Info base

Info Base

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

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  • INFO BASE

    • Resources

      • Individuals

          Residents: Personal tax rates and thresholds

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

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          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.   

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          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…

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          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…

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      • 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…

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      • 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…

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          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…

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      • 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…

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          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•…

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          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…

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          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…

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          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…

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          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…

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          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…

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      • 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…

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          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…

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      • 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…

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      • 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…

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          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…

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          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…

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          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,…

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          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…

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      • 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…

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      • 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…

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          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…

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          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…

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          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…

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      Beat the cover charge

      The strategy: To buy life insurance through my super fund.

      Don’t I already do that? Most public super funds offer insurance – with some, it’s compulsory – but many investors still hold their life insurance outside super. Andrew Lawless, MLC’s head of technical services, says changes during the past couple of years to the super system have made it both attractive to hold both life and disability insurance through super.

      The abolition of reasonable benefit limits means there is now no limit on how much insurance you can hold in super; those with terminal illnesses can now be paid their super (including insurance benefits) tax-free; and the treatment of total and permanent disability (TPD) and income protection insurance has become more tax-effective.

      But why would I want to buy my insurance through my super fund? Lawless says life and TPD insurance premiums are normally not-tax deductible but if you buy your life insurance through your super, you can effectively pay with pre-tax dollars. If you are eligible to salary sacrifice or claim a deduction on your super contributions, the money contributed to pay for your insurance is before tax. Your super fund would normally pay 15 per cent tax on these contributions but because it can claim a tax deduction for the insurance premium, that offsets the contribution tax.

      Lawless uses the example of Sarah, aged 40, who is self-employed and on the 41.5 per cent marginal tax rate. She needs $1 million of life cover, which costs $1379 in the first year. If she pays for the insurance outside super she will pay the full amount with after-tax dollars. But if Sarah made a concessional contribution of $1379 to super to cover the insurance cost, Lawless says she would be eligible for a tax deduction, reducing her tax bill by $572. The after-tax cost of the insurance would be reduced to $807.

      Interestingly, Lawless found that if Sarah had already used up the $50,000 she is allowed in concessional super contributions, she’d still be better off contributing the extra money to fund her life insurance premiums. She would be hit with penalty tax of 31.5 per cent on the extra $1379 contributed but the after-tax cost of the insurance would still be $138 less than if she had bought it herself.

      Don’t my beneficiaries get hit with tax if I hold my insurance inside super?  Death benefits paid to dependants – such as your spouse and minor children – can be paid out tax-free. If you want to leave the money to non-dependants, such as adult children, the payout will be taxed at 16.5 per cent or 31.5 per cent. (Lawless says the “future service portion” of your benefit – that is, the portion relating to the period between age 65 and when you die – will be regarded as an “untaxed component” of the death benefit and attract the higher 31.5 per cent tax rate). But he says it is generally cheaper to “gross up” or increase these taxes than to buy the insurance outside super from after tax dollars. To ensure the insurance is paid to the right person, you should lodge a binding nomination with your super fund and ensure it is updated as required.

      So how does holding disability insurance through super help? Like life insurance, TPD insurance is not tax deductible if you buy it yourself, so it’s more tax effective to hold it through your super fund. No tax is payable on TPD benefits received from age 60 and while some tax will be payable before 60, Lawless says it’s again cheaper to simply gross up the insurance benefit to cover the tax than to buy the insurance outside super.

      The thing to watch with TPD, Lawless warns, is the definition of disability. Some policies pay out if you are unable to work in your own profession, while others have a broader definition of disability and will pay out only if you are unable to work at all.

      If you prefer the own occupation definition, holding TPD through your super fund may not be advisable. To pay the money directly to you, the trustee must confirm that you have meet a condition of release – such as reaching your preservation age (55) or becoming permanently incapacitated. If you are unable to work only in your profession, you may not satisfy the permanent incapacity test, which would mean your payout is locked in super until you reach retirement age.

      Instead, Lawless says, you should buy a “connected” policy, where the life cover is provided through super and the TPD outside but you still get a discount for having both.

      Income protection is tax deductible both inside and out super but holding it within super became more attractive last year, when the Tax Office announced it would allow a full deduction for premiums. Previously it only allowed deductions for two years’ worth of income payments.

      Lawless says income protection benefits can be paid out of your super funds as an ongoing income stream and will be taxed as income in your hands – exactly as if you had bought the policy yourself.

      By Annette Sampson, 24 September 2008
      Money, Sydney Morning Herald


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