hartmanncox

EOFY 2026

Tue, 02 Jun 2026 00:16:30 GMT

Back again for 2026 and EOY is almost here, a few quick tasks to keep it rolling over smoothly

While there is a lot of planning that we can do together at any point over the year, there are always some quick tasks that are date sensitive and need to happen prior to the end of the Financial Year on 30 June.

Here are a few considerations.

Important Note

We have seen an increase in scam activity. Please be vigilant and never give out any personal information requested on a phone call or email unless you have verified the ID of the caller/sender. If in doubt have them call us!

For Business

Do you have any big jobs on? Consider delaying the invoice until July for an extra year of cashflow.
Are there any invoices that have turned bad? While this isn't ideal, you may as well write them off before you have to pay tax on these. This can also apply to deposits on jobs in some circumstances
Is anything on the asset/expense shopping list in the next few months, June is a great time to buy up. Be it for Materials or Machines or Tech. Anything that is under $20,000 can be written off immediately. It is likely the $20,000 limit will be carried into next year, but we haven't seen that legislated yet.
Time to finalise the Payroll.
If any staff have worked well for a bonus, get that tax deduction by paying before the end of the month.
Once everyone is paid the Finalised STP reporting can be submitted.
Pay outstanding super early, it must clear the superfund before 30 June (which falls on a weekend this year). To be safe allow at least a week.
If you have any available cashflow, consider topping up your own personal superannuation.
ATO is increasingly active in superannuation audits of employers, please ensure that super is paid by the due date, no later than 28 days following the quarter end.
If you are in business in certain industries engaging independent contractors, you will need to lodge a Taxable Payments Report with the ATO.
These industries are Building and Construction, Cleaning, Courier, Road Freight, IT, and Security and Surveillance.
TPAR ATO Link

For Individuals

Deductions! If you have upcoming work costs, June is a great time to buy. If you wait until July, then the tax deduction is a whole extra year away. Start to put your mind back to what you have purchased over the year, have them ready for your tax return. If in doubt to it being work related, always ask, can't hurt to try.
If you have any available cash, consider topping up your own personal superannuation. It's a great tax deduction while building future retirement wealth.
If you are considering selling any investments in property or shares, be careful that the time that you are taxed is the contract date, not the date you receive the money.
If you are looking to make new investments, please bring it up with us, we can always help in terms of structuring and gearing.

2025 Checklist

Federal Budget 2026-27: Key Announcements

Wed, 13 May 2026 08:57:01 GMT

Key Budget tax announcements

Before we take any drastic action, it is important to wait for the legislation to be drafted and then passed. There is no major change for the 2026 or 2027 tax assessments. July 2027 and 2028 is when the changes will start. Here is a quick list of the announcements relevant to taxation and our thoughts.

Capital gains tax reform

From 1 July 2027, the 50% capital gains tax discount (which was introduced back in 1999) will be replaced by cost base indexation for assets held for more than 12 months, with a 30% minimum tax imposed on most net capital gains.

All CGT assets – including pre-1985 CGT assets – held by individuals, trusts and partnerships are affected by these changes. However, transitional arrangements mean the reforms only apply to gains accruing on or after 1 July 2027. Gains on pre-1985 assets accrued before 1 July 2027 will remain CGT exempt.

Investors in new residential properties will be able to choose either the 50% CGT discount, or cost base indexation and the minimum tax.

These changes are significant and CGT across all investments will increase in most circumstances with the exception of 'new' property. Nothing changes until July 2027, what is most important is that investments at that date are valued for future calculations.

Negative gearing curbed

From 1 July 2027, losses related to established residential investment properties purchased from today onwards will only be deductible against rental income or capital gains from residential property. Excess losses will be carried forward for offset against residential property income in future years. This change applies to individuals, partnerships, companies and most trusts. Superannuation funds, including SMSFs, are excluded from the changes.

Investors in established residential properties acquired yesterday and earlier can continue to apply the current negative gearing rules until the property is sold. Properties purchased between announcement and 30 June 2027 may be negatively geared during this period, but not from 1 July 2027.

