#Australia Archives - Page 2 of 3 - Law firm Finance Business Service: offshore registration, tax planning, legal services

Australia increases the middle tax bracket

Published: Sergey Panov | 06.09.2016 |

The Australian government says taxpayers will benefit from AUD7,000 (USD5,303), increase the "middle income" tax category for several weeks. The government introduced the first of September to income tax benefit in 2016. It provides for the implementation of the budget 2016 proposal to increase the threshold for the tax rate to 37 percent compared to AUD80,000 to AUD87,000. According to Treasurer Scott Morrison, "This will prevent about 500,000 taxpayers who are at a high 37 percent marginal tax rate. The reform will apply retroactively from 1 July 2016 "As soon as the law will change, people will get every dollar of their personal income tax benefits retroactively from July 1, 2016." This could mean more return for some. Earlier, the Australian Tax Office (ATO) has confirmed that the government will release a new Pay As You Go (SPOD) tax at the source of payment to reflect changes made to the tax benefits of the law on the income statement. As a result, on October 1, employers will be required to reduce the amount of tax on hold for affected taxpayers. If the tax overpaid by that date will be returned to the ATO in the assessment after the 2016-17 financial year. Author:...

Australia claims new tax code frameworks

Published: Sergey Panov | 25.08.2016 | news

Australian Tax Organization (ATO) made available a new voluntary tax transparency code (TTC) a range of principal and minimal standards for middle and big companies. The Tax Code was developed by the Board of Taxes and Duties, and must be entered ATO. Adoption of this Code is voluntary and is intended to complement existing measures of tax transparency in Australia. Within the scope of the tax code, companies are encouraged to be more transparent, especially in terms of their international tax affairs, in order to improve the public's understanding of how they comply with the tax laws of Australia. The minimum level of information required in accordance with the tax code depends on the size of the business. A "medium business" is a business with Australian Code aggregate turnover of at least 100 million Australian dollars, but less than 500 million Australian dollars. A "big business" has aggregated TTC Australian turnover of 500 million Australian dollars, or more. Companies can choose to meet the minimum standards of the Tax Code by publishing an improved disclosure of tax information in their general purpose financial statements, taxes paid reports or other documents; no...

Australian Tax Department warns about false deductions

Published: Sergey Panov | 17.08.2016 | Без категории

The Australian Tax Organization (ATO) warns taxpayers about false deductions bounded with job and remind employee about using a new checking regime in real time deductions and about tax declarations electronically. Australian confirm that more than AUD21bn (USD16.2bn) it’s a disbursements connected with work in every year. Assistant Commissioner Graham Whyte said that ATO see mistakes when the same time sum if individual disbursements not so huge but in general amount it has bigger meaning. Whyte also explained that ATO would use efforts against tax agents who make returns more essential and advice to taxpayers that they need to be sure that their agents are registered. ATO in this year go into force checks of deductions in real time for tax returns in filed electronically. Whyte said: "If your claims essentially higher than any other in the same occupation with the same income in that case will be some notification and it need to pay attention on this and check it out." This new process only need to help you to check your own returns. Whyte recommended to taxpayers inquire according to three rules: "First, be sure that you didn't spent this money and it wasn't return;...

Australia has made prejudice for a big corporation

Published: Sergey Panov | 11.08.2016 | Без категории

Australian Tax Organization announced a range of alerts for taxpayers that bi companies will be caution in use tax avoidance system. The firs alert as to agreement, where Australian consolidation group all the time use offshore constitutions, which are in inner operation. Deputy Commissioner Jeremy Hirschhorn said: "With help of this mechanism their true income can be low and in that fact the take-outs will be incorrect. "Taxpayers must provide returned taxable income properly, because it reflects the economic substance and significance of the operations carried out under the principle of arm's length. ATO in the present time investigate the cases when this mechanism and also structure in the answer for multinationals against Tax Avoidance Law which had made to increase tax for goods and services. ATO in a similar way to warn against deliberate calculation of debt capital for the purposes of the thin capitalization rules. Conza said: "In some cases, taxpayers are not able to include the cost of debt interest, which has been treated as equity for accounting purposes of debt capital As a result, adjusted average debt of the taxpayer understated, allowing them to...

Turnbull supports Australian-British free trade deal

Published: Sergey Panov | 26.07.2016 |

Malcolm Turnbull, Australian Prime Minister, said that the ministers should «start work» on a new trade agreements with the United Kingdom. Turnbull told reporters that he talked with the new Prime Minister of the United Kingdom, Theresa May, to congratulate her with the new appointment. He also confirmed that they were discussing a free trade agreementand and said that he looked forward to negotiations between the Australian and British trade ministers, which wiil be held in the near future. Turnbull said that Australia's trade agreement with the Great Britain «will certainly also with the European Community». He added that in the case of the UK’s out of the European Union, Australia will need to «negotiate by direct agreements with the UK». «We need to resolve this issue quickly. Of course, England will not leave the EU for several years, this procedure will take some time, that is, anyway, we will have to wait, but we already need to work on a new trade agreement between the United Kingdom and Australia and in fact the British will have to take over this work with many other countries, including the rest of the European community», Turnbull said. ...

