Info base

Info Base

Our Info Base is a collection of fact sheets, templates, downloadable forms, lodgement checklists, taxation details and other relevant information. 

Select a topic to view details »

  • INFO BASE

    • Resources

      • Individuals

          Residents: Personal tax rates and thresholds

          These rates apply to individuals who are Australian residents for tax purposes: 

          read more »

          Non-Residents: Personal tax rates

          Non-residents are not subject to the $18,200 tax free threshold and are not required to pay the Medicare levy.   

          read more »

          Rental Properties

          Purchasing a rental propertyWhen purchasing a financed rental property you may consider:o The interest on the debt is deductible in contrast to the interest on the debt for your main…

          read more »

          Motor Vehicle Deductions

          Since 1 July 2015 there are only two methods available for claiming a deduction for motor vehicle expenses:Logbook, orCents per kilometre All motor vehicle claims need to be supported by…

          read more »
      • Tax Rates

          Residents: Personal tax rates and thresholds

          These rates apply to individuals who are Australian residents for tax purposes: 

          read more »

          Non-Residents: Personal tax rates

          Non-residents are not subject to the $18,200 tax free threshold and are not required to pay the Medicare levy.   

          read more »

          Weekly, Fortnightly & Monthly Tax Tables

          To calculate the Pay As You Go (PAYG) withholding tax amount for your employees download the weekly, fortnightly or monthly tax tables below, depending on your agreed pay frequency. These schedules incorporate the…

          read more »
      • Lodgement Dates

          Tax Return Lodgements 2017

          A list of lodgement dates applicable to tax returns for the 2016 - 2017 financial year is below:Individual Tax Returns –• Individuals who lodge their own tax returns, the due date…

          read more »

          BAS Lodgements 2017-2018

          The lodgement program due dates for the 2017 - 2018 financial year are listed below for all quarterly and monthly activity statements, including PAYG withholding payments. Please note the different…

          read more »
      • Checklists and Downloads

          Personal Tax Return Checklist

          Income:• Group certificate(s)• Statements of any allowances, Centrelink benefits or pensions• Details of interest received on bank accounts• Dividend statements• Rental property statements from managing agent or details of any…

          read more »

          Tax Return Checklist for Rental Property Income

          Income & Expenses:• Rental statements from property agents – these will include the rental income, property agent fees and commissions, and advertising expenses• Body corporate / strata fees•…

          read more »

          Requirements for BAS

          Below is a list of the detail required to be able to process BAS documentation for lodgement:Bank statements for the full BAS period – Make sure you have all the…

          read more »

          Spreadsheets - Business Income & Expenses

          It's not always necessary to purchase, install, create and update complicated accounting package programs when starting up a business. Sometimes a simple Excel spreadsheet can be more suitable, particularly with sole traders and…

          read more »

          Spreadsheet - Rental Property

          This spreadsheet is a useful tool for monitoring your rental property's income and expenses for your year end tax return. Keep track of your quarterly earnings and expenditure, as well as capital purchases…

          read more »

          Spreadsheet - Motor Vehicle Expenses

          This spreadsheet is a useful tool for monitoring and recording your motor vehicle expenses for your year-end tax return. Keep track of your quarterly expenditure, including lease payments and interest on loans…

          read more »

          Template - Motor Vehicle Logbook

          A logbook can help you get the most from your business or work-related motor vehicle use. Download this template so you can keep track of each business or work-related trip…

          read more »
      • Superannuation

          Consolidating your super

          There are numerous benefits to keeping your super in one place.  Apart from only paying one set of fees, you will also be able to keep track of your retirement…

          read more »

          Binding Beneficiaries Nominations

          Under superannuation law, the Trustee of your super fund has the discretionary power to decide which of your dependents receives your super if you die before you retire. The law…

          read more »
      • Estate Planning

          Template - Last Will & Testament

          A Will is a legal document that clearly sets out your wishes for the distribution of your assets after your death. Having a clear, legally valid and up-to-date Will is…

          read more »
      • Starting a New Business

          Starting Up Your Business

          1.  Business PlanBefore you register for an ABN and start trading it is vital to sit down and flesh out the finer points of your business idea: Consider the different…

          read more »

