Demystifying Division 293 Tax: What Is Division 293 Tax Key Highlights Division 293 tax is an additional tax on concessional contributions for high-income earners The tax rate for Division 293 tax is 15% The tax is calculated based on the lesser of your low-tax contributions and the amount by which your income and super […]
Understanding What Is Tax-Free Threshold in Australia Key Highlights Understanding the tax-free threshold is crucial for managing your taxes effectively and avoiding potential tax debts. The tax-free threshold in Australia is currently set at $18,200 per annum. Australian residents can claim the tax-free threshold by completing a Tax File Number Declaration form. Non-residents do […]
Essential Tips for Superannuation for Sole Traders Key Highlights Superannuation is a voluntary but highly advisable program for sole traders to save for retirement and ensure future financial security. Sole traders have the flexibility to make personal contributions to their superannuation account and claim a tax deduction. Understanding superannuation guarantee and other regulations is […]
Offset vs Redraw Tax Implications: Complete Guide Key Highlights Understanding the difference between offset accounts and redraw facilities is crucial in managing your home loan and reducing interest payments. Offset accounts and redraw facilities both allow you to use spare funds to reduce interest charges on your loan balance. A redraw facility is a […]
Simplified: How Do You Figure Out Net Income Key Highlights Net income, also known as net earnings, is calculated by subtracting all expenses from the sales revenue of a business. It is an metric for measuring a company's profitability and financial health. Net income differs from gross income, which is the profit after deducting […]
Is an Insurance Payout Taxable? What You Should Know Key Highlights Insurance payouts for destroyed personal items are typically not taxed, but there are exceptions. If you have a home that produces income, the rules for insurance payout taxation change. Insurance payouts for damaged or destroyed trading stock in your business are taxable. Rental properties […]
Essential Guide to Tax Loss Carry Forward Australia Key Highlights Tax loss carry forward is a valuable tax provision that allows taxpayers to offset losses from one year against taxable income in future years. Understanding the rules and benefits of tax loss carry forward can help individuals and businesses maximise their tax savings. The mechanism […]
Redundancy Payment and Tax: Crucial Guidelines for Success Key Highlights Understanding the different types of redundancy payments and their tax implications The criteria for a payment to be considered a 'genuine' redundancy and its tax benefits The tax-free thresholds for redundancy payments and how they are calculated Tax considerations for employer-sponsored early retirement schemes […]
Depreciation Schedule for Rental Property: Essential Guide Key Highlights A depreciation schedule is a powerful financial that can help property maximise their tax deductions and increase their cash flow. Depreciation schedules prepared by qualified quantity surveyors and outline the various tax depreciation deductions available for an investment property. There are two types depreciation relevant to […]
