Wikipedia defines a cryptocurrency (also known as crypto-currency, or crypto) as a digital currency designed to work as a medium of exchange through a computer network that is not reliant on any central authority, such as a government or bank, to uphold or maintain it. Bitcoin was created in 2009 by Satoshi Nakamoto as the…
Read More »
A taxpayer can claim a deduction for the cost of travel to obtain tax advice. This travel includes: Using a taxpayer's vehicle to visit their accountant's office. This can be calculated on a cents per km basis. Out of pocket transport costs incurred, such as airfare or taxi fare. Accommodation and meals incurred visiting their tax agent. (This…
Read More »
Structured settlement contributions are payments an individual has received and contributed into their super fund. Structured settlement payment is a payment arising from a personal injury claim where two legally qualified medical practitioners have certified that it is unlikely the individual can ever be gainfully employed in a capacity for which they are reasonably qualified or trained.…
Read More »
From 1st July 2017, the amount of capital that a member can have in the tax-free retirement (pension phase), is limited to $1.6 million. This means the pension earnings exemption only applies on $1.6 million of the member’s superannuation balance, and the earnings on the excess superannuation balance is subject to the normal 15% tax.…
Read More »
The first tax issue to consider with owning a racehorse is whether you are operating as a hobby or a business. Generally, it is difficult to demonstrate to the ATO that you have a racing business unless it is associated with breeding or training activities and is of significant scale. The tax benefits of owning…
Read More »
Bitcoin was created in 2009 by Satoshi Nakamoto as the world’s first cryptocurrency and is the biggest. Currently there are 669 cryptocurrencies in the world. Bitcoins are a digital currency so can be used to buy things electronically (and in that sense are similar to conventional currency). However, Bitcoins most important characteristic is that it…
Read More »
Non-geared unit trusts (NGUT) allow taxpayers to co-invest with their SMSF in property. The benefits of the NGUT structure include: Enables a SMSF with limited funds to co-invest in large property purchases. The SMSF can purchase additional units in the NGUT from related parties (at market value). The NGUT has flexibility in issuing and redeeming…
Read More »
From 1st January 2018, a 60% CGT discount applies for Australian resident individual’s investing in qualifying affordable housing. This also applies if the individual invests via a managed investment trust. The conditions to access the 60% discount are: The housing must be provided to low to moderate income tenants. Rent must be charged at a…
Read More »
A person aged 65 or over can make a non-concessional contribution into superannuation of up to $300,000 from the proceeds of selling their principal residence (if they have owned it for at least 10 years). This is available to both members of a couple for the same home. This strategy is available from 1st July…
Read More »
This strategy involves using the entertainment facility leasing provisions of the FBT Act to make owning and operating a boat or yacht as tax effective as possible. To achieve this, it should be structured as follows: Individual owns the boat or yacht. Individual leases the boat to the business entity on an exclusive basis for…
Read More »Similar posts you may like
- Can a Racehorse Beat the ATO?
The first tax issue to consider with owning a racehorse is whether you are operating as a hobby or a business. Generally, it is Read more
- Tax Planning Strategy 184 | SMSFs: Investing in Non-Controlled Entities
Tax planning strategy 184 This strategy involves a SMSF investing in non-controlled unit trusts or companies. As the entities are non-controlled entities they can Read more
- Tax Planning Strategy 153 | Junior Mineral Exploration Tax Credit
The Junior Mineral Exploration Tax Credit (JMETC) encourages non-mining investors to invest in exploration companies and help fund their exploration activity. The JMETC allows Read more
- Tax Planning Strategy 171 | Income Splitting
This strategy involves ‘evening up’ the marginal tax rates between spouses. Tax is saved if income can be moved from the spouse Read more
"You’d be stupid not to try to cut your tax bill and those that don’t are stupid in business"
- Bono: U2