          Company & Trust Set Up

          If you decide on a company or trust structure for your new business AFYF can assist you in meeting the various legal, ATO and ASIC documentation necessary for registration and…

          read more »

          Registering a Business Name

          When you first get started in a business you should register your business name with ASIC. Registration of a business name lasts for either one or three years, depending on the…

          read more »

          Company & Partnership Agreements & Deeds

          When first setting up your partnership, company or trust there may be a requirement to draw up and sign an agreement or deed. These agreements can regulate the arrangements between partners,…

          read more »

          Invoicing - What to Include

          Invoices can be hand-written, carbon copies or computer generated from programs like Xero or MYOB, but they all need to include certain details.  For businesses registered for GST invoices need…

          read more »
      • BAS & GST

          BAS Lodgement Dates 2017-2018

          The lodgement program due dates for the 2017 - 2018 financial year are listed below for all quarterly and monthly activity statements, including PAYG withholding payments. Please note the different…

          read more »

          Requirements for BAS

          Below is a list of the detail required to be able to process BAS documentation for lodgement:Bank statements for the full BAS period – Make sure you have all the…

          read more »
      • Business Planning

          Business Planning

          A business plan is an essential tool in starting up your business. It allows you to set a clear direction for your business, to communicate planning objectives and strategies to…

          read more »
      • Employing People

          Weekly, Fortnightly & Monthly Tax Tables

          To calculate the Pay As You Go (PAYG) withholding tax amount for your employees download the weekly, fortnightly or monthly tax tables below, depending on your agreed pay frequency. These schedules incorporate the…

          read more »

          Job Descriptions with Various Templates

          The job description should be the very first step in the recruitment process. It provides a support for writing job advertisements, specifying necessary qualifications, interviewing candidates, planning job training and…

          read more »

          Letters of Offer & Example

          A letter of offer is an important aspect when hiring a new employee as it outlines the terms and conditions of the job being offered.Try to include as much detail…

          read more »

          Letters of Appointment & Example

          A letter of appointment is another aspect of the recruitment process that the employer should complete to confirm the details of employment. It generally only needs to be a short…

          read more »

          Issuing Payment Summaries to Employees

          Payment summaries must be issued to every employee paid during a financial year ending 30 June. These summaries should be given to employees by the 14 July each year.The information…

          read more »

      Fresh start for R & D tax credits

      The budgetary changes represent a fundamental shift in the Government’s approach to rewarding businesses engaged in Research & Development activities. The announced changes, which coincided with the release of the Government’s long awaited White Paper, ‘Powering Ideas: An Innovation Agenda for the 21st Century’, are geared towards providing Australian Businesses with a simpler, more predictable and more equitable scheme to reward innovation, when compared to the current R & D program.

      By introducing the new R & D tax credit program, the Government is clearly seeking to motivate Australian business with an additional incentive to dedicate increasingly scarce resources to R & D activities. At the same time, the Government’s reforms also appear to be aimed at providing Australian businesses with clarity and certainty as to the financial benefits they can expect from their investment in innovation, something that is widely acknowledged as a weakness in the current R & D tax concession program.

      Key highlights

      For income years commencing from 1 July 2010, the current 125 per cent and 175 per cent R & D tax concession scheme will be replaced with an R & D tax credit scheme. Key points in relation to the changes include:

      • 45 per cent refundable tax credit (the equivalent to a 150 per cent deduction) will be provided to small businesses with a turnover of less than $20 million per annum;
      • 40 per cent non refundable tax credit (the equivalent of a 133 per cent deduction) will be provided to firms with a turnover of more than $20 million per annum and to firms that undertake R & D on behalf of foreign parents; and
      • The increased benefits to business are balanced by removal of the overly complex R & D tax concession premium provisions and a tightening of a number of key definitions in order to support only genuine R & D activities.

      For groups with turnover less than $20 million, a 45 per cent refundable tax credit will be available to firms with a group turnover of less than $20 million per annum. This change not only represents a doubling of the rate of support currently available under the tax concession, it also opens up the ability to access immediate funding, by way of a refundable tax credit, to a much wider range of businesses, when compared to the current tax concession program.

