Tax Tips – Tick & Flick Guide

Checklist for Financial Year 2014:
Information and things to check for minimisation of your tax

Business

  • FBT – insure your FBT return has been lodged and your employee contribution paid to your Company – Your Employee Contribution amount has to be included in your June 2014 Business Activity Statement
  • Business owners who have borrowed funds from their Company must ensure that the correct principal and interest amounts are repaid before the 30 June 2014
  • Make all payments for business expenses before the 30 June 2014
  • Write-off Bad Debts
  • Payment summaries to emplyee’s have to be issued by 14 July 2014 and lodged with the ATO
  • If applicable prepare a Stocktake and make sure your creditors and debtors are correct
  • The government has announced it’s intention to reduce the instant asset write off threshold to $1000.00 from $6500.00 and remove the special depreciation rules for motor vehicles from 1 January 2014.  Motor vehicles acquired and available for use between 1 July 2013 and 31 December 2013 will still be eligible for an immediate deduction of up to $5000.00

Superannuation

  • To claim the deduction for the super contribution cap of $25,000.00 for the 2014 financial year your super fund must receive your funds by the 30 June 2014
  • Self Managed Super Funds (SMSF) – SMSF trustees are required to appoint an approved SMSF auditor who is registered with ASIC.
  • Ensure all employee super is paid up-to-date by the 30 June 2014
  • From 1 July 2014, the super guarantee rate is going up from 9.25% (the rate will increase gradually over the next 6 years to 12%)

 

Individuals

  • Australian bank account details are required when Tax refunds are expected BSB, Account Name, Account Number
  • The tax-free threshold is $18,200.00, if your taxable income is under the tax-free threshold, there are reasons why you may still need to lodge an ITR
  • Ensure that you have kept an accurate Motor vehicle log book (Business Travel)
  • Receipts for – uniform, tools, education, fees, travel expenses, donations and investment expenses
  • Salary and wage earners will generally be entitled to an immediate deduction if certain income-producing assets costing $300.00 or less are purchased before 1 July 2014
  • Income protection (excluding death and total/permanent disability) is 100% deductible

 

Rental Properties

  • Arrange for a Property Depreciation Report this will maximise the amount of depreciation and building write-off deductions on your rental property
  • Summarise your property expenses eg: rates, body corp fees, interest on loan, repairs and maintenance, travel, water rates, and organise from your real estate agent a income & expenditure tax statement for 2014
  • Rental property owners will generally be entitled to an immediate deduction if certain income-producing assets costing $300.00 or less are purchased befor 1 July 2014.

 

Trusts

  • Trust Resolutions must be prepared and signed for all Discretionary (family) Trust, we are currently preparing these for our clients