31 October 2019
• Final date to add new clients to your client list to ensure their 2019 tax return is covered by the lodgement program.
• Lodge tax returns for all entities if one or more prior year returns were outstanding as at 30 June 2019.
28 November 2019
• Lodge and pay October 2019 monthly business activity statement
25 November 2019
• Lodge and pay quarter 1, 2019–20 Superannuation guarantee charge statement – quarterly if the employer did not pay enough contributions on time.
1 December 2019
• Pay income tax for taxable large/medium taxpayers, companies and super funds. Lodgement of return is due 15 January 2020.
Beginning her career with Harris Black as a graduate accountant in 2010, Tomoka has honed her knowledge and expertise to be appointed into her current role as Senior Manager. Tomoka holds a Bachelor of Commerce from the University of Queensland and is an active member of Chartered Accountants Australia and New Zealand and the Taxation Institute of Australia.
Some interesting facts about Tomoka… Born in Kumamoto, Japan, Tomoka speaks fluent Japanese. Her proudest accomplishment is “placing 3rd in the National Karate Championships of Australia at 15 years old”. Interestingly, if she could eat one meal for the rest of her life, it would be “salt and vinegar chips and melting moment cookies”! Over the coming months, Tomoka is mostly looking forward to “being a mum” and a skill she would like to master is “handling two dogs and a baby”.
An excerpt of the interview with Tomoka is below.
To view the full interview, please click here.
A recent review of our branding has culminated in an upgrade to Harris Black styles, document presentation and marketing materials. Whilst we all think the introduction of purple to our colour palette is pretty cool, the most exciting outcome is our fresh new look website (www.harrisblack.com.au) and the introduction of our Help.Achieve Blog (www.helpachieve.com.au)! Our Blog will keep you up to date with all the Harris Black happenings! We’ll also be posting articles on our Blog site that will help you comply with tax obligations and provide you with tips to grow your business and personal wealth too.
What won’t be changing of course is our approach to providing quality service to our valued clients… At Harris Black, we’re driven by a simple focus: We help You achieve. We’re passionate about helping our clients achieve their goals. We work collaboratively with you to understand your challenges and deliver strategic solutions with insight and clarity to improve your position.
Do you have any amounts of offshore income you haven’t declared to the ATO – perhaps interest from a foreign bank account? Even if it seems like a small amount, you must declare it. International data-sharing arrangements are making your overseas financial affairs increasingly transparent, so don’t get caught out.
The ATO is keen to emphasise that its techniques for detecting offshore amounts are becoming increasingly effective. Cross-border cooperation between different tax jurisdictions means your financial information is being shared more than ever before.
If you’re an Australian resident for tax purposes, you’re taxed on your worldwide income. This means you must declare all foreign income sources in your return.
If you’re a non-resident, you generally only pay tax on your Australian-sourced income.
TIP: The main test for tax residency is whether you “reside” in Australia. There’s no single factor that determines whether you meet this test.
What if you’ve already paid tax on the income overseas? You still need to declare it to the ATO. However, you may be able to claim an offset for the tax already paid in order to prevent double taxation.
Got any amounts you’ve overlooked? Now is a great time to get help from your tax adviser with making a voluntary disclosure. You’ll often receive a reduction in ATO penalties and interest that would otherwise apply – and the outcome is generally much more favourable if you make a disclosure before the ATO commences an audit of your tax affairs.
As a business owner, do you sometimes take work trips? When a trip is clearly for business purposes only, the rules for deducting your expenses are fairly straightforward. But what happens when you’ve planned a holiday or to catch up with family or friends while you’re travelling?
Assume you travel to London for a two-week trade show and stay a few extra days for sightseeing. If business is the primary purpose of the trip, you can claim the whole cost of the return airfares as a business deduction, because the sightseeing is just incidental. If you have a significantly longer holiday, so the primary purpose of the trip is not just business, you may need to apportion your airfares. And if the primary purpose is clearly private with some incidental work activities, you generally can’t deduct airfares.
Accommodation deductions are limited to the nights that you’re required for the business purpose. In our London example, you couldn’t deduct your accommodation costs for the nights you stayed for sightseeing. This applies even though you could deduct the full airfares.
Sole traders and partners must keep a diary if they travel for six or more consecutive nights, detailing each business activity, the location, the date and time it began and how long it lasted.
If your business runs through a company or trust structure, it’s not compulsory to keep a diary, but it’s strongly recommended.
TIP: For companies, be careful about your business paying for any private part of your travel, as this could have consequences under the “deemed dividend” rules about benefits for shareholders and their associates.
Legislation has recently been passed to ensure that any goods or services provided by a trustee of a superannuation fund is at arm’s length.
Non-arm’s length expenses incurred by a superannuation entity in gaining or producing assessable income will result in such income being taxed at 47%.
This can include for example a real estate agent providing management services or a builder providing their labour to build or repair an asset owned by the fund.