Thousands of Australians head offshore each year to expand their horizons and a lucky few will fund their adventure by working overseas. Some may live overseas and work for an extended period. There can often be confusion about the tax implications for taxpayers who take advantage of such offshore opportunities. Why is tax residency important?...

With Tax Time 2015 in full swing, the Tax Office has flagged that it will pay particular attention to work-related expenses. It says it’s an area that adds up to about $19.5 billion in tax deductions each year. In previous years, the Tax Office has tended to focus on work-related claims made by particular professions,...

While providing income for retirement is the obvious purpose of a pension paid from a self-managed superannuation fund (SMSF), there are some issues to consider before drawing a pension from your SMSF. Tax rates in accumulation phase vs pension phase The first issue to consider when starting a pension is that returns from your investments...

Under the superannuation rules, there is scope to access some of your retirement savings in your super fund under an arrangement called “transition to retirement” (TTR). Under this arrangement, a super fund member can ease into retirement by reducing their working hours without reducing their income. If you are aged between your relevant “preservation age”...

The concept of the “going concern” exemption for GST purposes can still cause confusion when businesses are sold, despite the fact this exemption has been in place for many years. A “going concern” refers to an enterprise’s ability to continue trading, with the sale of that business generally eligible to be GST-free if the enterprise...

for your tax return The Tax Office has re-released its business industry code (BIC) tool to help small businesses speed up their tax return lodgement. The BIC is a five-digit number required for tax returns and schedules. Using the correct code helps businesses avoid delays by ensuring their return is lodged in the correct category....

The Tax Office can issue public rulings that provide guidance on the interpretation of various tax laws. Public rulings generally deal with priority issues that have been found to require clarification, so if you have a concern about a particular area of tax law, you may find that many of your concerns are shared by...

According to the Tax Office, pre-judgement interest received as part of a lump sum payment for personal injury is generally not assessable because it is a capital receipt. Post-judgement interest however can be assessable. Pre-judgement interest is calculated from the date the cause of action (for example the accident) occurred until the date the judgement...

In the recent Federal Budget, the government announced a series of measures to assist small businesses, with one of these being an immediate write-off for depreciating assets that cost less than $20,000.  This measure, which has now been written into law, applies from the 2015 Budget night (7.30pm, May 12) to June 30, 2017. At...

Here are some misconceptions about deductions that many taxpayers commonly believe to be claimable, but are typically rejected by the Tax Office. While some are obviously not allowable, they have all been genuinely attempted to be claimed — and in most instances knocked back. Other disallowed claims, however, may surprise. While the Tax Office may...