The date of purchase is different depending on the state but usually the 'Contract" date or "Exchange" Date is the operative date.

A specific carve out is included for investments in eligible new builds, which can continue to be negatively geared before and after 1 July 2027 (i.e. current negative gearing rules remain in place).

Individuals

A new, permanent Working Australians Tax Offset of $250 will apply from 1 July 2027, available to those who derive income from work, such as employees and sole traders.

From 1 July 2026, Australians who have low work-related deductions will be able to claim a fixed $1,000 in tax deductions in their 2027 tax return. Importantly, there will be no substantiation requirements to claim the deduction. Individuals with work-related expenses over $1,000, or who earn only business or investment income, can continue to claim their deductions in the usual way.

While not a new Federal Budget measure, already-legislated changes in personal tax rates will shortly come into effect. From 1 July 2026, the tax rate that applies to taxable income between $18,201 and $45,000 will reduce from 16% to 15%, falling further to 14% from 1 July 2027.

Instant asset write-off now permanent

From 1 July 2026, the instant asset write-off is permanently extended to $20,000 for small businesses with turnover up to $10 million. Assets valued at $20,000 or more can continue to be placed into the small business simplified depreciation pool.

Loss relief for companies

From 1 July 2026, companies with aggregated annual global turnover of less than $1 billion will be able to carry back a tax loss and offset it against tax paid up to two years earlier. This change applies to revenue losses only and will be limited by a company’s franking account balance.

That is you can have a refund up to the total of taxes the company has paid in the two preceding years.

A nice addition, we expect it to operate in the same fashion it did for a few years during COVID.

Small start-up companies will also be able to access ‘loss refundability’. From 1 July 2028, start‑up companies with aggregated annual turnover of less than $10 million that generate a tax loss in their first two years of operation will be able to utilise the loss to generate a refundable tax offset. However, the offset will be limited to the value of fringe benefits tax and withholding tax paid on Australian employee wages in the loss year.

Minimum tax on discretionary trusts

From 1 July 2028, and subject to certain exceptions, trustees will pay a minimum tax of 30% on the taxable income of discretionary trusts. Beneficiaries, other than corporate beneficiaries, will receive non-refundable credits for the tax payable by the trustee.

This change does not apply to other types of trusts (e.g. fixed and widely held trusts (including fixed testamentary trusts), complying superannuation funds, special disability trusts, deceased estates and charitable trusts).

Expanded rollover relief will be provided for three years from 1 July 2027 to support small businesses and others that wish to restructure out of discretionary trusts into another entity type, such as a company or a fixed trust.

We stress nothing changes for over two years. This is the biggest change, and it may change the effective use of Family Trusts. Corporate Beneficiaries are now set for a significant increase in tax and unworkable. Once the legislation is released, we will consider options and if a restructure is recommended.

While a Trust had many advantages over a Company in the past, the gap has narrowed significantly, if you looking to make new investments, considering your personal circumstances, our advice would consider buying in your own name or a trust or a company.

Fringe Benefits Tax and EVs

From 1 April 2029, a permanent 25% discount on fringe benefits tax (FBT) will be available for all electric cars valued up to and including the fuel‑efficient luxury car tax threshold.

All electric cars valued up to and including $75,000 that are provided before 1 April 2029 continue to be eligible for a 100% discount on FBT.

Electric cars valued above $75,000 and up to and including the fuel‑efficient luxury car tax threshold that are provided between 1 April 2027 and 1 April 2029 will be eligible for a 25% discount on FBT.

This change is expected, and similar to the phase out of Hybrids last year. The limit reducing to $75,000 is new but that is all. Purchases after next April 2029 will have a significant increase in FBT costs. If buying over $75,000 you will be required to keep a logbook on the vehicle.

Administration

Expansion of the ATO’s pilot of ‘dynamic’ pay as you go (PAYG) instalment calculations, with expanded access to monthly payments. From 1 July 2027, small and medium businesses can opt in to reporting and paying PAYG instalments monthly and to using an ATO-approved calculation embedded in accounting software to calculate and vary their instalments.

