At the time you first commence a retirement phase superannuation income stream, your, “personal transfer balance cap” is set at the general transfer balance cap for that financial year.
Essentially, the transfer balance cap is a lifetime limit on the total amount of super that you can transfer into retirement phase income streams, including most pensions and annuities.
When the general transfer balance cap is indexed to $1.7 million from 1 July 2021, there won’t be a single cap that applies to all individuals. Rather, every individual will have their own personal transfer balance cap of between $1.6 million and $1.7 million, depending on their circumstances.
Author: Harris Black
Important Tax Dates
21 April 2021
Lodge and pay quarter 3, 2020-2021 PAYG instalment activity statement for head companies of consolidated group
Lodge and pay March 2021 monthly business activity statement
28 April 2021
Lodge and pay quarter 3, 2020-2021 activity statement if electing to receive and lodge by paper and not on active STP reporter.
Pay quarter 3, 2020-2021 instalment notice
Make super guarantee contributions for quarter 3, 2020-21 to the funds by this date.
30 April 2021
Lodge TFN report to closely held trusts if any beneficiary quoted their TFN to a trustee in quarter 3, 2020-2021
15 May 2021
Lodge 2020 Tax Returns for all entities that did not have to lodged earlier and are not eligible for the 5 June concession.
21 May 2021
Lodge and pay April 2021 monthly business activity statement
Valuing Innovation In Business
Innovation is integral to the development and growth of a business.
Innovation doesn’t have to be fully transformative, it can be improving a small process or introducing new technology in the workplace. Innovation helps businesses stay updated, continually improving efficiency and productivity. Innovative businesses that seek to improve all aspects of their operations will be able to thrive against their competitors.
There are different types of innovation:
Product or Service: Enhancing or developing new or existing products or services or introducing new technologies that were not previously used.
Process: Improving the way various types of processes take place in the business. This could include financial systems, information and communications technology (ICT) or human resource management.
Marketing: The way products and services are promoted and the mediums of promotion.
Business model: Implementing strategies to improve relationships with suppliers, distributors and customers and/or restructuring a business to improve functionality.
Innovation should be actively encouraged. Some ways to do this include:
Seeking customer feedback: This lets you know where change is needed so you can begin to focus on those areas if you are unsure of where to begin.
Encourage your staff to provide suggestions: Your employees will also have ideas based on their day-to-day experiences in the workplace, so listening to them will make them feel appreciated and improve productivity.
Building innovation into your processes: Your usual business process could have in-built mechanisms which encourage innovation i.e. every month everyone suggests new technology which might make working easier.
Rewarding innovative thinking: When there are good suggestions or demonstrations of innovative thinking, reward them with acknowledgment in front of other staff.
Regular innovation enables you to adapt to change easily and stay on top of your competitors. Businesses should consider setting the time aside to encourage innovative thinking as it is extremely beneficial.
Accountancy Insurance – Audit Shield Service
Clients of Harris Black would have received a letter from us offering you the opportunity to participate in our Audit Shield Service. Whilst we make all efforts to prepare your accounts and tax returns accurately, we cannot stop a government authority choosing to undertake a review or an audit.
With government authorities increasingly using data matching with other government bodies, banks, Single Touch Payroll and even companies such as AirBnB, audits and reviews are on the increase.
The Audit Shield service has provided effective financial protection to those of our clients who have been subject to an audit, enquiry, investigation or review from the Australian Taxation Office or any other relevant government revenue agency in relation to lodged returns. Whilst we act as your registered tax agent, you are able to opt into this service.
Below is a chart outlining the 2019-2020 Audit Shield claims across Australia:
To understand more about the Audit Shield Services or to opt in, please contact your Harris Black team member
Australian Financial Review – Top 100 Accounting Firms 2020
Harris Black is proud to be a founding member of the Brentnalls National Affiliation, which has just been ranked 30th in the Australian Financial Review Top 100 Accounting Firms of 2020.
The growth of Harris Black and all firms in the affiliation is a testament to the collaborative model and culture of the group, where the focus is on being better positioned to help our clients achieve their goals.
JobMaker Hiring Credits Up To $200/week
JobMaker will take the form of a payment to employers for each new eligible job they create over the next 12 months.
Generally, the amount of the JobMaker Hiring Credit payment depends on the age of the eligible additional employee when their employment starts. Employers can receive up to $200 per week for each eligible additional employee aged 16 to 29 years, and up to $100 per week for each eligible additional employee aged 30 to 35 years.
JobMaker started on 7 October 2020 and ends on 6 October 2022, but payments will only apply for eligible people who commence employment between 7 October 2020 and 6 October 2021.
If you have any questions regarding JobMaker, please contact your Harris Black tax specialist.