From 1 July 2019, if you have a HECS/HELP debt and you earn above $45,881 you will now start having repayments deducted from your pay, starting at 1%.
Previously you were free of making repayments if your taxable income was below $51,957.
While the study loans are technically interest free, they are indexed to track CPI so your debt will increase if you don't make repayments.
In the past people used to be able to temporarily avoid making repayments by moving overseas, however that is no longer the case.
The government has made this change in response to the ballooning cost of the scheme in recent years.
From 29 April 2019 labour hire companies will have 6 months to apply for a labour hire licence as part of the new scheme being rolled out in Victoria.
After 30 October 2019 providers of labour hire services will be required to hold a licence and businesses using labour hire must use a licensed provider.
Penalties of up to $500,000 will be levied for on non compliant operators.
See below link for more information.
The ATO is phasing in a new way of reporting tax withheld from wages (PAYGW) and employee Superannuation payments. This is part of the push to increase scrutiny and compliance for employers to be held accountable for superannuation guarantee.
From 1/7/18, employers with 20 or more staff on payroll are required to use Single Touch Payroll (STP) to report PAYGW and Super obligations to the ATO in real time.
This feature will be enabled through your accounting or payroll software.
The new reporting requirements will likely be rolled out to all employers (with less than 20 staff on payroll) at a future date.
From the Sep'17 quarter onwards, the ATO has made BAS reporting a whole lot easier for businesses with a turnover under $10m.
The following pesky little items are no longer required to be reported:
With 30 June fast approaching now is the time to ensure your payroll house is in order.
Payment Summaries (also known as group certificates) are required to be sent out to all employees by 14 July. This doesn’t give you much time to work through any anomalies that may arise, especially if you have other year-end accounting duties that need to be completed.
You need to start thinking about the following:
As you can see there is a lot to be thinking about and it is a much easier (not to mention less stressful) to have these things sorted before the end of financial year.
Work out a plan, tick tasks off as you go and you will be in a good position for a nice, smooth year end.
If you’re not sure, it pays to seek advice. The last thing you want is for employees to be using the wrong figures on their tax returns.
Scott Morrison has handed down the budget for the 2017/18 and here are a few changes that are worth noting.
If you have any questions as always we are happy to have a chat.
Stamp duty will be abolished for first home buyers purchasing a property valued below $600,000, the Victorian Government says.
There is much relief to fruit growers across the country after the backpacker tax has finally been agreed upon and set at 15%.
A tax of 32.5% was initially proposed by the Coalition in September. Since then there has been considerable debate between political parties and various interest groups.
The 15% tax will come into effect from 1 January 2017.