Tax treatment of JobKeeper Payments
Broadly, JobKeeper Payments received by an employer are assessable income to the employer Likewise, the payments an employer subsequently makes to an employee that are funded (in whole or in part by the JobKeeper Payment) are generally allowable deductions to the employer. The ATO has recently issued some guidance for employers in receipt of JobKeeper […]
2020/21 Federal Budget Summary
Omnis Group Federal Budget Summary 2020/21 Key points Changes to personal income tax rates Expanding access to Small Business Tax Concessions JobMaker Hiring Credit Uncapped immediate write-off for depreciable assets Temporary loss carry back for eligible companies Reducing the compliance burden of FBT recordkeeping 1. Personal income tax changes 1.1 Changes to personal income tax […]
Superannuation guarantee rate increase update
Super Guarantee Increase Update Recently, arguments both for and against increasing the rate of compulsory superannuation guarantee (SG) have continued to be tossed around! The SG is the compulsory amount of superannuation an employer must pay into an eligible employee’s chosen super fund. The rate of SG has been frozen at 9.5% of an employee’s […]
JobKeeper audits underway
First reports of ATO audits lands one small business in debt Imagine going through all the rigmarole to apply for JobKeeper when COVID-19 restrictions were rife, only to have your application rejected months later by Tax Office auditors? That is what has now happened to one small business owner in Melbourne who took a DIY […]
SG amnesty ends 7 September 2020
Time running out for employers to apply for superannuation guarantee (SG) amnesty Catch up on past unpaid super without incurring a penalty or paying administration fees. The ATO is encouraging employers to apply for the amnesty and make payments as early as they can. Any amnesty amounts paid before 7 September 2020 are tax-deductible. For […]
JobKeeper 3.0
JobKeeper extension On 21 July 2020, the Government announced that the JobKeeper Payment (‘JKP’) would be extended until 28 March 2021 (i.e., for a further six months beyond its original end date of 27 September 2020). As a result, JKPs would now be made over two separate extension periods, being: Extension period 1 – which […]
Extension of the JobKeeper Payment
The Government is extending the JobKeeper Payment by a further 6 months to March 2021 Support will be targeted to businesses and not-for-profits that continue to be significantly impacted by the Coronavirus. The payment rate will be reduced and a lower payment rate will be introduced for those who work fewer hours. Other eligibility rules […]
1.75% increase to minimum wages
The Fair Work Commission has announced a 1.75% increase to minimum wages This will apply to all award wages. Increases to awards will start on 3 different dates for different groups of awards. See When will my award increase for information on when the awards will increase. Most employees are covered by an award. If you’re not […]
Guidance on JobKeeper reporting via STP
The ATO has issued guidance to help employers reporting eligible employees and JobKeeper top-up payments through Single Touch Payroll (STP). For each eligible employee, employers must notify the ATO: when an eligible employee started being paid JobKeeper payments; top-up payments to employees earning less than $1500 per fortnight; and when an employee is no longer […]
ATO reminder for employers – Finalise STP data for 2020
Single Touch Payroll 2020 data The ATO has issued a reminder to employers who report through Single Touch Payroll (STP) – which should be all employers, unless an exemption or deferral applies – that they will need to finalise payroll information for the 2020 income year by making a declaration. The due date for making […]
