Have we done your tax work?

Who can believe that it is February already? The business calendar of an accounting practice can’t help but be geared around ATO deadlines, and the realisation that it is mid-February brings with it the realisation that there are just 3 months until the final income tax return deadline for the year.

If we have not received your 2014 tax records yet and you have not been contacted about these already, we will be in touch with you soon. To ensure we meet all our clients’ compliance needs on time, we need to receive your 2014 tax records by 27 February. If we receive 90% of outstanding records by this date, we will donate $1,000 to Bear Cottage…and we’d really like to write this cheque, so please take the time to pull your records together and send to us. Getting your records to us by 27 February ensures you are not at risk of incurring a late lodgement penalty, which is now $850…and that’s a cheque none of us want to see you write out.

Onto other tax topics, it has been a confusing 12 months for keeping on top of policies introduced to and accepted or rejected by parliament, so here is a quick summary:

  • The carbon tax has been abolished
  • The mining tax has been abolished, along with associated business initiatives such as the loss carry back rules, accelerated depreciation for motor vehicles and the instant asset write off
  • The superannuation guarantee rate will remain at 9.5% until 1 July 2021
  • A 2% debt tax, operating in a manner similar to the Medicare Levy, will apply between 1 July 2014 and 30 June 2017 to those with annual taxable incomes over $180,000.  FBT rates will also increase from 47% to 49% from 1 April 2015 until 31 March 2017
  • The schoolkids bonus will be abolished as of 31 December 2016, and until then it will be means-tested

As we roll on to 30 June, we look forward to wrapping up your FY2014 compliance obligations and working with you on your tax planning for FY2015. We will be in touch with you in March to discuss your needs in this area of planning.