Tax Planning Archives - Holzworth Partners

12 Nov 2024

Understanding Negative Gearing and its Impact on the Housing Market

Negative gearing is a term commonly associated with property investment in Australia. It refers to the practice of borrowing money to purchase an investment property where the costs of owning that property—such as mortgage interest, maintenance, property management fees, and other expenses—are higher than the income generated from rent. This loss can be offset against the investor’s taxable income, reducing the amount of tax they are required to pay. Essentially, it allows property investors to

12 Nov 2024

Take Control of Your Finances with Our Personal Bookkeeping Services

By Jane Purnell

Personal Bookkeeping Managing your finances can be challenging, especially when juggling multiple investments, properties, or a busy schedule. Our personal bookkeeping services are designed to provide clarity and structure to your financial management, ensuring you stay organised and in control. Here’s an overview of how we can help: Our Process Consultation We begin by getting to know you and your financial plans. Whether you’re focusing on cash flow, investments, debt management, or saving for a

3 Oct 2024

Capital Gains Tax: when is an asset deemed to be sold, lost or destroyed?

By Mark Holzworth

To know when your liability for tax under the provisions relating to capital gains (or losses) arises, you first need to know what is considered to be a capital gains tax (CGT) event? When you dispose of an asset that is subject to CGT, it is called a CGT event. This is the point at which you make a capital gain or loss. Common disposals that will trigger a CGT event include: selling an asset,

15 May 2024

FEDERAL BUDGET SUMMARY 14 MAY 2024

By Jane Purnell

On the evening of 14 May 2024, the Government delivered what is possibly its last Budget in the current parliamentary term. The next election is expected to be held either late this year or early in 2025.Inflation, cost of living pressures, and housing all continue to dominate the fiscal landscape, impacting the lives of Australians. The key challenges addressed in this year’s Budget include:Easing cost of living and inflationary pressures,Building more houses,Strengthening Medicare and the care

8 Apr 2024

Tax Changes- What it will mean to me?

By Jane Purnell

Prime Minister Anthony Albanese has announced changes to address ongoing cost of living pressures with all 13.6 million Australian taxpayers receiving a tax cut from 1 July 2024, compared to the tax they paid in 2023-24. Now is the time to assess what it means to your hip pocket and what implications it may have for end of financial year planning as a result of the new rules, due from 1 July 2024. The Federal Government has

22 Sep 2023

Increased Funding for the Tax Office: What It Means for You

By Jane Purnell

The recent boost in funding for the tax office is set to bring about increased review activity, more ATO guidance, and expanded education campaigns. Understanding how the ATO plans to enhance tax revenue in the future is vital for your business's readiness. Here are our insights on the strategies the ATO might employ: Stricter Enforcement of Existing Laws: Expect further crackdowns based on existing legislation, such as ATO guidance on Division 7A and unpaid present

14 Jul 2023

The End of the Low and Middle Income Tax Offset (LMITO)

By Jane Purnell

Beware! Your tax refund may be significantly smaller than anticipated this year. With interest rates continuing to rise, fuel prices reaching record highs, electricity and gas costs skyrocketing, and the price of essential food items increasing, many individuals are relying on their tax refund to alleviate some of the burdens of living expenses. However, they might face disappointment. The government has implemented a significant change to the tax system this year that will exert downward

13 Jul 2023

ESG (environmental, social impact and good governance) Investing – What is it, should you do it, and how to do it?

By Jane Purnell

There is increasing talk about the type of investing which considers environmental, social impact, and good governance (ESG) factors when making investment decisions. To understand if it is all just hype or whether its an important part of the future of investment let’s explore the topic. What is it? ESG factors can include things like a businesses' carbon emissions, its labour practices, and its board diversity. There are a number of reasons why investors might

3 Jul 2023

Ensuring the Completeness of Your Tax Return for a Smooth Process

By Jane Purnell

As we approach the tax season, the Australian Taxation Office (ATO) has released a statement that they would like to remind taxpayers to exercise caution and avoid rushing the lodgement of their annual income tax return from 1 July. It is important to note that taxpayers who submit their returns before their income statement is marked as 'Tax ready' and before their other pre-fill information is received run the risk of experiencing processing delays and

14 Jun 2023

2023 TAX STRATEGIES

By Jane Purnell

Investors and Small Business Superannuation Contributions There are important issues to be aware of regarding your contributions to superannuation this year. These will affect all those under 75 years of age making contributions to their superannuation for the 2022/23 financial year. Claim a tax deduction on your after-tax contributions. From July 2017, most individuals under 75 may claim a tax deduction for superannuation contributions made from their after-tax savings. Talk to us and we can