The Budget in a few words:
- Positives for small business with reduced tax rates
- Superannuation will become less attractive, especially for high income earners and those in retirement with large amounts in super.
- A tax cut for those earning over $80,000 p.a.
- It will be years before the budget is in surplus.
In short, not too much to get excited about!
This, from my own hard experience
“Try to do business with people you can do business on a handshake. The purpose of contracts is add to a lawyer’s wealth, not yours”
Only 70 Days to the new financial year!
New rules come in on 1 July 2016 that make it easier for small businesses to restructure. For example, to change from operating as a sole trader to a trust. Contact us if you want to know more.
An important point if you are selling an investment property. The gain is taxed in the year the contract was signed, not on settlement. It can make a big different.
I attended a very interesting seminar organised by GPS Wealth http://www.gpswealth.com.au this week.Economist, Emmanuel Calligeris gave a his outlook for the Australian Economy. The key points were:
- The Australian Economy to grow at 2%, (OK but not great)
- The next interest rate move by the Reserve Bank is likely to be down.
- House prices are likely to remain about were they are now.
Hope this is of use.
The Budget definitely had some sweeteners for small businesses (Turnover of less than $2 million)
- And immediate write-off for plant and equipment up to the value of $20,000
- A reduction in the tax rate for income earned by small businesses.
Please contact us if you need further details
On Tuesday night, at Bond University, I was presented with a pin to recognise 30 years membership of CPA Australia. A lot has changed in 30 years, but is still enjoy being an accountant.
A little bit of background. CPA Australia is one of the largest professional accounting bodies in the world with over 150,000 members worldwide.
30 year pin presentation
I have seen a few clients ripped off recently by a Real Estate Guru. These clients were sold overpriced properties. Over priced to the tune of $30,000. Get an independent valuation, before you sign, if you are purchasing from a Real Estate Guru or have any worries. It may be the best $400 you ever spend. If my clients did, they would not have been ripped off.