IN THE LAST WEEK, THE ATO HAVE SENT AN EMAIL TO A NUMBER OF TAXPAYERS SUGGESTING THEY ARE CLAIMING TOO MUCH. IF YOU RECEIVED THIS EMAIL THERE IS NOTHING TO DO IMMEDIATELY. THE EMAIL IS QUITE INTIMIDATING.
IT IS A TACTICAL CHANGE FROM THE ATO IN THAT THEY WILL HOLD UP PERSONAL RETURNS AND REQUEST PROOF OF CLAIMS WITHIN 28 DAYS. MAKING SURE YOU HAVE RECEIPTS AND LOG BOOKS FOR WORK RELATED CLAIMS IS ALWAYS IMPORTANT AND CONTINUES TO BE IMPORTANT. IF YOU DID RECEIVE EMAIL PLEASE LET THE TEAM KNOW SO WE CAN DISCUSS AND PLAN.
IF YOU HAVE ALREADY READ EMAIL….THE BALANCE IS THE SAME….
HAPPY 30 JUNE!!!!
Its an Olympic Year, good luck to all our Athletes in Paris.
The team at Winter & Co in Olympic spirit are fully focussed on improving refunds and or reducing amounts to pay to allowable levels.
To create excitement from 1st July 2024 we will pay less Tax, see later for details
Where Did the Year Go!?
As June 30 rapidly approaches, we’ve crafted our annual taxation newsletter to ensure you’re fully prepared for the end of financial year. Keep in mind that not all information will be relevant to every client, as this newsletter caters to both individuals and businesses.
Appointments
Please be aware that under ATO guidelines, we cannot prepare any returns for the current tax year until July 14th, as payment summary information may not be available until then. However, if you need to file returns for previous tax years, we can book those appointments prior to July 14th.
Shane will be taking appointments from July 15th, and Nicole will be taking returns from July 22nd. This may affect appointment availability, so please plan accordingly.
Shane’s diary is looking full until mid-September but will have some openings. For those seeking earlier appointments, Jonah and Anthony are available.
Please call Keelia at Reception on 8295 1055 regarding bookings and availability. Also, look out for SMS reminders for your appointments and reply “Y” to confirm, you will receive this 24 hours prior to your appointment.
Face to Face, Zoom, Teams or Phone
Winter and Co offer multiple options to handle all your taxation needs. When booking your appointment, you can select the format that works best for you.
Late changes
If you find yourself stuck at work, dealing with unwell kids, feeling under the weather, or simply facing the inconvenience of cold weather, we can adapt your meeting format. If you’re unwell, we can switch to a phone or Zoom appointment. If you prefer to come in, we can reschedule to a more convenient time.
To book your appointment, please call Reception at (08) 8295 1055.
Scam Warnings
Exercise caution regarding emails, phone calls, and text messages claiming to be from the ATO.
If you suspect that a phone call, SMS, voicemail, email, or interaction on social media claiming to be from the ATO is not legitimate, refrain from engaging with it. You should either:
· Phone the ATO on 1800 008 540
· Contact us at Winter & Co and we will assist as we can
· Please click on the below to see how to spot and report a scam
Another issue is the “hacking” of MyGov. It is recommended to update and change passwords within your account.
ATO Key Focus Areas
As we gear up for the approaching ‘tax time’, it’s important to note that the ATO is focusing on three prevalent errors made by taxpayers:
1. Incorrectly claiming work-related expenses
2. Inflating claims for rental properties
3. Failing to include all income when lodging
For more info, please go to
https://www.ato.gov.au/media-centre/ato-flags-3-key-focus-areas-for-this-tax-time
Superannuation
Super Guarantee Changes 2024:
Starting July 1, 2024, the Superannuation Guarantee (SG) rate will increase from 11% to 11.5%. This change is part of the government’s effort to boost retirement savings for Australian workers. Employers must update their payroll systems to reflect this new rate.
Key Points:
- Effective Date: July 1, 2024
- New Rate: 11.5%
- Employer Action: Adjust payroll systems and communicate changes to employees
This is for EOFY Payroll Finalisation:
As EOFY approaches, here are crucial dates and resources to streamline your payroll processes:
Key Dates:
- 18 June: Submit and approve Auto Super batches by 2:00pm AEST to ensure contributions reach superannuation accounts by 30 June for tax deductions.
- 14 July: STP finalisation deadline.
