Newsletters, G J Barnett & Associates, Baulkham Hills, NSW, Australia

COVID 19 Businesses and Individuals 2021 Support NSW lockdown

Wed, 08 Mar 2023 02:28:02 GMT

Keeping you updated Businesses Employers and Individuals

Wed, 08 Mar 2023 02:26:12 GMT

Keeping you updated

Before we bombard you with all of the available stimulus for employers and businesses, we'd like to let the individual clients know that for those that are able to work from home there will be an extra tax deduction concession of being able to claim a higher hourly rate for home office in your 2020 Tax Return – please refer to further details below. Other individual and household assistance, that includes social security and early release of superannuation can be found here .

Business Based Clients

We are sending you this broad summary of the Government's key aspects of assistance to help with the economic fallout that will, and is already beginning to occur.

Boosting Cash Flow for Employers!

[from $20,000 up to $100,000]

[payback not required]

[not to be confused with JobKeeper]

The PAYG Withholding [W2 label] on the March 2020 BAS - through to the June 2020 BAS - will not be necessary for you to pay. It needs to be lodged, but not paid - leaving you with the cashflow to help fund your business. Post 1st July 2020, this is then equally matched in equal credits again - from the June BAS - through to the September 2020 BAS - depending on whether you're monthly or quarterly.

The Government will credit your ATO integrated client account directly.

You do not need to apply for this! It will just be credited automatically.

Please click here for further information.

JobKeeper Payments

[More Detail Released]

[Enrolments from 20th April 2020]

[non payroll Directors, Partners and Beneficiaries included - yet limited - see detail on links]

We have provided some links below to websites that are being regularly updated by the Government and the ATO, as they grapple with the introduction of JobKeeper, and the mechanics of how it is to be handled over the coming period.

https://www.ato.gov.au/General/JobKeeper-Payment/Employers/

https://www.ato.gov.au/general/jobkeeper-payment/employers/enrol-and-apply-for-the-jobkeeper-payment/

https://coronavirus.fairwork.gov.au/coronavirus-and-australian-workplace-laws/flexibility-in-workplace-laws-during-coronavirus/jobkeeper-changes-to-the-fair-work-act

https://treasury.gov.au/coronavirus/jobkeeper

There are clearly many questions being asked around the employer side of things with respect to managing the cash outflow and administering the processing of payroll – and the delayed receipt of the subsidy, not expected until early May 2020.

ATO concession for the first two JobKeeper fortnights - there are concessions being made available in April - the ATO expects these are to be caught up and paid before the end of April. [see Question 3 on page 8 of the PDF we link to below from one of our associations].

For those of you who process your own payroll, if eligible, we ask that you follow the ATO's step by step process - particularly once the 20th April update occurs. You may wish to start the process beforehand to establish your access to the ATO's Business Portal and myGovID authentication - as we anticipate their systems will be inundated shortly.

https://www.mygovid.gov.au/

https://info.authorisationmanager.gov.au/

We ask that if you have questions, please first browse the content found on the links supplied, as this is also our source of detail on these areas. The content found on these links is being updated regularly, sometimes hourly, so we suggest you re-visit for updates.

We do however also have available our associations JobKeeper summary with more practical tips, questions and answers, that you could read through for those of you who may not find the answers to your questions on the other links supplied above.

For those clients that we process payroll for - we will be in contact with you separately.

Preparation of March 2020 BAS

[Being prepared with lodgement delay]

For those clients that we prepare these for, please know that we are drafting these as rapidly as we possibly can, however, we are not sending them through for approval or lodgement as yet.

We are going to lodge these on their due date and no earlier - as our information from the ATO is that they do not wish these to be lodged, until they have their own system enabled to process the credit, and that this may not be available until 28 ^th April, 2020.

Short Term Interest Only Business Loans

[Of up to $250K]

Our finance broker has been kind enough to outline their experiences, and we ask if you wish to seek this pathway to fund your business through this difficult period, you can refer to the pdf here .

NSW Payroll Tax

[25% Discount]

Employers that have NSW Payroll Tax obligations, are able to not pay for the months of March, April or May 2020, and will be given an annual tax liability discount of 25% when they lodge their annual reconciliation, due 28 ^th July 2020. For further information please click here.

