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Super Guarantee increase from 1 July 2014
Tax Tips June 2014
Tax Tips May 2014
Tax Tips April 2014
Do I need a Business Bank Account?

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Information for Business Owners

Business News

Super Guarantee increase from 1 July 2014










Change to Employee Super Rate from 1 July 2014

From 1 July 2014, you must pay a minimum of 9.5% of each eligible employee's ordinary time earnings in super.

You have to pay super guarantee contributions for each eligible employee by the quarterly cut-off dates:

 Quarter
 Period
 Payment cut-off Date
1
1 July - 30 September
28 October
2
1 October - 31 December
28 January
3
1 January - 31 March
28 April
4
1 April - 30 June
28 July

Contact Alan Beck at BASMAN RETURNS  on 0419 671 602 for all your business accounting & taxation needs.

Tax Tips May 2014











Hi Everyone

Welcome to the May 2014 edition of Basman's Tax Tips for Business Owners.
To view the newsletter online please click here

Recent changes have been made to some social service, family benefit and other entitlements, which we run
through and explain. There are also changes looming for superannuation contribution caps (the good news here is
that they are increasing).

And did you know that the basis to determine the costs of aged care accommodation is being given a shake-up?
Read our summary of the impending transition from income tested cost determination to one that includes
asset holdings, and what this change entails going forward.

We also touch upon the tax implications of marriage (including the implications of the main residence exemption
for CGT and treatment of interest income from joint bank accounts). And if you are considering winding up your
SMSF, we also spell out the steps necessary to make that happen.

Should you require more information regarding any topic touched upon in this newsletter, please feel free to
contact Alan on 0419 671602 for personal advice.

Click here to view the newletter online.

Disclaimer: All information provided in this newsletter is of a general nature only and is not personal financial or investment advice. Also, changes in legislation may occur frequently. We recommend that our formal advice be
obtained before acting on the basis of this information.

Tax Tips April 2014



Tax Tips for Business Owners
April 2014

Hi Everyone

Welcome to the April 2014 edition of Basman's Tax Tips for Business Owners.
To view the newsletter online please click here

While most people know that the fees for preparing and lodging tax returns are deductible, far fewer are
aware that the specific regulations operating in this area of tax law also allow for extra deductions to be claimed
in certain circumstances.

While the repeal of the mining tax (the Minerals Resource Rent Tax) is yet to pass the Senate, there are some
perhaps surprising negative implications for small businesses regarding asset write-offs and depreciation.
We run over the details.

We also warn of the fast-approaching deadline to apply for the R&D Tax Incentive, provide an overview of what
it takes to set up your own SMSF, and look at the different investment asset classes and the tax implications
of each.

Should you require more information regarding any topic touched upon in this newsletter, please feel free to
contact Alan on 0419 671 602 for personal advice.

Click here to view the newletter online.

Disclaimer: All information provided in this newsletter is of a general nature only and is not personal financial or investment advice. Also, changes in legislation may occur frequently. We recommend that our formal advice be obtained before acting on the basis of this information.

Do I need a Business Bank Account?











If you’re operating as a sole trader or partnership you don’t have to open a business bank account, but………
it’s a much better idea to have one.

Read on for the details!

Benefits of a business bank account
While there is no legal requirement for sole traders and partnerships to have a business account, it’s still a
good idea to open one.

With a business account, you’ll find it easier to:

  • do your bookkeeping with less stress, less time and less cost
  • track and control your business expenses and income so you can manage your business
  • extract the information you need to give to your accountant to do your tax return

It also helps to present your business in a more professional manner when dealing with your customers.

BASMAN RETURNS recommends separate business bank accounts

If you operate a business (using an ABN), we recommend you open a separate business bank account for your
business income and expenses. This means you can easily keep your business transactions separate from your
personal finances.

If you operate your business as a company or trust, you must have a separate bank account for your business.

If you have a business bank account, BASMAN RETURNS recommends that you avoid paying personal expenses
from it. This will make your business accounting clearer, simpler, faster and cheaper.

Find out more Contact Alan Beck at BASMAN RETURNS- Chartered Accountants if you need any assistance with
accounting and taxation requirements for your business.

Do I Need to register for GST?











What is GST?

GST is a tax on most goods and services sold or consumed in Australia. Goods and services tax, often known as GST,
is collected by registered businesses.
If your business is registered for GST, you will have to collect some extra money (one-eleventh of the sale price) from
your customers and pay it to the Australian Taxation Office (ATO) when it is due.

Do I need to register?
You must register for GST if your business has a gross income (also known as ‘GST turnover’) of $75 000 per year or
more GST turnover is your business’ gross income, not your business’ profit.
For example, if you run an online clothing store and you sell $80 000 worth of clothes, you’d have to register for GST because your GST turnover is over the $75 000 threshold. This rule still applies, even if you only get to keep $40 000.