Resources:
- Processing EOFY Payroll: Stay updated on changes and steps for a smooth finalisation.
- Payroll Finalisation Checklist: Download a checklist to guide you through year-end payroll tasks.
- Finalise STP Video: Refresh your knowledge on STP finalisation.
Self-Managed Superannuation Funds:
With the end of the Financial Year approaching, please ensure that the Minimum Pension Payment amounts for the 2024 Year have been withdrawn from the Super Fund Bank Accounts before 30 June 2024.
To confirm or if you are unsure on the minimum amount for 2024, please feel free to call or email me at deb@winterco.net.au
Concessional and Non-Concessional Contributions Cap
The concessional contributions cap is the maximum amount of before-tax contributions you can add to your super each year without incurring extra tax.
Effective1 July 2024, the concessional contributions cap will be $30,000.
Between1 July 2021 and 30 June 2024, the cap was $27,500 annually.
From1 July 2017 to 30 June 2021, the annual cap was $25,000.
The cap increases in $2,500 increments, based on the average weekly ordinary time earnings (AWOTE) measure.
If you have unused cap amounts from previous years, you may be able to carry them forward to boost your contribution caps in future years.
The non-concessional contributions cap is the maximum amount of after-tax contributions you can add to your super each year without incurring extra tax.
Starting1 July 2024, the non-concessional contributions cap will be $120,000. This capis now reviewed annually to align with average weekly ordinary time earnings(AWOTE). Contributions exceeding this cap may be subject to additional tax.
Tax
Tax Cuts
The Australian Government has announced adjustments to individual income tax rates and thresholds, effective from 1 July 2024.These modifications will apply to all taxable income earned from that date and will not affect your 2023–24 tax return.
Starting 1 July, the changes will include:
- Reducing the 19% tax rate to 16%
- Reducing the 32.5% tax rate to 30%
- Increasing the 37% tax threshold from $120,000 to $135,000
- Increasing the 45% tax threshold from $180,000 to $190,000
These adjustments will result in a tax cut for every Australian taxpayer.
For more information, please click below
Temporary Increase to Instant Asset Write Off
From 1 July 2023 to 30 June 2024, the instant asset write-off threshold will temporarily increase to $20,000. Small businesses meeting the small business test can immediately deduct the full cost of eligible assets costing less than $20,000 each, provided they are first used or installed ready for use within this period.
Assets valued at $20,000 or more, which do not qualify for the instant write-off, can be added to the ‘small business simplified depreciation pool’ and depreciated at 15% in the first income year and 30% in subsequent years.
Xero Payroll Finalisation Reminder
To help you prepare for EOFY and process your year-end payroll, we’ve compiled a list of key dates and resources to keep in mind.
Key Dates for Your Diary:
- 18 June: Submit and approve Auto Super batches by 2:00pm AEST to ensure contributions reach superannuation accounts by 30 June 2023 for tax deductions this financial year.
- 14 July: STP finalisation date.
Fees
This year’s individual tax return without supplementary information will be $195 inc. GST.
Please note, we no longer have a PO Box and ask all mail to be directed to the office address: 67 Broadway Glenelg South SA 5045
THE FULL TEAM, FEE’S AND CONTACT POINTS
Shane Winter and Nicole Barnett [Directors] will assist as the senior tax specialists and advisors.
Anthony will be available for individual and business returns. He also specialises in XERO and MYOB training and support.
Jonah will be available for individual and business returns. He also specialises in cryptocurrency tax and self-managed superannuation fund administration.
Deb will continue to specialise in SMSF
Hayley will continue to specialise in ASIC, Payroll and ATO Matters
Kayla will provide support between clients and professional staff
Keelia will your friendly first touch point on the phone at front reception and appointments
This year’s individual tax return without supplementary information will be $195 inc. GST.
Kayla : kayla@winterco.net.au
Anthony : anthony@winterco.net.au
Jonah : jonah@winterco.net.au
Deb : deb@winterco.net.au
Hayley : hayley@winterco.net.au
Keelia : reception@winterco.net.au
And for those of you that got to the bottom of the newsletter, thank you for reading and hopefully this makes you smile!
Here We Go Again..
Where does the year go? June 30 fast approaching we have produced our annual taxation newsletter to make sure everyone is well prepared.
Please note not everything will apply to all clients, it is designed for individuals and businesses.
