2018 Christmas Newsletter
I can’t believe another year has flown by. The 1st of November 2018 marked two years since I became a partner to Camtech & Slater Financial Group. It’s been a wild ride and I can’t wait to see what 2019 brings - Kate
Please note that this office will close at 12pm on Friday December 21st for a well-deserved break. We will reopen on Wednesday the 9th of January. Everyone at the Camtech & Slater office hope you have a safe and enjoyable Christmas and New Year
ATO Data Matching Changes
You may have noticed over the past year a few changes around Camtech & Slater. You have probably found that we are asking for information you didn’t have to provide before. This is due to the ATO’s increased data matching systems. While it may be a pain to gather some information, it will benefit you in the long run.
At Camtech & Slater it’s no secret that we LOVE our online accounting software. The cloud is a safe space to store information that becomes accessible anywhere in the world! This means you can share your information with your accountants and bookkeepers without having to print out hundreds of reports or copying everything to a USB which is at risk of completely crashing!
Our staff are proficient with Xero, QuickBooks, and Reckon. We offer in office lessons and support for all of these software’s. Better yet, we are excited to learn any other software you can throw at us.
Call us today on 03 5126 5555 to book a consultation to start your transition to the cloud today!
Tax Implications of Crowd Funding Campaigns
So you want to raise money through a crowd funding platform such as GoFundMe or Kickstarter. It can be a great way to raise money for someone close to you going through a tough time or to finance your latest venture. But what are the tax implications of Crowd Funding?
The Crowdfunding industry is growing rapidly. If you're involved in crowdfunding – regardless of your role – you need to be aware of the tax consequences. These vary depending on the nature of the arrangement, your role in it and your circumstances.
If you earn money through Crowdfunding, it may be considered taxable income. This means the income needs to be declared in your tax return. But don’t fret, the costs involved with raising this money can also be deductible.
Give Camtech & Slater a call today if you have any questions about Crowdfunding’s relationship to taxation. We are always happy to chat about tax!
Changes to Individual Returns
In line with the latest Budget released by the Australian Government there are various changes to tax legislation that affects all parties, be it individual, small business or large companies.
For individuals the new low and middle-income tax offset (LAMITO) will be introduced from 1 July 2018. This will provide an additional offset of up to $530 depending on your taxable income.
The maximum LAMITO will be available for incomes up to $90,000, and will phase out for individuals with a taxable income of $125,333 or more.
For families The new Child Care Subsidy is set to replace the previous benefit and rebates and is expected to make child care more affordable for families.
If you were receiving child care fee assistance before 2 July 2018 and haven’t transitioned to the Child Care Subsidy yet, you will need to submit a new Child Care Subsidy claim if you wish to receive child care fee assistance.
For the investor there have been no new changes since the shakeup to depreciation commencing 01 July 2017, whereby only expenses actually incurred by the investor could be claimed. However, this does not affect items purchased before July 2017.
Also, travel is still non-deductable property investors. Bear in mind this measure will not prevent investors from engaging third parties such as real estate agents for property management services. These expenses will remain deductible.
Changes to super you may have missed
The ATO have brought in new changes over the last year that affect individuals and their super. These changes applied for the 2018 Financial Year and have not been altered for the 2019 Financial Year.
In case you missed it here are the main changes that you will be seeing for 2018 and 2019:
Salary Sacrifice background information:
A salary sacrifice arrangement can be an easy way to minimise tax paid. If you’re thinking of salary sacrificing or currently are, there are potential concessions available to you.
In most cases, the amount you 'sacrifice' is taxed at a rate of 15%. Now depending on what you currently earn, this is likely to be less than you are currently paying (the average being around 34%, give or take a little)
There are some fine details about the total amount you can put into super and there have been some big changes recently. Give us a call and make an appointment if you would like more information.
First home owners:
As you may know, there is a new scheme in place whereby individuals may withdraw their voluntary super contributions for the purpose of buying a first home. This is a great incentive for individuals to not only put more savings towards their first home, but also to make more contributions to super!
Some handy tax tips that may allow you to receive extra offsets:
· Create your own salary sacrifice arrangement tailored to your wants and needs
· Top up your spouse’s super to be eligible for the super spouse contribution offset
· Utilise the super co-contribution initiative
To explore any of these options and see if you are eligible please contact our friendly team at Camtech & Slater Financial Group.