NSW Government Grants

If eligible, from 17 ^th April,2020, you can apply for the small business COVID-19 support grant. For further information, criteria and to apply online, please click here.

Individuals

[Working from home tax deduction]

From 1 ^st March 2020 until 30 ^th June 2020, individuals who are working from home , are able to on their 2020 Tax Return , claim under one of the following methods-

Shortcut method:

Claim a higher rate of 80 cents for each work hour you work from home

Fixed rate method:

Claim the standard 52 cents per work hour for running costs
The work-related portion of your actual costs including phone and internet expenses, computer consumables, stationery
The work-related portion of the decline in value of computer, laptop or similar device

Actual cost method:

Claim the actual work-related portion of all your running expenses, calculated on a reasonable basis

Please click here for further information.

ATO Payments Due

[Business or Personal]

If there are any ATO obligations that require payment, the ATO is allowing almost in every case, an interest free deferral until September 2020 if you can advise that COVID-19 has had an adverse effect to your circumstances.

You can contact the ATO directly on their contact number, which would have been disclosed on your Notice of Assessment or Activity Statement. If you wish, or do not have any luck contacting them directly, you may contact our office to assist you.

Kind regards,

www.gjbarnett.com.au

Disclaimer: All information provided in this newsletter is of a general nature only and is not personal financial or investment advice. Also, changes in legislation may occur frequently. We recommend that our formal advice be obtained before acting on the basis of this information.

Further details on JobKeeper Payment

Wed, 08 Mar 2023 02:16:42 GMT

Further details released on JobKeeper Payment

Wed, 08 Mar 2023 02:15:24 GMT

JobKeeper Payment

There has been further details released on an updated Fact Sheet on the JobKeeper Payment .

We apologise to those of you who receive this note – that this payment may not apply to.

This method of delivery however is the quickest way we can provide an important update to those clients of ours that this may be relevant to. Feel free to pass this note onto anyone who you believe may benefit.

Updated [and highlighted] fact sheet can be found here.

Key points are:

Sole traders are included
Turnover [sales/income] needs to be compared to the month or three months [ depending on the natural BAS reporting period of your business ]
If you were not in business a year ago, the business may still be eligible - the ATO has discretion to consider
If the business income falls less than 30%, the business may still be eligible – tolerance provisions will exist
If the comparative business income in the prior year was not representative of the usual income , the ATO has discretion to consider
Number of eligible individuals to be reported per month
Payments made monthly in arrears
First payment in May 2020

We ask that you please read [ and re-read ] the attachment before making enquiries, as the attached is the latest information/detail we have available to us at this point.

Kind regards,

Federal Government JobKeeper Payment

Wed, 08 Mar 2023 02:10:15 GMT

URGENT Flexible Working Options due to COVID 19

Wed, 08 Mar 2023 02:07:27 GMT

POSSIBLE ACTION REQUIRED ASSISTANCE FOR YOUR BUSINESS TO COPE WITH THE CORONAVIRUS EFFECTS BUSINESS CLIENTS

Wed, 08 Mar 2023 02:00:07 GMT

Possible Action Required: Assistance for your Business to cope with the CoronaVirus effects (Business Clients)

Here is a 2-minute email with some insights to help you during this difficult time with the Coronavirus (or COVID-19) affecting all of us.

As a business owner, you need to face the possibility of team members being absent from your workplace, product supply issues and demand for your services and products reducing over the short term.

There are 3 urgent things you need to be aware of:

Government Stimulus Package – Our Tax Planning meeting with you this year will be VITAL!
Business Continuity Planning – ACCESS TO BUSINESS CONTINUITY PLAN HERE
Get your Will and EPOA updated / set up NOW

1. GOVERNMENT STIMULUS PACKAGE – OUR TAX PLANNING WITH YOU THIS YEAR WILL BE VITAL!

The Australian Government has just released a $17.6 billion economic stimulus package. The package has been marketed as a measure to protect the economy by maintaining confidence, supporting investment and keeping people in their jobs.

