Welcome to the inaugural annual Elysium Federal Budget run-down. These Budgets are crucial to understand and have been the basis for the biggest changes in our tax systems over the years. The 2016 Federal Budget is no different with some fundamental changes proposed for especially for superannuation.
Many clients make the choice to set up a self-managed super fund (SMSF) but don’t realise there is a second crucial decision that needs to be made – the choice of the trustee. There are specific rules regarding SMSF structure and trustees but in general the choice comes down to individual trustees or a corporate trustee. This choice can have significant implications for the administration of your fund and especially estate planning. Given the cost saving, many SMSFs have individual trustees. However there are other matters beside cost which should be considered.
Superannuation is crucial for your retirement and it is important you have your super with the right fund. The introduction of super choice years ago has put the power in your hands. So what should you look for in a super fund?
Many people are attracted to self-managed super funds (SMSFs) and they can be a great vehicle to increase your net wealth. However, SMSFs are not for everyone and you must consider several things to determine whether an SMSF is right for your circumstances.
More and more people are trying to improve their work and life balance, which has led to a significant increase in home-based businesses starting up over the last few years. Business owners often ask, “What home expenses can I claim?” Unfortunately, this is a very open ended question with a multitude of factors that need to be considered. The Australian Taxation Office (ATO) has set the basic tests and requirements for claiming two types of house expenses for home-based businesses:
Tax time! The words are usually enough to send a shiver down the spine of most clients. Lodging your tax return is usually not a pleasurable experience and sometimes results in some nasty news at the end in the form of a tax bill.
Now is the time you can act to try and minimise any profits and reduce the taxes you pay, as well as get an estimate of your likely tax liability for 2015. Getting work done now can help give you an indication of your tax cash flow moving forward and whether there is a need to do some tax planning prior to 30 June. There are several things you can do to help minimise your taxes and if you leave this until after June 30, a lot of these measures cannot be done.