The Importance of Declaring Cryptocurrency Related Assets

As cryptocurrencies become more and more entrenched in the mainstream, one of the biggest challenges in accounting for them has been that some investors may not be aware that it is a requirement for them to disclose crypto assets to their accountants. It is super important for financial advisers to educate themselves in relation to […]

Trading Insolvent

Companies are a unique type of legal structure in that they are a separate legal entity and provide limited liability. However, there are certain situations in which the corporate veil can be lifted and directors are held personally liable for the company’s dealings. This commonly occurs when a company continues trading whilst insolvent. Directors have a duty […]

Documents to wind up a business

Winding up a business is different to merely ceasing trade. While the latter means that you’re effectively stopping business, you still have to abide by a handful of obligations and fees while the business remains registered. The de-registration process is long and involved, and can take months to take from start to finish. Creditors have […]

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 […]

Tax and Airbnb

Airbnb is one of many examples of the “sharing economy” — connecting buyers (users) and sellers (providers) through a facilitator that usually operates an app or a website. Airbnb acts as this facilitator by allowing individuals, referred to as “hosts”, to rent out a room of their house or their whole house for a short-time […]

Is your Div 7A Compliant?

Division 7A of Part III of the Income Tax Assessment Act 1936 (ITAA36) is an integrity measure that was designed to prevent companies from making tax-free distributions to shareholders or their associates. This can occur where distributions of profit are disguised as loans or other transactions. This effectively allows the shareholder or their associate to […]

Ways of thinking around Div 7A

Abstract: When a private company makes a loan to a shareholder or an associate during an income year, Div 7A of the Income Tax Assessment Act 1936 (Cth) can deem the company to have paid a dividend. The dividend is assessable to that shareholder/associate. However, no deemed dividend will arise if the loan is either repaid or placed […]

8 tips for managing business finance

Keeping track of your business finance is critical, regardless of whether you run a small business or a large enterprise. Tracking financial metrics may be boring or tedious for some people, but it’s absolutely essential. Why? Because it enables you to know exactly what’s going on with your sales and expenses, and therefore make smarter […]

The Value of your Accountant

Many businesses, especially smaller businesses, aren’t committed to consulting their accountant on a regular basis. This can turn out to be a costly error over the longer time when in fact a trusted and competent accountant helps you understand what’s happening in your business. The advice that your accountant gives you can help you avoid […]