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Tax Time Tips Business Owners
Tax time can be stressful, especially if you are not well prepared! Here are some tax tips for Business Owners on how to get the avoid paying too much tax and to minimise our compliance costs.Want to learn more? For more in-depth information on these tips, check out our blog article:
https://www.prismaccounting.com.au/tax-tips-for-business-owners/
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Prism Accounting is a Chartered Accounting Firm in Sydney specialising in Small Business Taxation and Capital Gains Tax.
Website: www.prismaccounting.com.au
Contact: 1300 077 555
Linkedin: https://www.linkedin.com/company/prism-accounting/
Facebook: https://www.facebook.com/prismaccounting/
SCHEDULE AN APPOINTMENT: https://www.prismaccounting.com.au/contact-us/appointments/ -
COVID-19 Response: JobKeeper Payments
If your business is significantly impacted by Coronavirus, you may be eligible to receive JobKeeper payment of $1,500 per eligible worker, including full-time, part-time, and long term casuals who do not have a permanent employment elsewhere.
Individuals who are not employees but who are actively participating in business may also be eligible to be nominated for JobKeeper payments.
To qualify for JobKeeper payments, your business must meet eligibility criteria and have, or be likely have, a substantial decline in turnover (generally of 30%) in a relevant period.
Learn more about COVID-19 JobKeeper Payments, including eligibility conditions, timing, turnover tests, application process and reporting requirements:
https://www.prismaccounting.com.au/jobkeeper-payments/
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Prism Accounting is a Chartered Accounting Firm in Sydney specialising in Small Business Taxation and Capital Gains Tax.
Website: www.prismaccounting.com.au
Contact: 1300 077 555
Linkedin: https://www.linkedin.com/company/prism-accounting/
Facebook: https://www.facebook.com/prismaccounting/
SCHEDULE AN APPOINTMENT: https://www.prismaccounting.com.au/contact-us/appointments/ -
Taxation of Personal Service Income (PSI) - Things You Need to Know
If you are running a business of providing personal services in Australia, you may be a subject to PSI rules that affect how your income is taxed and what deductions you can claim.
PSI rules are designed to prevent individuals from getting any tax benefit from diverting their personal service income. Common examples include employing associates or conducting business through a company or trust, for the purpose of distributing income to taxpayers in lower tax brackets.
Unfortunately, we see it too often that business owners make these mistakes without realising the consequences.
This educational Video will explain:
0:30 What is Personal Service Income (PSI)
0:54 What is not classified as PSI
1:07 How PSI Rules Work
1:50 What PSI Rules are designed to address: basic examples of income splitting
2:59 Who is exempt from PSI Rules
3:45 Result Test
4:30 Unrelated Clients Test
4:53 Employment Test
5:29 Business Premises Test
6:33 Commissioner's Personal Services Business Determination
6:58 Deductions you can't claim if PSI Rules apply
7:37 Deductions you can claim if PSI Rules apply
8:09 Attribution of Personal Service Income
8:43 PSI and other Anti-Avoidance measures
Frequently Asked Questions about PSI Rules:
9:24 Is an individual deemed to be an employee if PSI Rules apply?
9:58 If you are subject to PSI Rules, are you eligible for Small Business Depreciation Concessions?
10:21 Can individuals producing PSI rely on Substantiation Exemptions available to employees?
10:46 Are individuals receiving PSI eligible for Small Business Tax Offset?
Learn more about PSI Rules:
https://www.prismaccounting.com.au/personal-service-income-rules/
https://www.prismaccounting.com.au/personal-service-income-faq/
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Prism Accounting is a Chartered Accounting Firm in Sydney specialising in Small Business Taxation and Capital Gains Tax.
Website: www.prismaccounting.com.au
Contact: 1300 077 555
Linkedin: https://www.linkedin.com/company/prism-accounting/
Facebook: https://www.facebook.com/prismaccounting/
SCHEDULE AN APPOINTMENT: https://www.prismaccounting.com.au/contact-us/appointments/