Coronavirus Supplement extended (but reduced)

December 7th, 2020

The Federal Government’s Coronavirus Supplement has been extended for a further three months. The Supplement payments were due to end on 31 December 2020, but the latest extension will allow them to run until 31 March 2021, which will be welcome news for many individuals still struggling with unemployment and other economic difficulties associated with [...]

Digital AGMs and signatures: legislative determination

November 9th, 2020

The Government has formally extended the ability for companies to convene annual general meetings (AGMs) and other prescribed meetings entirely online until March 2021. This extension allows company boards to: • provide notice of AGMs to shareholders using email; • achieve a quorum with shareholders attending online; and • hold AGMs meetings online, with shareholders [...]

SMSF asset valuations: concession during COVID-19

November 9th, 2020

The ATO has advised that it will not apply a penalty for self managed super fund (SMSF) trustees that have difficulty obtaining evidence to support market valuations of assets due to COVID-19. SMSF trustees are required to provide objective and supportable evidence to their auditor each year to establish that assets of the fund are [...]

JobKeeper payments satisfy “work test” for super contributions

November 9th, 2020

The Australian Prudential Regulation Authority (APRA) has published new guidance on the interaction between JobKeeper payments and satisfying the “work test” for the purpose of voluntary superannuation contributions. Where an individual is aged 67–74 and is stood down from their employment due to the impacts of COVID-19 but is in receipt of the JobKeeper payment, [...]

Insolvency reforms announced for small businesses

November 9th, 2020

The Government has announced that it will introduce insolvency reforms to help small businesses restructure in response to COVID-19, including: • the introduction of a new debt restructuring process for incorporated businesses with liabilities of less than $1 million, drawing on key features from Chapter 11 of the US Bankruptcy Code; • moving from a [...]

Small business tax options during COVID-19: ATO reminder

November 9th, 2020

The ATO has reminded businesses impacted by COVID-19 that they have a range of tax options to consider, including claiming a deduction for any losses. And for businesses finding it difficult to estimate income for the purposes of PAYG instalments, the ATO will not apply penalties or interest for excessive variations where businesses make a [...]

Data-matching program: apprentices and trainees

November 5th, 2020

The Department of Education, Skills and Employment (DESE) has commenced a new ongoing data-matching program with the ATO in relation to the Supporting Apprentices and Trainees (SAT) measure. The program seeks to confirm the eligibility of employers receiving the subsidy, as well as stamp out any potential double-dipping of government assistance (for example, claiming both [...]

JobKeeper decline in turnover tests: temporary trading cessation

November 5th, 2020

An additional category for alternative “decline in turnover” tests is now available for the purposes of the revised JobKeeper payment system (which commenced on 28 September 2020) for entities that temporarily ceased trading for some or all of the relevant comparative period. Under the revised system, an entity must have had an actual decline in [...]

Working from home “shortcut” deduction extended

November 5th, 2020

The ATO advises that the “shortcut” rate for claiming work-from-home running expenses has been extended, in recognition that many employees and business owners are still required to work from home due to COVID-19 This shortcut deduction rate was previously extended to 30 September 2020, but will now be available until at least 31 December 2020. [...]

Budget personal tax cuts and business concessions now law

November 5th, 2020

Several tax announcements from the 2020 Federal Budget have now been passed into law. These include bringing forward changes to the personal income tax thresholds so that they apply from 1 July 2020. From that date, the top threshold of the 19% personal income tax bracket is increased from $37,000 to $45,000. The top threshold [...]

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