Are you one of the five million Australians who claim work from home deductions? If so, stricter record-keeping rules may now apply. For this financial year and moving forward, there are now only two methods to calculate your work from home claim: Revised fixed rate method (with new rules applying) Actual costs method (unchanged). The...

Access our Wallace Partners Client Information Newsletter March 2023 below: Wallace Partners CIN March 2023

What is a recontribution strategy? The objective of the recontribution strategy is to reduce the taxable component of an individual’s superannuation account and to increase the tax-free component, which may lead to better estate planning outcomes. To achieve this, the recontribution strategy allows individuals who have met a full condition of release (such as the retirement or reaching age...

The ATO has reminded taxpayers around their sharing economy tax obligations when providing accommodation. The sharing economy provides a great opportunity for individuals with spare rooms or spare entire properties to rent out space and earn rental income using facilitators such as Airbnb. Indeed, approximately 2.1 million individuals reported rental income of $42 billion in the...

Do you operate your business via a family trust? The ATO released its final guidance material on the application of section 100A on 8 December 2022 – TR 2022/4 and PCG 2022/2. In doing so, it has clarified a number of issues which is welcome. To recap, the ATO in February 2022 updated its guidance...

Many SMSF trustees wonder if they can live in their SMSF property once they retire. This is a common question particularly as property is such a popular SMSF investment. However, despite superannuation being your own money, there are certain rules around accessing your superannuation which prohibit you from not only using your superannuation to purchase...

As we enter into the new year, with many economists predicting a slowing of the economy, planning your business’s cashflow is more important than ever. Studies suggest that the failure to plan cash flow is one of the leading causes of small business failure. To this end, a cash flow forecast is a crucial cash...

The eligibility age for downsizer contributions reduced from 60 to 55 years from 1 January 2023. This means if you are age 55 or older, you could invest the proceeds of the sale of your family home to your superannuation outside of your standard contribution caps. Downsizer contributions From 1 January 2023, if you’re aged...

The ATO has released its new year resolutions…and there is not a gym in sight! According to the ATO the five new year’s resolutions to keep if you want to stay on top of your tax and super in 2023 are: Know if you’re in business or not Are you earning an increasing income from a...

Have you missed the deadline to apply for a director identification number (director ID)? If so, you can still apply! The ATO says it will take a reasonable approach with directors who are trying to do the right thing. Importantly, directors who need additional time to apply (beyond 14 December 2022), can request an extension of...