The key tax and stimulus measures include:

Business Investment

From Thursday 12 March 2020 , the instant asset write-off threshold has been increased from $30,000 to $150,000 until 30 June 2020 .

Cashflow Assistance

Tax-free payments of up to $25,000 for eligible small and medium businesses based on their PAYG withholding obligations. This is not a cash payment, but it is a credit equal to 50% of the PAYG amounts withheld from salary and wages paid to employees.

Businesses that lodge activity statements on a quarterly basis will be eligible to receive the credit for the quarters ending March 2020 and June 2020. Business that lodge on a monthly basis will be eligible for the credit for the March 2020, April 2020, May 2020 and June 2020 lodgements.

If a business pays salary and wages to employees but is not required to withhold any tax, then a minimum payment of $2,000 will still be made. The minimum $2,000 payment will be applied to the first activity statement lodgement.

Wage subsidies to support the retention of apprentices and trainees – Employers with less than 20 full-time employees may be entitled to apply for Government funded wage subsidies amounting to 50% of an apprentice's or trainee's wage for up to nine months from 1 January 2020 to 30 September 2020. The maximum subsidy for each apprentice/trainee is $21,000.

Individual Assistance

Tax-free payments of $750 to social security, veteran and other income support recipients and eligible concession card holders. It is estimated that around half of those who will benefit will be pensioners. These payments will commence to be automatically made from 31 March 2020.

2. BUSINESS CONTINUITY PLANNING

As a business owner, now is the time to plan for employees being away from your workplace, shortages of supply, reduction in sales, and the possibility of your workplace being closed for a short period of time if everyone is being forced to self-quarantine.

Over the next few weeks, we suggest you consider and/or call us to discuss the following:

Employees working from home [if at all possible], and workplace obligation
How to pay your bills in the short term if your sales start to dry up
How to communicate in a reassuring way with your clients and customers
How to keep things moving with your business

We're not suggesting in any way that we have all the answers, but it is important for us to work with you and help you and plan for what will happen in the weeks and months ahead.

Contact us TODAY to book in a 30 minute phone call or Zoom online meeting so we can discuss your business situation and make plans to assist you.

3. GET YOUR WILL AND EPOA UPDATED / SET UP NOW

If you have to self-quarantine or are admitted to hospital, if you don't have an EPOA then no-one else can make important business or financial decisions on your behalf.

As a business owner, it is 100% essential that you have an up to date EPOA and Will, and that your family know where these are stored. Please email us if you need a referral to one of our legal contacts.

NEXT STEPS

These are times when we need to stay calm and rely on reliable news sources and information from State and Australian Government websites. What you see on social media may be panicky and unreliable information!

Our team are here to help you. Please reply to this email or phone us on 02 9686 3130 if you need any assistance!

Kind regards,

IMPORTANT AN UPDATE ON G J BARNETT ASSOCIATES RESPONSE TO COVID 19 ALL CLIENTS

Wed, 08 Mar 2023 01:51:03 GMT

The Federal Budget 2013 14

Wed, 08 Mar 2023 01:45:55 GMT

The budget delivered by Federal Treasurer Wayne Swan could be reasonably described as anti-climactic in many respects. It comes as no surprise therefore that the budget was devoid of any attempt to genuinely work towards true reform of the overall tax system (rather than periodic band-aid measures) to adequately face the challenges of the 21st century.

Many key announcements were made pre-budget and confirmed by the government in the budget papers, including:

wide-ranging changes to the superannuation system such as the 15% tax on certain earnings in the pension phase, the increase in the concessional contribution cap to $35,000 for older Australians and the changes to the excess contribution tax regime;
the deferral of tax cuts due for the 2015-16 year which were to be funded out of carbon tax receipts;
the abandonment of proposed increases in Family Tax Benefit - Part A payments; and
an increase in the Medicare levy of 0.5% to contribute to the cost of the proposed National Disability Insurance scheme (NDIS).

Announcements which were unexpected and which will have a significant impact on middle-Australia were:

The removal of the baby-bonus, to be replaced by a significantly reduced payment which will only be available to taxpayers who qualify for Family Tax Benefit - Part A; and
The phase out of the net medical expense offset (which will in fact be immediate for some taxpayers).

