Personal Income Tax

2018 Federal Budget

The 2018 Federal Budget was boring and did nothing.

Using Simplified Trading Stock Rules

Small businesses can choose not to conduct a formal stocktake at the end of their income year if the estimated value of their trading stock has not changed by more than $5,000.  This rule, known as “simplified trading stock rules,” commonly gets overlooked, especially by new businesses. If this choice is selected, the ATO says the business is not required to account for the incremental changes in their stock’s value.  However, in order for the ATO to find the business’s estimate reasonable, the following requirements must be met:

When Business Owners Borrow from The Business

It is a common practice for business owners to borrow money from their businesses for one reason or the other. While borrowing is not frowned upon in its entirety, there are certain situations which is our tax laws seek to discourage this practice for the purpose of maintaining business integrity. In particular, this relates to situations in which private companies give money to business owners other than for salary or dividend purposes, and business owners need to know this.

Tax Rules on Foreign Income for Australian Residents

Australian residents are required to pay income tax on both domestic and foreign income.  Ordinarily the gross amount of foreign income (including any paid taxes) must be considered taxable income. 

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02
Feb2015

Welcome to my blog

Welcome to my blog

02
Nov2016

Qualifications

Recently somebody asked me how many qualifications and post nominals I had. I replied that I don’t know – I’ve lost trac...

02
Nov2016

Ben, Have you invented any new words lately?

A correspondent has asked if I have invented any new words. Indeed I have. Procreastation: The tendency to put off doing...

02
Nov2016

Ben, what is the greatest waste of taxpayers money?

Thank you for asking this important question. The greatest waste of taxpayers money in history is without doubt the new...

02
Nov2016

Ben, What is the Mac tax? Is it federal or state?

Thank you for that interesting question. The Mac tax is a tax that is imposed neither by the federal nor the state gover...