, Quickbooks or MYOB Bookkeeping services! Finally, download this handy checklist below to ensure you’re staying on track: Good Luck!

Category: Tax