An announcement of interest from the Assistant Treasurer was titled "ATO taskforce to target trust misuse." It is to be hoped that the activity undertaken by the taskforce is targeted at what would be considered by a reasonable person as "misuse" (which should not be tolerated) and not merely the use of trusts as part of ordinary family or commercial dealings.

Given that a federal election is imminent it is hardly surprising that the most obvious pain arising from the budget is likely to be felt by the corporate sector, in particular multi-nationals. The government has announced a focus on:

Anti-profit shifting measures, in particular the operation of the thin capitalisation rules;
Restructuring arrangements which have a profit manipulation intent; and
Reducing the tax concessions available for depreciating assets used in exploration activities.

The government has presumably concluded that not a lot of voters will be conscious of, or understand, measures of this type!

The expected major "social reform" initiatives, the NDIS and the Gonski education measures, were announced but the funding in the long term appears brittle and the extent of implementation and funding will no doubt be influenced by the accuracy of cost estimates and projected government revenues.

Whilst some Australians will be impacted by budget measures in the short term, for the majority it is likely to be a case of roll on to the federal election!

View the key measures announced in the federal budget here.

GJB Mid Month Wrap June 2013

Wed, 08 Mar 2023 01:38:30 GMT

June 2013 Mid-Month Wrap

Whilst we make every effort to bring you timely and relevant news each month, in reality stuff happens all the time.

One of the best ways is to Like or Follow GJB on any one of our social media sites. That way, if the ATO makes an announcement or news comes to hand we can very quickly bring you up to date with a post synopsis and link to the source.

A full list or GJB's social media pages is at the right of this page - please click any or all to become more informed. We look forward to having you join us.

Very soon we'll be inviting you to visit and use GJB's redesigned website where you'll be able download, check or engage with us in a number of ways:

Work in your preferred accounting package using BankLink, Xero or MYOB
Complete a personal or financial health check using TRUST™
Purchase insurance cover in case of an audit or review with audit insurance, or
Subscribe to or tell your friends about our free monthly newsletter to keep you up to date

We have much to update and add, however it is a work in progress and we'd appreciate your comments and suggestions once the redesign is launched and live.

Other News

Please be advised that GJB's office will close Monday 1 July for our Planning Day where we get to work on, not in, our business

Should you require more information regarding any topic touched upon, please contact our office for advice on 02 9686 3130.

Kind regards,

www.gjbarnett.com.au

Disclaimer: All information provided in this newsletter is of a general nature only and is not personal financial or investment advice. Also, changes in legislation may occur frequently. We recommend that our formal advice be obtained before acting on the basis of this information.

GJB s website refresh goes way beyond rebranding

Wed, 08 Mar 2023 01:15:55 GMT

Happy End of Financial Year! GJB's new website is nearly live

We've done a shed-load of work and are nearly ready to push the GO button on GJB's new website! Plus there's a competition on offer so read on to find out how to enter.

I'd love you to favourite our new website when it goes live on 1 July as your portal for accounting, tax and super information and news. Of special note will be our new GJB Tools page where you can download, check or engage with us in a number of ways:

Work in your preferred accounting package using BankLink, Xero or MYOB
Complete a personal or financial health check using TRUST™
Purchase some insurance cover in case of an audit or review with audit insurance, or
Subscribe to or tell your friends about our free monthly newsletter to keep you up to date

Plus much more, including ample opportunity to get socially involved with GJB, so we'd be grateful if you'd Like or Follow us and tell your friends and colleagues about us too (or just click on any of the social media icons in this email)!

Of course, we'd be delighted if you'd share www.gjbarnett.com.au on your own website or blog from next week. We'd be equally delighted to return the favour, or even contribute any of our own articles which may be of interest to your readers.

Competition - your chance to get in early!

To celebrate the relaunch of our website on 1 July, we're giving away a pair of State of Origin 3 tickets - you can enter our special draw now when you Like or Follow GJB .
If you already Like GJB , then you'll go into the draw if you share any of our social media pages on your own social media profile with the post, "Like GJB like I do to get switched onto proactive accounting!"

The winner will be announced at 9PM on 3 July 2013 so make sure you enter.

