Jobkeeper 2.0 – new eligibility and new rates

On 15 September 2020, the Treasury has released the Amendment Rules in relation to the Jobkeeper extension (Jobkeeper 2.0) that was legislated on 16 September 2020. The new extension rules will apply from 28 September 2020 onwards to 28 March 2021 and it will affect all Jobkeeper participants, including employees and business participants. 

In short: 

  • Businesses need to reassess their eligibility criteria from 28 September 2020 onwards in order to continue to qualify for Jobkeeper, and again on 4 January 2021. 
  • Payment rate will be reduced for both employees and business participants, and be split into tiers, depending on the number of hours worked 
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in Articles / Knowledge Base / News / Tax Advice and Planning  by Emily Yip

Are you spending too much time on admin work in your business?

As a small business owner we wear a lot of hats:

  • generating income to the business (aka the bread winner)
  • issuing invoices and following up on overdue invoices from non-paying customers
  • managing bills and payment of such
  • recording transactions and preparing BAS
  • responding to requests from clients/leads
  • checking the mail/emails
  • keeping up with your industry’s regulations
  • Tidying up the office
  • … the list goes on.

Question to you: on average how many hours of admin work do you do every week?

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in Articles / Bookkeeping and Payroll / Knowledge Base / News / Running A Business / Starting a New Business / Tax Advice and Planning / Xero Cloud Accounting / Xero Training  by Emily Yip

What to do when you have ATO tax debt

Have you found yourself in the following situation?

You have sold your investment property, or shares at a profit, and have spent the cash. You prepared your tax return and found out you have to pay capital gains tax.

You have started your own business in the last 12 months, cash flow is tight with slow paying clients. You have outstanding business activity statement debt.

You have lodged your tax return that resulted in an income tax debt.

Whatever your reason might be, you have ATO tax debt. The amount is falling due, or is overdue.

But you cannot come up with the funds to repay the debt in full.

What should you do?

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in News / Personal Tax Returns / Running A Business  by Emily Yip

Shared economy – things you need to know

If you have a spare room, or some spare time, your friends may have suggested you to grab some cash by hosting your room on Airbnb or becoming an Uber driver.

You thought the idea of being able to generate extra cash without being tied up in an office 9-5, or having some flexibility on deciding when to work sounds cool, and (after a few drinks) your friends suggested that you do not need to report that as income, for whatever reasons.

Sounds too good to be true? Well, it sure is.

The ATO are focusing their attention on the “sharing economy” – the popular ones are Airbnb, Stayz, Uber and Taxify. Below are a few things to consider before starting your shared economy business.

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in Capital Gains Tax / News / Personal Tax Returns / Running A Business  by Emily Yip