Newsletter – May 2011
This month in Morris Accounting news…
- May happenings
- Upcoming events
- The 2011 Federal budget – an overview
- Introducing Clayton McCaffrey
- From the Tax Office – claiming deductions for overseas travel
May happenings
The end of the current financial year is FAST approaching! If you haven’t yet looked at yourtax plan, talk to us and we can help you. We are also now looking at 2012 salary packaging opportunities for employees. If this is you, please give us a call to discuss. We have helped a lot of our clients save a lot of tax $ through salary packaging.
It’s also time for businesses to be planning their business for the 2012 financial year with, strategic planning, business planning, and budgeting. We love helping clients in all three areas!
In other news, those of you who have been on our website (www.morrisaccounting.com.au) lately will have noticed a few changes. We have completely revamped the site’s look and feel, and over coming weeks and months will be adding new features. We would love your feedback!
‘Til next time
Nathan Morris, Director
Upcoming events
Throughout the year Morris Accounting will be running a series of events for our business and personal clients. Unless otherwise indicated, email info@morrisaccounting.com.au to register or for information. The venue for all events is the Lord Stanley Hotel, 1000 Stanley Street East, East Brisbane.
- 24 May 2011 – Property investing seminar with Spranklin McCartney Lawyers, Property for Wealth and Morris Accounting
- 7 June 2011 – Business protection seminar with Spranklin McCartney Lawyers, AMP Financial Aspirations and Morris Accounting
- 8 June 2011 – Tradies evening, if you are a tradie, come along to find out how to increase your income!
- 15 June 2011 – Business preparation seminar – get prepared for the new financial year
What people are saying about our events:
“The superannuation seminar Nathan gave was great. The right amount of info and detail that I learnt makes me feel like I need to know even more.” Jo
“Nathan gave a great presentation on superannuation, I’ll be going to the next presentation he runs whatever the topic, and encourage others to go and learn more too!”Jamie
The 2011 Federal budget – an overview
The 2011 Federal Budget was handed down on Tuesday 10 May. The key features that will affect many Morris Accounting clients are:
- unlike previous years, there have been no changes made to personal tax thresholds or rates
- the Entrepreneurs’ Tax Offset has been scrapped, but there will be a $5,000 tax deduction for new car purchases by small businesses. This will take effect for motor vehicles purchased from 1 July 2012
- cuts in the company tax rate to 29% will now be effective as of 2012-13 (brought forward by 1 year)
- fringe benefits tax on salary packaged cars will be simplified to a single rate of 20%
- individuals earning over $80,000 and families over $160,000 will pay a higher Medicare levy
- those earning above $100,000 will pay a 1% flood levy. At lower income levels it is either 0.5% or nil
- annual superannuation contributions for those aged over 50 with more than $500,000 in superannuation funds will be capped at $25,000 in 2012-13.
- small businesses will be given assistance through a change in PAYG payment. The Government will reduce the size of payments for those using the GDP adjustment method, which should assist with cash flow.
- the dependent spouse tax offset for persons under 40 years of age has been removed.
Source: www.budget.gov.au
Introducing Clayton McCaffrey
The newest member of the Morris Accounting team is Clayton McCaffrey. Originally from Townsville, Clayton moved to Brisbane in mid-2009. His role at Morris Accounting includes looking after individual and business tax returns and financial accounts, business activity statements and tax planning.
Clayton is also completing his Bachelor of Commerce degree. He doesn’t consider himself a typical accountant, as when he is not working – or studying – he loves to get out in the bush, or spend time outdoors at the beach, fishing, camping, quad bike riding, jet skiing, going to gym, keeping fit, at the movies or playing touch footy.
Clayton is planning his next holiday to Bali, so if you have any Bali travel tips, send them through to him at clayton@morrisaccounting.com!
Claiming deductions for overseas travel
Be careful if you are claiming overseas travel and related costs as deductible work related or self-education expenses. Overseas travel needs to have a relevant work or self-education purpose if it is to be a legitimate claim. The ATO is cracking down on people who make false claims – and says that legitimate arrangements have a clear relevant connection with income earning or self education activities. If you are unsure contact the ATO on 1800 177 006.
Did you know
In the 2008-09 year, 12.3 million individuals lodged income tax returns with the Australian Tax Office, and collectively claimed $31.7 billion in deductions.