Australia provides “sharing economy” tax

Published: Sergey Panov | 20.07.2016 |

Australian tax organization (ATO) said that they are worrying about people who earns money with sharing economy can't understand that they need to announce this income to them tax declarative. Assistant Commissioner Graham Whyte said: "sharing economy changed a lot of things we do but the definition of ATO didn't change. In sharing economy buyers and sailors are connected with facilitator who usually work through application or web site." "If you earns money from casual earning or providing services such as using common tasks, transporting passengers through things like ride-sourcing, or renting a room or house, you need to count this like declare income." "It's different a little if good you introduce or your activity you acting through sharing economy site or another stage acting like hobby or recreation activity. The amount you paid can not be countable income. You can check this on ATO site for taking some information about how to solve this problem." Due to Whyte words most of the people who take part in sharing economy will have right to demand deductions if they are declaring income. According to them activities, some taxpayers must register and pay out for goods and...

Australia Explains New Digital Tax Regime

Published: Sergey Panov | 15.06.2016 |

The Australian Taxation Office (ATO) has issued guidance on a new law that will apply the goods and services tax (GST) to international sales of services and digital products from July 1, 2017. This change will touch a wide range of goods including streaming and downloading films, music, applications, games and e-book and also architectural and legal services. The seller of digital products and services for Australian customers need to register for GTS witj ATO if there sales during 12 months will AUD75,000 or more. After registration they need to report with minimal proof of identity, lodge and pay GST and will not need to provide a a tax invoice or adjustment note to their customers. The GST rate in Australia is 10 percent. As the ATO explained, "1/11th of the amount you charge for sales of digital products or services to Australian consumers will be the GST amount you must pay." Australian consumers are Australian residents who are not registered for GST. ATO says that sallers can The ATO said that sellers can comply with the new rules. It added that obtaining an Australian Business Number and statement from their customer that they are GST registered will...

Shorten said that the process of cutting income tax is difficult

Published: Sergey Panov | 02.06.2016 |

The leader of labor party, Bill Shorten has said that his party would like to reduce Australia's marginal rates of taxation, but if only the budget can afford it. Shorten was quizzed according their position at «nearly 50%» top marginal income tax rate during a doorstop interview on the campaign trail in Cairns. Shorten replied that it would be great to cut marginal rates of taxation, but you can do it only if you can pay for it. Shorten said that the Prime Minister Malcolm Turnbull were returned to Government, all earning more than AUD1m (USD726,337) a year would "get a AUD17,000 tax cut." He argued that it is a bad idea...when you will cut benefits payments for people on AUD60,000 a year." Shorten also added: "Each one percent income for the very rich people to not well-off between AUD6bn and AUD7bn a year off the bottom line Author: Sergey Panovmanaging partner Finance Business...

Australian taxation reforms

Published: Sergey Panov | 18.05.2016 |

In their pre-election debate the leaders of Australian’s main parties proposed their own positions to taxation. In his opening statement to the leaders' debate in Sydney, Malcolm Turnbull, Prime Minister of the current Coalition Government, said that he want that their tax system can support our business. In near feature the small business company tax rate will be cut from 28.5 percent to 27.5 percent from July 1, 2016. The turnover threshold for access to the rate will be increased from AUD2m (USD1.5m) to AUD10m. The unincorporated tax discount will be increased from five percent to eight percent from July 1, 2016 and hope that the discount will be increased to 16 percent on July 1, 2026. Turnbull also said that while the Government believes in lower business taxes, "paying tax is not optional." He added that it is the way how they introduce a diverted profits tax (DTP). Bill Shorten, leader of the opposition Labor Party, thinks that is not a suitable time to provide tax cuts to large companies, also he thinks that their small business has billion dollars' turnover. Also he said that someone who earns a million dollars a year, courtesy of this Government, will pay AUD17,000...

Australia, a new tax code

Published: Sergey Panov | 13.05.2016 | news

Australian Council for Taxes and Levies published its final report on the new code of tax transparency for multinational corporations. The report is divided into two parts. The first part requires a reconciliation of the accounting profit to the income tax, and income tax paid or payable on profits; identification of significant temporary and permanent differences; and taking into account the effective tax rates and global operations. Part two requires taxpayers to provide detailed information on the approach to tax strategy and management; a summary of the tax contribution to corporate taxes; as well as information on international transactions. According to the report, "big business" with a turnover of more than AUD500 million. Should take both parts, while "medium business" with a turnover of at least AUD100 million but less than 500 million should adopt only the first part. The report highlights that the new tax code in its current form refers to companies and other entities that are considered for the purposes of Australian tax. Other organizations such as foundations, pension trusts and partnerships may voluntarily adopt a code if desired. Finally, the report states...

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