The Tax Team
[In addition to Shane and Nicole]
Well trained and enthusiastic to provide the best outcome for the valued clients at Winter & Co. Feel comfortable to embrace their enthusiasm and knowledge.
Appointments
Please note under ATO guidelines we cannot prepare any returns until the 14th of July because payment summary information cannot be guaranteed to be available. The office will be open as normal during this period. There may be the opportunity for limited appointments in the week of the 10th if urgent and prefill information is available.
Please note, Shane will be away the week of the 14th of August helping his son transition to US College. Nicole will be away the week of the 17th of July for a family wedding interstate. This will limit the number of available appointments in the first few months.
Thankfully as in the past, Shane’s diary is filling fast, and we are currently taking appointments into late August/Early September. Please do not hesitate to book in with Jonah and Anthony if you are wanting an earlier appointment.
Face to Face, Zoom, Teams or Phone
Winter and Co will offer all of the above methods to prepare all your taxation needs. When you decide to make your appointment, you will be offered which format suits you.
Late changes
If you get stuck at work, kids not feeling well, or you’re not feeling well, we will be able to be flexible and change the format of the meeting around.
Appointments are best made via Reception on (08) 8295 1055
Do you need to print off a Group Certificate/Payment Summary or Private Health Insurance Details?
No – we will access any payment summaries or private health insurance from the ATO after the 14th of July. This means you do not need to access MY GOV before your appointment.
Protecting your MyGov ID Login
We are experiencing more examples of identity fraud and MyGov accounts being hacked. Please read the following to assist with your security.
Click Here for protect your MyGov ID
Tax Checklist
INDIVIDUALS AND COUPLES
REFUNDS WILL BE LOWER IN 2023 FOR MOST. PLEASE LOWER EXPECTATIONS.
The Low to middle income rebate has been removed. As such refunds for those eligible for the rebate previously may be up to $1500 lower.
Please remember we don’t make the rules!
HOME OFFICE
Click Here for Working From Home Deduction
There have been changes in this area as people have returned to work, but we know some are still at home. Please make yourself aware of the attached.
MOTOR VEHICLE EXPENSES
Please ensure you have a valid logbook – it must be kept for 12 continuous weeks before the end of the income year.
It will be valid for a five-year period unless circumstances change.
IT IS ALWAYS THE TARGET OF THE ATO
RENTAL PROPERTIES
ATO will reportedly target investment properties this tax season.
Please keep receipts.
Repairs and maintenance above $4000 – be prepared for an audit.
SUPERANNUATION DEDUCTIONS
If you have made a voluntary contribution into Super, please complete the intention to claim form, as attached. You can complete at appointment however, it will delay lodgement of the tax return until confirmation from fund received.
Click Here for Notice of Intent Form
BUSINESS END OF YEAR
Instant asset write-off
The instant asset write off from 1st July 2023 will reduce down to $20,000 per asset. If you purchase an asset greater than $20,000 we will go back to claiming depreciation.
STP Finalisation
All 2023 STP finalisations need to be completed by the 14th of July 2023. For Further Information on how to finalise your Single Touch payroll Please visit:
Click Here for EOFY in Xero Payroll
Super Guarantee
Please note from 1 July 2023 Super will be at 11%
Medicare Levy Threshold
There have been increases in the area of Medicare Levy Thresholds and Private Health Insurance Rebates. See link for table:
Click Here for Income thresholds and rates for the private health insurance rebate
THE FULL TEAM, FEES,CARPARK AND CONTACT POINTS
Shane Winter and Nicole Barnett [Directors] will assist as the senior tax specialists and advisors.
Anthony will be available for individual and business returns. He also specialises in XERO and MYOB training and support.
Jonah will be available for individual and business returns. He also specialises in cryptocurrency tax and self-managed superannuation fund administration.
Deb will continue to specialise in SMSF
Hayley will continue to specialise in ASIC, Payroll and ATO Matters
Kayla will provide support between clients and professional staff
Keelia will your friendly first touch point on the phone at front reception and appointments
This year’s individual tax return without supplementary information will be $190 inc. GST.
Please note, the carpark will be open, and we will be sending through appointment reminder text messages 24 hours prior to your appointment.
