The start of the financial year means small business across the country will be getting their affairs in order. There are a few changes businesses need to be aware of.
As per Fair Work Australia's ruling last month, the minimum wage has increased by $19.40 per week to $589.40 per week.
Businesses will need to adjust their tax rates on the payroll for the flood levy, this applies for employees.
Paid Parental Leave legislation was introduced earlier this year, providing eligible working parents with 18 weeks of Parental leave pay at the National Minimum wage, currently $589.40 a week before tax. It's now mandatory for businesses to distribute parental leave payments to their employees. Businesses need to contact the Family Assistance Office to make sure they have all the necessary paperwork for an employee applying for parental leave. For more information contact the Family Assitance Office. FAO
Directors are now personally liable for any debts older than three months. The new laws have replaced than the 21 day grace period and extend the director penalty notice regime to super accounts also.
Trust account holders need to be aware of the new legislation introduced, covering the streaming of franked dividends to beneficiaries through trusts.Trust manages are now allowed to stream incomes however they can only do this if beneficiaries are clearly named in the deed.
State Governments have reduced the price of stamp duty to lure home buyers. Victoria will cut 20% off stamp duty for first home buyers.
Understanding the Carbon Tax
A carbon tax is an environmental tax on energy sources which emit carbon dioxide; products include coal, petroleum, gasoline, aviation fuel and natural gas.
A fee of $23 per tonne of emissions will be levied on the top 500 polluters in Australia. It is designed to change energy use and encourage clean energy sources such as solar, gas and wind. In 2015, the tax will be replaced with a market-driven system, referred to as an Emissions Trading Scheme.
The government has promised 90 per cent of households will be compensated in some way, with 70 per cent fully compensated either through tax cuts or increases to family payments. Pensioners will receive a rise, in line with the cost of living increases. Treasury estimates prices across the whole economy will only rise by 0.7%, on average, households will pay $9.90 a week more. The tax will become effective on July the 1st 2012.
ATO Email Scams
The ATO will never send you an email requesting you to confirm, update or disclose confidential details like your name, date of birth, address, passwords or credit card details. If you receive such an email it is likely to be a scam. You can report this matter to the ACCC on 1300 302502 or visit the ATO website: ATO
Super Co Contributions now permanent
From 1 July 2010, the ATO will retain the permanent matching rate of 100% for all super co-contributions. The maximum super co-contribution that is payable on an individual's eligible personal non-concessional super contributions is $1,000. For more information visit the ATO website.
Sources:Sydney Morning Herald, Australian Taxation Office, Family Assistance Office
DISCLAIMER: The contents of this publication are general in nature and we accept no responsibility for persons acting on information contained herein.
