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With property valuations tax, make sure you get an appropriate estimation

Not all taxpayers may be aware of how the use of estimates can impact their annual tax bill. Estimates are most commonly used in apportioning expenses between private and business use.  More importantly however is the use of valuations to estimate the cost of transactions that are not arm’s-length or when no actual cash changes

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ATO crowdfunding guidance raises questions over gratuities, specialty donations

With the Uber-GST stoush earlier this year mostly settled, the Tax Office has offered an olive branch to another high-profile disruptive economy in the form of provisional guidance that promises things will change if they need to. Historically the Tax Office’s stance on crowdfunding has been narrow but definitive. Late last year, the regulator said

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Payday lending – Be wary!

Payday loans, so called because they are meant to tide a person over until their next pay packet, have proliferated over recent times — and appear to be a permanent pothole in the financial landscape that can trip up the financially vulnerable in desperate times. Payday lending – Be wary! The lenders issue small amounts of

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The Tax Office has completely changed its documentation

Over the last few months a lucky bunch of taxpayers road-tested a new suite of paper-based ATO correspondence letters at the regulator’s Co-Design Centre in Canberra. The crash-test results were favourable, so now we can reveal what you’ll get in an envelope from the Tax Office going forward. The Tax Office has completely changed its

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Bank deposit levy dumped

A controversial bank deposit tax proposal has been dumped by federal government following criticisms the tax measure would not encourage bank customers to use wealth creation products. Bank deposit levy dumped. Prime Minister Tony Abbott said the levy was a misguided tax on savings accounts rather than the economic safeguard protocol Labor originally intended. “The

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How your work-related car expense logbook should actually look

In a tax world where proof is the taxpayer’s burden, “show me” is a typical response from the Tax Office.  So when it comes to cars, what do you need to show? If you chose to use the logbook method to claim your car expenses, you obviously need a logbook.  This doesn’t have to be

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R&D tax incentive claims are being scutinised

The Tax Office warns that it is working closely with AusIndustry to identify taxpayers involved in aggressive R&D Tax Incentive arrangements. It says some claims made for the R&D incentive have been negligent on the compliance requirements generally expected when making a claim, with some other instances even bordering on tax avoidance and fraud. The

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Tax Office videos explain some work related expense claims

Have you been slow off the mark and still haven’t lodged your income tax return yet (or even better, made an appointment with your tax agent)? It’s already September, so you’d better get cracking as the Tax Office expects all returns to be lodged by October 31 — although this is another reason why it’s

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The Tax Office asked small business how it can help: Here’s what you told it

The Tax Commissioner, Chris Jordan, spoke at the annual National Small Business Summit a few weeks ago, fulfilling a commitment to return a year before. In between these engagements, Jordan’s staff were out and about across the country consulting thousands of small businesses owners, getting feedback and input from each one about the Tax Office’s

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Tax Office confirms Uber drivers to pay GST

Embattled ride-sharing service Uber this week said it will challenge new guidance released by the Australian Taxation Office (ATO) that its drivers must collect and pay GST. GST on Uber drivers makes sense. Uber believes its ‘driver-partners’ are being unfairly treated by the ATO because other “sharing economy” services like Airbnb have not been singled

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