Tips for Foreign Exchange payments and risk

The World of Foreign Exchange and International Payments can often be a minefield for SMEs. Fluctuation in the Aussie dollar, reactive rather than proactive providers and archaic processes/payment platforms all pose their own problems to today’s business owner. Below are some of the common issues business owners come across, as well as some easy to follows tips for your FX … Read More

Are you thinking of doing business overseas?

If you are thinking about doing business in an overseas market, it’s important to get the right advice structuring, set up and tax advice from the start. Did you know that we are part of Kreston International, a global network of independent accounting firms. As a member of Kreston we are able to provide a complete range of financial and … Read More

Foreign income in the ATO spotlight – the aftermath of project DO IT

If you’re an Australian resident for tax purposes, you are taxed on your worldwide income, so you must declare any foreign income in your income tax return. Foreign income includes: Foreign pensions and annuities Foreign employment income Foreign investment income Foreign business income Capital gains on overseas assets Project DO IT was an amnesty offered by the ATO to allow … Read More

BUSINESS NAMES VERSUS DOMAIN NAMES VERSUS TRADE NAMES

It is a common misconception that having a registered business name or domain name will provide a business owner with exclusive ownership of that name. There are important differences between a business name, a domain name and a trade mark. You should be aware of these differences so that you can work out which best suits your needs. Business names … Read More

Foreign buyer crackdown

  The Australian Tax Office (ATO) has ramped up its efforts to hunt down foreign buyers of Australian real estate, with the employment of 50 compliance officers who will investigate potential breaches of the law by cross checking the records of approximately 11 million people to find illegal owners. The ATO is responsible for overseeing foreign property investment and is … Read More

Australian Business Numbers ABN

An Australian Business Number ABN is an 11 digit number that identifies your business to the government and community. It is separate to your Tax File Number (TFN), but it is used for various tax and business purposes. If you are carrying on business in Australia, you must register for an ABN. The application process is done online through the … Read More

GST on Digital Products

In the 2015 Federal Budget handed down in May, new rules were announced (commencing from 1 July 2017), to impose GST on “inbound intangible consumer supplies” made to Australian consumers (popularly known as the “Netflix tax”). These new rules were aimed at collecting GST on an increasing number of online services such as music and video download and streaming supplies. … Read More

Transfer Pricing – Chevron Case

  Last month, the Australian Taxation Office won a battle with Chevron Australia Holdings Pty Limited (CAH), with the Federal Court finding that the interest rate paid by the Australian resident company to its US subsidiary was not an arm’s length rate. The case considered both the former transfer pricing rules, as well as the current rules which have applied … Read More

In the news

  The Re:think tax discussion paper was released by the Australian government last month, aiming to stimulate discussion on the future of our tax system. A key issue raised in the discussion paper is the challenge the tax system faces from changes in the global economy. Chapter 5 discusses Australia’s relatively high corporate tax rate and the fact that our … Read More

Simplifying transfer pricing record keeping

We discussed Australia’s new transfer pricing regime in our December newsletter. The Australian Taxation Office has since released administrative guidance providing small businesses some relief from the complex and costly task of preparing transfer pricing documentation. The entities that might qualify for simplified record keeping requirements: Small businesses with a turnover of less than $25 million Distributors with turnover of … Read More