deduction

A deduction for ‘doing tax’? Not quite…

  A point of clarification about an item in our last eNewsletter. In our last eNewsletter we wrote about getting a tax deduction for managing tax affairs (this was titled ‘A strategy to increase your client’s deductions for simply lodging their tax’, but this has since been taken down*). The section that gives you this

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A gift can have different tax outcomes depending on the recipient

  Gifts provided to employees or their associates will typically constitute a property fringe benefit and therefore are subject to FBT unless the minor benefit exemption applies (any item valued at $300 or less is exempt from FBT). And while gifts provided to clients are outside of the FBT rules, they may be deductible as

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Deductions for donations — up to a point

  Most taxpayers are aware that donations of $2 or more are deductible, and there is flexibility in the rules around donating to emergency relief bodies in that no receipt is required if giving less than $10 (so called “bucket” donations). For taxpayers to be able to claim a tax deduction for a donation or

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Interest deductibility after income-producing activity ceases

  An issue that sometimes arises for business owners is whether interest expenses incurred on borrowed funds used in a business remain deductible after the business’s income earning activities have ceased. As a general rule, in order for interest expenses to be deductible in the relevant income year, a taxpayer is generally required to demonstrate

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A commonly forgotten tax deduction: Association fees

  A commonly forgotten tax deduction is for subscription or membership fees to an association or union, which affects many professionals, business or trades people who will probably be members of some sort of association.  See taxation ruling TR 2000/7. Broadly, the test for deductibility under the rules is whether the payment is an outgoing

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