End of Financial Year 2020

It's the time of year we love, and we want YOU to love it as much as we do! 



NEW Online tax forms

Individual Tax Returns just got easier! Provide us with your information online.

Online Form

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Paper Form

NEW Covid-19 Safe Procedures

For the safety of our clients and staff, we request the office procedures be followed and no physical contact.

ATO Watchlist

What the ATO will be keeping a close eye on this tax year.

Keeping our Clients and Staff Safe!


Visiting the Office

  • Partners and staff will continue accepting appointments unless there is a COVID-19 case in the region. At which time, our office will be closed to clients.
  • Use the hand santiser provided upon entry.
  • Minimise physical contact, we request no hand shakes.
  • Only necessary persons to attend appointments.
  • If you are unwell, please reschedule your appointment or consider a phone appointment.


Hold the Brakes

The ATO have advised they will start processing returns from the 5th of July 2020, with refunds not being issued until the 16th of July.

Reminder - No PAYG Summaries or Private Health Insurance Statements


This tax time your employer is not obligated to provide a Payment Summary. You can access your end of year summary through your MyGov account. This will be prefilled in your tax return when it is "tax ready".

You will no longer receive a private health insurance statement unless requested. This information will be prefilled by the ATO in your return.

STP End of Year Finalisation 

End of financial year just got easier for employers. No need to provide your employees with payment summaries if you are reporting with Single Touch Payroll.






Step 1 - Check & Confirm

Confirm all details are correct, including ATO reporting categories.

Step 2 - Reconcile

Reconcile total wages on the payroll report with the general ledger.

Step 3 - Notify

Finalise pay run and notify the ATO.

Select your software program for instructions

Instant Asset Write-Off

Assets purchased up to the value of $150,000 between 12/03/2020 - 30/06/2020 can be depreciated in full this year . 

Assets above $150,000 can be depreciated at 57.5% in its first year. Increasing from 15%.

NOTE: the asset must be installed and ready to use to claim the deduction.

Medicare Levy

The Medicare Levy thresholds have increased for this tax year. Meaning higher taxable incomes before the levy is payable. A rate of 2% is still applicable.

LIMTO 

The low and middle income tax offset applies again this year.

Taxable Income
<$37,000                  offset $255
$37,001-$48,000    offset $255- $1,080
$48,001-$90,000    offset $1,080
$90,001-$126,000  offset reduces from $1,080

NOTE: this is not a cash payment, it offsets against tax already paid.


Student Loans

Repayments for student loans such as HELP, VSL, SFSS, ABSTUDY and TSL will be repayable at a rate starting at 1% for taxable incomes above $45,880. 

If you have a student loan, now is the time to notify your employer to take additional tax out of your wage.

Taxable Payments 

TPAR's must now be submitted for additional contractors. Reports are due by 28th of Aug 2020 for contractors in cleaning, courier, road freight, IT and security services.

Early Release of Super 

If you have been affected by COVID-19, an additional $10,000 can be withdrawn from your super for the 2020-2021 year.

Applications must be submitted through your MyGov account between 1 July 2020 - 24 Sep 2020.

NOTE: SMSF's must have ATO authority to do so.


COVID-19 and Bushfire Payments

Did you receive a COVID-19 or Bushfire initiated payment or rebate? Below is the tax effect it will have.




Government Payments

TAXABLE
JobKeeper 
JobSeeker
Supporting Apprentices & Trainees

NON-TAXABLE
Cash Flow Boost
One-Off Payment for Pensioners
Rural Fire Service Volunteer 

Grants

TAXABLE
Job Accelerator Grant
$10,000 Emergency Cash Grant  (SA)


NON-TAXABLE
Disaster Recovery Allowance
Emergency Bushfire Response Grant
Small Business Bushfire Support Grant




COVID-19 Deductions

Were you impacted by COVID-19 regulations? If so, you may be able to claim deductions.

Worked from Home?

If you had to work from home due to COVID-19, you can claim 80 cents per hour for home office expenses, using the shortcut method.

Find out more 

The ATO will be monitoring home office expenses closely - If you are unsure you can claim this, please speak to your accountant.

PLEASE NOTE:
  • This only applies from 1 March.

  • This method includes all overhead expenses, mobile usage and purchases of P&S.



Bought COVID-19 Protective Items?

If you purchased gloves, face masks, sanitiser, you may be able to claim them as a deduction if the following are met:

  1. You incurred the expense yourself
  2. There was a sufficient connection to earning your assessable income.


PLEASE NOTE:
  • This only applies from 1 March.

  • You are exposed to the risk of the virus in the course of your work.
  • The risk is not remote or negligible.

  • Examples of industries - medical, cleaning, airline, hairdressing/beautician, retail and hospitality.






ATO Watchlist

The ATO will be keeping a close eye on the following areas. 


Holiday Homes & Rental Properties

The ATO will be focusing on over-claimed interest, capital works claimed as repairs on rentals. Expenses claimed for holiday homes when it's not genuinely available for rent.

Share Economy

Providing a service or asset for a fee on a digital platform such as AirBnB & Uber. The ATO will be focusing on unclaimed income and overclaimed expenses.

Cash Economy

The ATO uses Data-matching and Benchmarking to review businesses that do not offer electronic payment facilities or are operating outside the benchmark range for their industry.  

There has never been a better time to improve your recordkeeping, to avoid a redflag by the ATO.

Receipt Bank

For Business

- SNAP IT -
Take a photo of your receipts.
- SEND IT -
Upload bills, invoices, receipts or statements.

More Info

ATO App

For Individuals

Record your expenses & deductions, vehicle trips and photos of invoices & receipts.


More Info

Our Team


Emily Aston
Emily and Gareth got married on the 21st of March 2020. 1 day before the COVID-19 restrictions!
Georgie Castle
Georgie and Adrian welcomed another baby boy - Billy George - on 12 December 2019.
Dani McKinnon
Congratulations to Dani and Andrew that recently got engaged.
Biance Tielen
Bianca celebrated 5 years at Galpins in June.
Scott Bennett
Scott is now a Certified MYOB Consultant.