Contact Me

Most of all I'd love to hear your feedback once the new site goes live. Feel free to email me personally , comment on one of our social media pages, or phone me on 02 9686 3130.

I hope you love the new site as much as we do and look forward to hearing from you!

Kind regards,

Glenn Barnett

www.gjbarnett.com.au

Tax email scams rise in lead to 31 Oct deadline

Wed, 08 Mar 2023 01:01:36 GMT

Tax email scams rise in lead to 31 Oct deadline!

With less than a month remaining for those who prepare their own tax returns to lodge, the Tax Office warns individuals to protect their personal and financial details following a sharp spike in tax-related email scams.

From June last year to the same period this year, phishing scams have quadrupled from 3,586 to 15,441.

The ATO will never send taxpayers an email asking them to confirm, update or disclose confidential information including your name, date of birth, home address, passwords or credit card details.

Tax Commissioner Chris Jordan said scammers are becoming more sophisticated in the way they trick individuals into handing over their personal details.

"We advise people to be vigilant of emails that mimic the ATO's online publications. Think very carefully before clicking on links and attachments in emails or on social networking sites," Jordan said.

The Tax Office had the following tips for individuals on how to protect themselves and their identity:

protect all personal details, including tax file number. Only certain people and organisations can request for your tax file number. Do not provide your tax file number online unless you are certain about the authenticity of the person requesting it
report emails purporting to be from the Tax Office by forwarding the email to ReportEmailFraud@ato.gov.au
contact the Tax Office immediately if you think you may have been the victim of a scam, or that your identity has been stolen, by phoning 1800 060 062 from Monto Fri 8.00am and 6.00pm (AEDT).

Always be vigilant

If you are unsure of the validity of any email, GJB recommends that you delete it immediately, do not click on links nor open attachments and, if you must follow up, phone the sender if known to you or contact GJB for further advice . As recently as this week, GJB received false email communications in respect of processing tax returns.

31 October tax lodgement deadline

The Tax Office reminded individuals who prepare their own tax return that they only have until 31 October to meet their lodgement deadline. There are a few changes this tax time that individuals have to be aware of – for the first time, they need to provide a bank account for electronic payment of refunds.

Still lagging or even procrastinating getting your tax done by 31 October? There is a light at the end of the tunnel. If the month-end deadline is looking tight, you still have time to become a client of GJB and get an extension. For more information on completing tax returns with GJB's help, click here .

Kind regards,

www.gjbarnett.com.au

New SuperStream deadlines for SMSF trustees and employers

Wed, 08 Mar 2023 00:56:40 GMT

SuperStream 2014

The new SuperStream standard requires super funds and employers to use new data and e-commerce standards for all superannuation transactions, and are designed to address inefficiencies in back office processing by encouraging the use of technology.

There has been widespread use of cheque payments and paper-based forms resulting in poor quality data, processing delays and duplicated or lost member accounts.

SuperStream is mandatory for all employers making super contributions and is being imposed in two stages.

Superannuation funds, including SMSFs, must be ready to receive contributions and data in the new electronic standard from 1 July. If GJB processes your SMSF, we have matters in hand.

Large and medium sized employers are the first that must comply with the new system while small businesses have a further 12 months to comply.

From 1 July 2014:
• Employers with 20 or more employees will start using SuperStream to send contribution data and payments electronically.
• All super funds (including SMSFs) must receive any employer contributions sent to their fund in accordance with SuperStream.
• An employer with 20 or more employees will only be able to use cheques if the employer is a related party. Otherwise the new data and payment standard applies and the payment must be sent electronically.

From 1 July 2015:
• Employers with 19 or fewer employees will also be required to send contributions data and payment electronically.
• However, some may volunteer to implement SuperStream sooner.
• Small employers will only be able to use cheques if the employer is a related party. Otherwise the new data and payment standard applies and the payment must be sent electronically.