Taxpayers with a demonstrated history of non‑compliance will also be required to report and pay PAYG instalments monthly.

The Government has also confirmed that it will work with the states and territories to harmonise payroll tax administrative arrangements.

Payday super. Are you Ready?

Mon, 11 May 2026 06:34:33 GMT

Preparing for Payday Super

Employees – No action required. Your super entitlements are now required to be paid to your nominated fund more regularly.

Employers - From 1 July 2026, employers must pay super at the same time as salary and wages, at least monthly , replacing the current quarterly system. Contributions must reach employees’ super funds within seven business days of payday, which includes processing through a clearing house.

If contributions are not made on time, in full and to the correct fund, the super guarantee charge (SGC) will apply. SGC includes penalties and interest, and all payments, including the super contributions, will be non-deductible.

From 1 July 2026 the Late Payment Offset will also be removed. This means an employer who pays superannuation late, will still be liable for the full SGC and penalties to the ATO, with no allowance for the late payment made. Effectively having doubled the cost.

With clearing houses taking up to seven days to process and the penalties for late payments as severe as they are, we recommend that your super is paid and processed on payday at the same time.

Super will be calculated at 12% of ‘qualifying earnings’, a new term that incorporates and expands on the previous concept of ordinary time earnings.

Plan your transition now:

Review cash flow to manage more frequent payments.
Make sure your payroll software is PayDay Super compliant that can process contributions each pay cycle.
We recommend Xero & MYOB as our payroll software providers. Alternatively, Easy Business is a great option for those requiring a simpler payroll only solution.

For any business that used the ATO Small Business Superannuation Clearing House, remember that it will close permanently from 1 July 2026 as part of the Payday Super reforms.

From 1 July 2026, Payday Super is mandatory. When will you move to Payday Super, you can start now.

Any questions, please let us know.

EOFY 2025

Mon, 07 Jul 2025 07:13:55 GMT

Back again for 2025 and EOY is almost here, a few quick tasks to keep it rolling over smoothly

Here are a few considerations.

Important Note

For Business

Do you have any big jobs on? Consider delaying the invoice until July for an extra year of cashflow.
Are there any invoices that have turned bad? While this isn't ideal, you may as well write them off before you have to pay tax on these. This can also apply to deposits on jobs in some circumstances
Is anything on the asset/expense shopping list in the next few months, June is a great time to buy up. Be it for Materials or Machines or Tech. Anything that is under $20,000 can be written off immediately. It is likely the $20,000 limit will be carried into next year, but we haven't seen that legislated yet.
Time to finalise the Payroll.
If any staff have worked well for a bonus, get that tax deduction by paying before the end of the month.
Once everyone is paid the Finalised STP reporting can be submitted.
Pay outstanding super early, it must clear the superfund before 30 June (which falls on a weekend this year). To be safe allow at least a week.
If you have any available cashflow, consider topping up your own personal superannuation.
ATO is increasingly active in superannuation audits of employers, please ensure that super is paid by the due date, no later than 28 days following the quarter end.
If you are in business in certain industries engaging independent contractors, you will need to lodge a Taxable Payments Report with the ATO.
These industries are Building and Construction, Cleaning, Courier, Road Freight, IT, and Security and Surveillance.
TPAR ATO Link

For Individuals

Deductions! If you have upcoming work costs, June is a great time to buy. If you wait until July, then the tax deduction is a whole extra year away. Start to put your mind back to what you have purchased over the year, have them ready for your tax return. If in doubt to it being work related, always ask, can't hurt to try.
If you have any available cash, consider topping up your own personal superannuation. It's a great tax deduction while building future retirement wealth.
If you are considering selling any investments in property or shares, be careful that the time that you are taxed is the contract date, not the date you receive the money.
If you are looking to make new investments, please bring it up with us, we can always help in terms of structuring and gearing.