Kayla: kayla@winterco.net.au
Anthony: anthony@winterco.net.au
Jonah: jonah@winterco.net.au
Deb: deb@winterco.net.au
Hayley: hayley@winterco.net.au
Keelia: reception@winterco.net.au
Rising Inflation, Rising Interest Rates, Rising cost of living, the Power equal top, the Crows just inside the eight. We just have Ted Lasso for you to close the Newsletter:
Welcome back
With June 30 fast approaching we have produced another newsletter to make sure everyone is well prepared. Please note not everything will apply to all clients. It is designed for individuals and businesses.
Appointments
Please note under ATO guidelines we cannot prepare any returns until the 15th July. But that aside the office is open as usual.
The team has continued to expand – we have Anthony, Jonah, Nicole and Shane to help process your returns this year.
As usual demand is high and appointments are filling fast, so please use all members of the team and get in early with making a time.
If you are feeling unwell or have flu or COVID symptoms? Please do not come in, and we will switch your appointment to a phone, zoom or teams meeting. We will do the same if any of the team are unwell.
Appointments can be made on (08) 82951055 or email reception
Do you need to print off a Group Certificate/Payment Summary or Private Health Insurance Details?
No – we will access any payment summaries or private health insurance from the ATO after the 15th July. This also means you do not need to access MY GOV before your appointment.
Tax Checklist
Please click here to see what you can bring with you to your tax appointment.
Tax Refunds
Although Albo is now in Power we still have Sco Mo’s Bonus and this has been increased in 2022, however it is income tested – eligibility is determined based on your Taxable Income. It is to be removed in 2023 tax year. So enjoy this Tax Return!
Please remember to bring your bank account details, including BSB and account number with you to your appointment.
REMINDER – WE NO LONGER OFFER FEES TO BE DEDUCTED FROM THE REFUND. THIS STOPPED WITH THE MYGOV ONSET.
FEES CAN BE INVOICED OR PAID AT APPOINTMENT.
TAX TIPS
INDIVIDUALS AND BUSINESS
Home Office Claims
For those who have had to work from home and are wondering what can be claimed please see link below
Employees Working From Home
COVID-19 Test Expenses
From 1 July 2021 if you’re an employee, sole-trader or contractor and you pay for a COVID-19 test for a work-related purpose, you can claim a deduction.
COVID 19 Test Expenses
Disaster Payments
Taxable or Not Taxable Income?
COVID-19 Disaster Payment – non-taxable
Pandemic Leave Disaster Payment – taxable
Cost of Living Payment – non-taxable
Natural Disaster Assistance Payment – non-taxable
Australian Government Disaster Recovery Payment – non-taxable
Disaster Recovery Allowance – taxable
Disaster Payments
Cryptocurrency
Please be aware that cryptocurrency is under the microscope with the ATO. You may need to consider tax treatment on Disposals.
Cryptocurrency with ATO
ATO Warnings
Each Year the ATO raises areas of review, please see the following for comments from the ATO.
ATO Claim Warnings
BUSINESS END OF YEAR
Superannuation
From 1st July, 2022, the super guarantee rate will increase to 10.5%.
Earnings Threshold $450 removed
Super Guarantee Changes
These changes may automatically take place through your cloud based software however it is important to review the setup, so any queries please contact Anthony at :
anthony@winterco.net.au
Contribution Caps
Concessional Contribution Cap – $27,500.
Non Concessional Cap – $110,000.
Unused Concessional Cap Carry Forward :
Members can make carry-forward concessional super contributions from previous years if they have a total superannuation balance of less than $500,000.
Personal Super Contributions: Notice of Intent Form
Notice of Intent Form Super Contributions
Single Touch Payroll
Phase 2
Your software provider should be all over the changes, however any queries please contact Anthony at
anthony@winterco.net.au
XERO Payroll End of Year Checklist
MYOB Payroll End of Year Checklist
Temporary Full Expensing
Eligible business can claim immediate deductions for business portion of an asset in the year it is first used or installed ready for use.
Temporary Full Expensing
STRANGER THINGS HAVE HAPPENED…
We see the year ahead as one to get back to normality, we’ve seen and survived through much stranger things…
Shane and Nicole will assist as the senior tax specialists and advisors.
Anthony will be available for individual returns, anything XERO and MYOB and provide support as required to all clients.
Jonah will be available for individual returns and continue to support the SMSF team.
Deb will continue to lead the SMSF
Hayley is our key ATO and ASIC liaison.
Kayla who is our front person. She will be provide more support to all but is the go-to for contact with Shane and Nicole, particularly when things get strange…
HAPPY TAX SEASON, STAY SAFE IN THE UPSIDE DOWN…