SMSF trustees who have already exercised choice with their employer (with 20+ employees) and are receiving contributions will need to check when your employer will start implementing SuperStream and update e-commerce details as you'll need to provide certain information by 31 May 2014 to successfully transfer data, namely:

• Your Self Managed Super Fund (SMSF) name
• Your SMSF ABN
• For GJB SMSF clients, the BGL Electronic Service Address (ESA) is AUSPOSTSMSF *
• Your SMSF BSB and Account Number

* The ESA for delivering super contribution data may differ, depending on the gateway with which your super fund is partnered, so be certain about your ESA before submitting the information to your employer. In this case, Australia Post will provide GJB SMSF clients with a SuperStream gateway for data delivery and payment services. Annual service charges may apply to establish and maintain an ESA – we will advise you in due course.

Contributions made to an SMSF from a related party employer are exempt from SuperStream. Typically this will cover the situation where the business is run by one or two members and the business contributes to their SMSFs. In this case the payment and data standards are not compulsory and can be used if preferred.

GJB has been in contact with various accounting software providers to get further advice about how to make super contributions for SuperStream but, at the time of writing, are yet to get any clear direction as to how individual accounting software packages (manual and cloud based systems) e.g. MYOB, QuickBooks, Xero will process super contributions.

In the meantime, the Small Business Superannuation Clearing House is a free online superannuation payments service that helps small businesses with 19 or fewer employees meet their superannuation guarantee obligations.

SMSFs and employers need to ensure they get ready for SuperStream. Fortunately there are a number of services and solutions and, while the new standard applies from 1 July 2014, there should be no need to panic. However you may wish to seek timely advice to determine what changes are needed and which supplier is best suited to your circumstances.

GJB is focusing on supporting SMSFs and employers during the introduction of SuperStream so call us on 02 9686 3130 to get organised.

Kind regards,

Special SMSF Pre 30 June 2014 Newsletter

Wed, 08 Mar 2023 00:40:33 GMT

Special SMSF Pre-30 June 2014 Newsletter

1. It's all about timing! First thing to note is that 30 June 2014 falls on a Monday so be very careful about doing anything for your fund after 28 June as funds transferred from Friday 28th risk not reaching the destination account before the deadline. Remember it is when the funds are received by the superannuation fund that counts.

2. Review Your Concessional Contributions – $25K under 59 and $35K otherwise (work test applies for 65+) Maximise contributions up to concessional contribution cap but do not exceed your Concession Limit. The sting has been taken out of Excess contributions tax but you don't need additional paperwork to sort out the problem. So check employer contributions on normal pay and bonuses, salary sacrifice and premiums for insurance in super as they may all be included in the limit.

3. Off Market Share Transfers (selling shares from your own name to your fund) The proposed ban on Off-Market transfer of shares into a SMSF never got through. If you want to move any shareholdings into super you should still act early. Please contact GJB for the forms if you need them.

4. Pension Payments If you are in pension phase, ensure the minimum percentage has been withdrawn. For transition to retirement pensions, ensure you have not taken more than 10% of your opening account balance this financial year. If you don't take the minimum pension from your super fund, then you risk your pension fund being stripped of the tax benefits of being a pension fund.

5. Spouse Contribution You can make a contribution for a low-earning spouse and receive a special tax rebate for doing so. If your spouse earns less than $13,800, then the higher earning spouse can make a contribution of up to $3,000 to the lower earning spouse's super account and generate a rebate of up to $540. To get the full $540 rebate, the receiving spouse must earn less than $10,800 and the contribution must be at least $3,000. It reduces from there until an income of $13,800 is reached, above which no rebate is payable. Check the ATO guidance here .

6. $500 Government Co-Contribution The government giveaway is not what it used to be, but it's still worth taking if suits your situation. If you earn less than $33,516 and make a non-concessional contribution, the government will meet your contribution at 50 cents in the dollar up to $1,000. That is, if you put in $750 the government will offer a bonus of $375. The contribution starts to run out above $33,516. For every dollar over that, the potential benefit drops by 3.33 cents up to the maximum of $48,516. You also have to meet work tests. If you are 65 or over, you must have worked 40 hours in a 30-day period. And everyone must meet the work test of earning 10% of their income from either employment or self-employment. You must also be under 71 at the end of the financial year in which the contribution is made.

There are many SMSF initiatives that will have relevance to a wide variety of our clients, depending on your circumstances. As always, please feel free to talk with us for further details and information on 02 9686 3130

Kind regards,