2025 Checklist

Payday super: what could it mean for your small business?

troy@hartmanncox.com.au (Troy Johnson) — Mon, 07 Jul 2025 07:07:09 GMT

Back in 2023, the Australian Government announced that from 1 July 2026, employers will be required to pay their employees’ super at the same time as their salary and wages.

‘Payday super’ will move payment of super from the quarterly cycle that businesses are used to, and switch it to a process where employees’ super will be paid within seven days of their usual payment cycle – whether weekly, fortnightly or monthly.

But why the change? And what are the potential effects of moving to payday super?

Impact of payday super for your employees

From 1 July 2026, as an employer, you’ll be required to pay your employees’ super at the same time as their salary and wages.

This change will make it easier for employees to keep track of the super and will boost their overall super fund at retirement. It will also remove the problem of casual workers habitually missing out on quarterly super payments under the current system.

By switching to payday super, a 25-year-old median income earner currently receiving their super quarterly and wages fortnightly could be around $6,000 or 1.5 per cent better off at retirement.

Impact of payday super for your business

The proposed payday super legislation is not yet law, and a consultation was held to gather feedback from Australian business owners. This consultation closed in April 2025.

Moving to a super system where employer’s contributions are made in line with the employees regular payment cycle may not seem like a huge shift. But moving away from the current quarterly system could have a significant effect on your administration time and cashflow.

Let’s look at the potential downsides of payroll super for your business:

An increased administrative burden

Paying superannuation with each pay cycle, rather than quarterly, will increase the frequency of your super payments. The added frequency of super payments will add to your administrative and payroll workload, stretching the already limited resources of your small business.

Unrealistic seven-day super payment timeframe

Small business groups are worried about the proposed seven-day timeframe for super contributions to reach employees' funds. Many feel that administrative pressures, as well as banking and clearing house processes, may make this target unrealistic.

Potential for late-payment penalties

The bill states that employers will be penalised for late payments, even if the delays are outside of their control. External issues with super funds or clearing houses could create a risk of unfair penalties that are beyond your control, as the business owner.

Closure of the Small Business Superannuation Clearing House

The government plans to close the Small Business Superannuation Clearing House from 1 July 2026. This free online service for managing your super contributions is a vital resource for small employers. Closing it down has been met with a serious backlash from small businesses, with many wondering how their business will manage its superannuation commitments

Talk to us about getting your payroll system ready for payday super

With Labor now re-elected as the governing party, it’s likely that the payday super bill will become law and that the legislation will become mandatory.

If your payroll process and software systems are lagging behind the requirements for payday super, now’s the time to talk to our team and to update your payroll procedures.

What makes a business expense tax deductible?

troy@hartmanncox.com.au (Troy Johnson) — Mon, 07 Jul 2025 07:05:28 GMT

You’re a business owner, so you’ll incur a fair number of business expenses over the course of your average week. Costs for client entertaining, petrol to put in your car and toner for the office printer to name just a few.

But are any of these expenses deductible against your tax bill?

The Australian Taxation Office (ATO) recently published some wild claims that business owners had attempted to make when claiming for business-related expenses:

Data-matching program for rental properties

Tue, 01 Apr 2025 04:39:30 GMT

Own an investment property? The ATO is undertaking a data-matching program with property management software providers to check if reporting obligations are being met.

Recently, the Australian Taxation Office announced that they are undertaking a data-matching program with property management software providers. These are the rental statements that you receive on a regular basis from your real estate agent for your rental property.

The data-matching program is going back to the 2018–19 financial year and will continue through to the 2025–26 financial year.

The main focus of this data-matching program is to:

identify and educate individuals and businesses who may not be lodging their income tax returns, not correctly reporting assessable income from a rental property, not correctly reporting associated rental deductions and not complying with capital gains tax obligations for properties used to derive rental income
gain insights to help develop and implement strategies, which may include educational or compliance activities for individuals and businesses who lease or let real property, and
promote voluntary compliance and increase community confidence in the integrity of the tax and superannuation systems.