When do I need to register?
If you haven’t registered for GST, and you become aware that your GST turnover will exceed the $75 000 per year threshold, you will have to register for GST within 21 days.
It’s a good idea to check each month to ensure you’re not likely to go over the over the limit. Keeping an eye on your
GST turnover is important so you can register if necessary.

How do I register?
You’ll need an ABN to register for GST. Your ABN will also become your GST registration number.
If you anticipate that your GST turnover will be over $75 000, you can register for GST and apply for your ABN at
the same time.If you already have an ABN, but haven’t registered for GST, find out how to register for GST on
the ATO website.

What are GST credits?
GST credits are a potential amount of money your business might be able to claim from the ATO.
If you are registered for GST, you can ‘claim back’ the GST that has been included in the purchase price of something you’ve bought for your business.
For example, Laura runs an consultancy firm and has just bought a new computer for the office. The computer cost
Laura $1100, including GST. Because GST is one-eleventh of the sale price, Laura would have paid $100 in GST.
Laura is registered for GST because her business’ GST turnover is more than $75 000. She is able to claim GST
credits for the GST included in the sale price of her computer ($100).If her GST credits are higher than the amount
of GST she has to pay the ATO, she will be able to get a refund.

What happens if I don’t register for GST?
If your GST turnover is under $75 000 and you don’t register for GST, you won’t include GST in your fees. You also
can’t claim GST credits for your business purchases.

Want more information?
Contact Alan Beck at BASMAN RETURNS- Chartered Accountants if you need any assistance with accounting and taxation requirements for your business.

Getting ahead with good accounting records

Research shows businesses that are good at meeting their GST and activity statement obligations tend to run more successful businesses. This can be because the business systems and processes they use to manage their tax affairs help them keep track of their business performance and make sound business decisions.

By maintaining proper records of dates, fees for service, expenses, wages and other costs, you can use this information to help you:

  • manage your cash flow
  • complete your activity statements more easily
  • avoid reporting errors, such as not reporting the correct amount of GST
  • keep track of creditors and debtors
  • demonstrate your financial position to banks.

If you run a small business and would like to find out what records your business should be keeping or help evaluating how well your business is keeping records contact Alan at BASMAN RETURNS on 0419 671 602 or email alan@basman.com.au



Tax Tip # 3


Small businesses can claim an immediate tax deduction for assets costing less than $6,500. So if you need office equipment or other assets and you have a small business entity, purchase these items before 30 June to get the deduction this year.

As always, don't spend your hard-earned money on things you don't need just to get a tax deduction. Its not worth spending a dollar to save 30 cents.


Gold Coast Accountant

Changes to the super guarantee rate

To help grow Australian workers' savings for retirement, the compulsory super guarantee rate will gradually increase from 9% to 12%. When you make super payments on behalf of your employees based on the minimum 9% super guarantee rate, you will need to increase this rate on which you base your calculations to 9.25% on 1 July 2013.

The Super Guarantee rate will increase gradually from 9% to 12% from 1 July 2013 as follows: 

                        2013/14             9.25%
                        2014/15             9.5%
                        2015/16           10%
                        2016/17           10.5%
                        2017/18           11%
                        2018/19           11.5%
                        2019/20           12%

What you need to do

  • Update your payroll and accounting systems to apply the appropriate increase to the super guarantee rate.
  • From 1 July 2013, increase the rate you use to work out the super guarantee payments you make for your employees from 9% to 9.25%.
  • Continue to increase the rate you use to work out the super guarantee payments you make for your employees each year until 1 July 2019.

If you require any assistance contact BASMAN RETURNS for Superhero Service for your business.


Gold Coast Accountant




Employee or Contractor ?

The Tax Office's new Employee or contractor homepage has information you need to work out whether your workers are employees or contractors including:

Grow your Gold Coast business
  • the basics - things your business needs to know

  • the common reasons businesses get the decision wrong

  • industry specific information

  • an Employee/contractor decision tool

  • summary of the obligations you need to meet for your employees or contractors.

If you get the decision wrong, you risk having to pay penalties.

For more information, visit Employee or contractor or contact Alan at BASMAN RETURNS

FREE Webinars for Business Owners

The Queensland Government is running a series of 1 hour webinars (web-based seminars) in 2012 to help small business owners improve their skills and their business.

The free webinars cover a variety of topics, including:
  • cloud computing
  • using Facebook, Twitter & LinkedIn for business success
  • local search marketing and search engine optimisation
  • pay per click online advertising.

All webinars are interactive and allow you to give, receive and discuss the topic in more depth.
To find out more, including how to register, visit the QLD Business and Industry  website

Cheers

National Business Name System

The current state based business names system is to be replaced by a National system after 28 May 2012

The registration process will be online and will be linked to the ABN application process.

Costs will be around $30 for one year and $70 for three years - A cost reduction in most states and territories.

Existing businesses do not need to do anything, their existing business
names will transfer automatically to the national register.

If you have an queries contact the BASMAN on 0419 671 602 or by email at alan@basman.com.au

Cheers & Best wishes for a safe and happy Christmas & New Year

Alan