News Archives
NEW!! 6/07/10 What work-related expenses can I claim in my 2010 tax return?
Please call our office to discuss your circumstances.
Last year approximately 7.3 million people claimed work-related expenses making them one of the most commonly claimed deductions.
The most commonly claimed things in 2009 included car, travel, uniform and self-education expenses and on average people claimed $2,008 in work-related expenses.
The ATO pays particular attention to these claims, often identifying mistakes and sometimes finding claims that are false, not work-related or can’t be substantiated through good record keeping or receipts.
The ATO looks closely at returns and identifies particular occupations where:
- average amounts of claims are high there is an increase in the number of people making claims;
- there are a lot of people making claims for the first time.
The ATO will write to approximately 200,000 employees in the following occupations outlining common mistakes and providing advice on how to avoid these mistakes in this year’s tax return:
- engineers
- mechanics
- teachers
The most common mistakes made by people in these occupations include:
- insufficient documentation available to support claims made for motor vehicle and travel expenses
- incorrectly claiming motor vehicle expenses including claiming when they travel from home to work more than once per day
- incorrectly claiming home office, mobile phone and internet expenses.
How to ensure you get it right the first time
There are some simple rules to help you work out your work-related expense claims.
You must have incurred the expense in the year you are claiming it. The expense must be work-related and not private and if the expense has been reimbursed by your employer it can’t be claimed.
Receiving an allowance from your employer does not automatically entitle you to a deduction.
If your claims total more than $300 you need to keep written evidence. You can also use records other than paper receipts. A full list of accepted records is available on the ATO website www.ato.gov.au
More information
The ATO has a range of guides available which explain in more detail the specific claims you can and can’t make.
These include guides for employees in the building industry, truck drivers, university lecturers and tutors, sales and marketing managers, and sales representatives.
More information, including these occupational guides, is available from the ATO website www.ato.gov.au/occupations or by calling 13 28 61.
NEW!! 6/07/10 Do you own a rental property?
Know what deductions you can claim this tax time. Go to: http://ato.gov.au/corporate/content.asp?doc=/content/00244448.htm
NEW!! 6/07/10 Income tests
From 1 July 2009, changes to tax law will mean changes to the way we work out your income for some government benefits and obligations administered by us and other government organisations.
The following link will be useful and naturally please contact us anytime to discuss your circumstances. Click here
7/06/10 Things aren't always as they seem
In the lead up to tax time, many people consider tax-effective investments. At BT Corporate Advisory Pty Ltd we are committed to protecting our clients from investing in to a ‘wrong’ product. Before committing to a new investment product please discuss it with us to insure that you avoid some of the pitfalls associated with it.
For more information on tax avoidance schemes please call our office or visit http://ato.gov.au/atp/content.asp?doc=/content/00183234.htm
17/05/10 Superannuation tips for young people
When you become an employee for the first time (whether it's a part-time, casual or full-time position), you may be eligible for superannuation (super) payments by your employer.
The following link will be helpful, click here and as always please contact our office for more information.
23/03/10 Fringe Benefits Tax
With FBT year 2010 finishing 31 March 2010 it is a timely reminder for all employers and company directors to consider tax planning issues in relation to Fringe Benefits Tax. A link below is very useful: http://ato.gov.au/print.asp?doc=/content/418.htm
Please contact our office to discuss your situation.
2/02/10 Unpaid Present Entitlement (UPE)
There has been a draft ruling issued by the ATO (TR 2009/D8) that considers Unpaid Present Entitlement (UPE) from the family trust to an associate company to be a loan for the purposes of Division 7A of ITAA 1997. In the past it was a common consensus among tax practitioners to treat UPE separately from any loans for Div 7A purposes.
Unfortunately it has a major implications on a number of clients that have a trust and a company in their structures. We are watching closely these developments and will be speaking to all our clients that are affected. To discuss your personal situation as a priority please contact our office at your earliest convenience.
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