Our focus is to ensure that you are getting the best possible tax outcome. However, if you review your past records and notice that you made an error, please let us know. In particular, look out for:

any year that you forgot to include rental income if you held more than one property
situations where the rental income declared in tax returns are not at the same proportion as the ownership documents, and
you may have claimed an outright deduction for an asset that may have needed to be claimed over multiple years.

If you have any questions about this data-matching program or would like to review your arrangements, please contact our office.

Lifestyle Assets Data-matching Program

troy@hartmanncox.com.au (Troy Johnson) — Tue, 01 Apr 2025 04:37:19 GMT

Own a luxury boat? Do you buy and sell fine art? The ATO is collecting this information through insurance policies to ensure you are meeting your tax obligations.

The Australian Taxation Office (ATO) has announced that its data-matching program for lifestyle assets information obtained from insurance providers will continue for 2023–24 to 2025–26

Data items collected include policy details for assets covered by the program and associated identification details (such as names, addresses, phone numbers, dates of birth, ABNs and email addresses). This information will be matched against ATO lodgments to improve their tax compliance risk profiling and to provide a holistic view of your assets and accumulated wealth.

The lifestyle assets data-matching program allows the ATO to identify and address taxation risks, including omitted or incorrect reporting of income, capital gains, GST credits or fringe benefits tax. The program will also address inappropriate use of assets by self-managed superannuation funds (SMSFs), for example, where funds may be acquiring assets but applying them for the present-day benefit of members or other related parties.

Client information and policy details will be collected in relation to the following classes of assets:

Caravans and motorhomes valued from $65,000
Motor vehicles (including cars, trucks and motorcycles) valued from $65,000
Thoroughbred horses valued from $65,000
Fine art valued from $100,000 (per item)
Marine vessels valued from $100,000
Aircraft valued from $150,000.

You should be aware that capital gains tax may apply in relation to certain personal use assets or collectables. Where an asset purchased through your business is applied for personal use, liability for fringe benefits tax may arise. Special rules also prohibit personal use assets and collectables held by your SMSF from being used or leased by a related party.

If you have any questions about this data-matching program or would like to review your arrangements, please contact our office.

Working From Home

Mon, 31 Mar 2025 01:13:18 GMT

Working from home deduction from 1 July 2022

The Australian Taxation Office (ATO) has issued new guidelines to help you in making a claim for running expenses while working from home from 1 July 2022.

Under this guidance, the ATO will allow you to make a claim of 67 cents per hour for time spent working from home. This claim is a simplified method which includes expenses for:

energy expenses (electricity and/or gas) for lighting, heating/cooling and electronic items used while working from home
internet expenses
mobile and/or home telephone expenses, and
stationery and computer consumables.

This amount is different from the previous couple of years where an amount of 80 cents per hour was available if you were required to work from home due to COVID-19.

However, under the revised fixed-rate method you can now make a separate claim for depreciation on furniture and equipment that you use when you work from home.

In order to make this claim, you will need to keep a diary of the days you work from home. This can be backed up by evidence such as your timesheet or a roster.

If you require any more information about calculating this deduction, please let us know and we will be happy to assist you further.

EOFY 2024

Mon, 31 Mar 2025 01:10:09 GMT

2024 EOY is almost here, a few quick tasks to keep it rolling over smoothly

Here are a few considerations.

Important Note

For Business

Do you have any big jobs on? Consider delaying the invoice until July for an extra year of cashflow.
Are there any invoices that have turned bad? While this isn't ideal, you may as well write them off before you have to pay tax on these.
Is anything on the asset/expense shopping list in the next few months, June is a great time to buy up. Be it for Materials or Machines or Tech. Anything you need that is under $20,000 can be written off immediately.
Time to finalise the Payroll.
If any staff have worked well for a bonus, get that tax deduction by paying before the end of the month.
Once everyone is paid the Finalised STP reporting can be submitted.
Pay outstanding super early, it must clear the superfund before 30 June (which falls on a weekend this year). To be safe allow at least a week.
If you have any available cashflow, consider topping up your own personal superannuation.
ATO is increasingly active in superannuation audits of employers, please ensure that super is paid by the due date, no later than 28 days following the quarter end.
If you are in business in certain industries engaging independent contractors, you will need to lodge a Taxable Payments Report with the ATO.
These industries are Building and Construction, Cleaning, Courier, Road Freight, IT, and Security and Surveillance.
TPAR ATO Link

