Long service leave for construction workers
Long service leave is an employee entitlement received after an employee works for the same employer for a long period of time. Once an employee completes ten years of service, they are entitled to two months of paid leave. As it is unusual for an employee in the building & construction industry to work for […]
Tax of lease incentives
The income tax implications of property lease incentives Lease incentives are commonly used by landlords to entice tenants to enter into a lease. The most common type of lease incentive relates to new tenancies in commercial buildings. These inducements can take many forms, including upfront cash payments, non-cash items such as motor vehicles or boats, […]
Basics of an Employment Termination Payment (ETP)
The taxation of employment termination payments An employment termination payment (ETP) is generally a lump sum amount paid to an employee upon termination of their employment.Depending on the type of ETP, the employee’s age and years of service, the amount may be taxed in a number of different ways. An ETP may comprise of a […]
Using your stock personally
The ATO knows that many business owners naturally help themselves to their trading stock and use it for their own purposes. This common practice can occur in businesses such as butchers, bakers, corner stores, cafes and more. It regularly issues guidance for business owners on the value it expects will be allocated to goods taken […]
Ride-Share Income
Have you or someone you know considered taking up ride-sharing (also called ride-sourcing) to earn extra income, or even as an alternative form of employment? When providing ride-sharing services through Uber or GoCatch and other facilitators for a fare, there are things you will need to know, and traps you need to be aware of. […]
Simple Div 7A
If you have a company, then you have probably sat in a meeting with your accountant and heard the phrase ‘that may raise Division 7A issues’. Everyone usually then grumbles and nods wisely, and moves on… But you may be asking yourself, what is Division 7A? Glad you asked. In short, Division 7A is relevant […]
Do you have a Div 7A obligation?
Have you paid private bills from your company account? Do you owe money to your company? If you answered yes to any of the above questions then should understand how Division 7A (or “Div 7A”) works and how it affects you. When is a Div 7A loan triggered? It is usually triggered when a payment […]
Dealing with a wind up notice
Wind-up notices are a type of statutory demand that’s typically served by creditors, including the ATO, to enforce the payment of debt by a business. The wind-up notice, usually made under section 459E of the Corporations Act (‘the Act’), requires a business to appear in court with its creditor to determine whether the business is […]
Business Garnishee Notice
A garnishee order is a serious matter, as it means a court order has been made to allow creditors to recover debt from third parties. They can do this in a number of ways, including taking money from the debtor’s bank account and/or from their salary. If you are issued with a garnishee order you […]
Basics of a Creditor’s Meeting
When push comes to shove and the debts can’t be paid, putting a business into voluntary administration can be a sensible move. It’s important to not fear voluntary administration, as it’s a way to restructure the business and hopefully get back on track. In this situation, an administrator takes control of a company, reviews the finances and […]