      Under the current tax offset provisions, only businesses with a group turnover of less than $5 million and R & D expenditure of less than $1 million are eligible to ‘cash out’ losses associated with their expenditure on R & D activities.

      Under the new R & D tax credit scheme, the $5 million turnover limit has been increased to $20 million, and the upper R & D expenditure limit of $1 million has been completely removed. This fundamental change should provide a significant economic advantage for small to medium Australian enterprises, rewarding their investment in innovation by freeing up cash reserves, in the form of the refundable tax credit.

      As a transitional measure for the 2009/2010 income year, the R & D expenditure cap associated with the R & D tax offset program will be increased to $2 million. This measure should provide a significant number of additional businesses with access to the cash benefits under this program.

      For groups with turnover greater than $20 million, a 40 per cent non-refundable tax credit will be available to businesses with a group turnover of more than $20 million per annum. The 40 per cent non-refundable tax credit equates to a saving of 10 cents for every dollar incurred on eligible R & D expenditure – an increase from the 7.5 cents in the dollar available under the current scheme.

      In addition, the 40 per cent non-refundable tax credit scheme will be extended to circumstances where Australian businesses are conducting R & D in Australia on behalf of a related overseas company, even though the overseas company may hold the results of the R & D activities.

      Additional proposed changes

      The replacement of the R & D tax concession scheme with the new R & D tax credit scheme also brings to an end the 175 per cent premium tax concession. This means that the 2009/2010 income year will be the last opportunity for companies to access the 175 per cent concession. As highlighted in the Cutler Review of Australia’s innovation policy, the 175 per cent concession was viewed as a particularly complex concession and, as such, it was difficult for businesses to predict the benefit they could be entitled to.

      The Cutler Review also came to the conclusion that the addition 175 per cent concession did not materially influence business attitudes to the conduct of R & D activities and, as such, provided little or no incentive for companies to undertake additional R & D activities. In recognition of Cutler’s findings, the 175 per cent premium concession no longer forms part of the Government’s innovation policy.

      The other major change alluded to in the Budget is that the eligibility criteria for the R & D tax credit will be ‘tightened up’ to ensure that only genuine R & D receives support and that the Government’s support for innovation is better targeted. The Budget Papers indicated that the Government would release a consultation paper in mid 2009 to progress this issue further.

      Need for clarification

      One of the Government’s motivations for introducing an R & D tax credit system was to bring clarity and transparency to what is currently a very complex program of R & D concessions. By omitting some basic details as to how the Government intends to administer the program, many companies will be confused as to whether they are eligible to make a claim under the new program.

      Of particular concern is the issue of how non-refundable tax credits are to be treated in the hands of loss making businesses. If, for example, there is no facility to carry unused non-refundable tax credits forward (to be credited against future tax liabilities), a significant number of Australian businesses will have no ability to access the Government’s key innovation incentive.

      The current difficult economic conditions are likely to put some successful Australian businesses into temporary loss positions and, unless non-refundable R & D tax credits can be carried forward, many businesses will be denied the benefits of this initiative when they most need it. As such, we believe the most pressing issue arising from the announced changes is the need for the Government to provide further clarification on the ability for companies in tax loss situations to carry forward the R & D tax credits.

      What next?

      Given that the changes to the current R & D incentive program will not take effect until 1 July 2010, this provides companies with an excellent opportunity to start thinking strategically about maximising the benefits associated with their R & D spend. For example, companies with increasing levels of R & D expenditure may wish to bring R & D spending forward, in order to take advantage of the 175 per cent premium concession while it is still available.

      Companies that would benefit from the increased incentives offered under the new changes may investigate their ability to hold off incurring R & D expenditure until the new scheme takes effect. Also, companies would be prudent to consider whether there may be scope to legitimately maximise their R & D claims prior to the tightening of the definition of R & D activities.

      It is encouraging that the government is seeking industry consultation with respect to the redefinition of R & D from a taxation perspective. But it is essential the R & D tax credit scheme remains focused on incentivicing businesses to achieve commercially focused outcomes.

      Tracey Murray
      My Business July 2009


      Previous Next