For Individuals

Deductions! If you have upcoming work costs, June is a great time to buy. If you wait until July, then the tax deduction is a whole extra year away.
If you have any available cash, consider topping up your own personal superannuation.
If you are considering selling any investments in property or shares, be careful that the time that you are taxed is the contract date, not the date you receive the money.

2024 Checklist

Moving Time

Mon, 31 Mar 2025 01:00:33 GMT

New Address - Hyper Centre Level 1 50 Sanders Street UPPER MOUNT GRAVATT

We have exciting news! We’re relocating, but don’t worry – we haven’t gone far. Our new office is just around the corner, and we’ll be up and running from our new location on Monday, the 11th .

For your convenience, there’s parking available right on the street, directly at the front door.

We’re looking forward to welcoming you to our new space! If you have any questions about the move or our location, please feel free to reach out.

ATO interest charges no longer deductible

troy@hartmanncox.com.au (Troy Johnson) — Mon, 31 Mar 2025 00:39:12 GMT

Important Tax Update: Changes to ATO Interest Deductibility Starting 1st July 2025

Effective from 1st July 2025 , the Australian Taxation Office (ATO) will no longer allow interest charges on tax debts to be tax-deductible.

This change impacts both individuals and businesses with existing or future ATO tax debts, including those on payment plans.

You will continue to have the ability to apply to request the remission of any interest payable. The ATO may remit the interest charges in circumstances where it is fair and reasonable to do so.

We strongly recommend reviewing your strategy for managing current and upcoming tax debts. At present, the ATO's General Interest Charge (GIC) rate is 11.17% annually . With the upcoming change to deductibility, you may want to consider securing finance from external parties, at lower interest rates, especially since the interest on these loans would still be tax-deductible.

We can assist you in managing your tax liabilities in a timely manner or engage with the ATO on your behalf to avoid interest and penalties.

Please contact our office if you have any queries in relation to this matter.

Make the most of the season by following these simple guidelines

nz-webmanager@wolterskluwer.com (Web Manager) — Mon, 31 Oct 2022 01:04:49 GMT

The new season is a great reason to make and keep resolutions. Whether it’s eating right or cleaning out the garage, here are some tips for making and keeping resolutions.

Make a list

Lists are great ways to stay on track. Write down some big things you want to accomplish and some smaller things, too.

Check the list regularly

Don’t forget to check in and see how you’re doing. Just because you don’t achieve the big goals right away doesn’t mean you’re not making progress.

Reward yourself

When you succeed in achieving a goal, be it a big one or a small one, make sure to pat yourself on the back.

Think positively

Positive thinking is a major factor in success. So instead of mulling over things that didn’t go quite right, remind yourself of things that did.

Keep in touch with site visitors and boost loyalty

nz-webmanager@wolterskluwer.com (Web Manager) — Mon, 31 Oct 2022 01:04:49 GMT

There are so many good reasons to communicate with site visitors. Tell them about sales and new products or update them with tips and information.

Here are some reasons to make blogging part of your regular routine.

Blogging is an easy way to engage with site visitors

Writing a blog post is easy once you get the hang of it. Posts don’t need to be long or complicated. Just write about what you know, and do your best to write well.

Show customers your personality

When you write a blog post, you can really let your personality shine through. This can be a great tool for showing your distinct personality.

Blogging is a terrific form of communication

Blogs are a great communication tool. They tend to be longer than social media posts, which gives you plenty of space for sharing insights, handy tips and more.

It’s a great way to support and boost SEO

Search engines like sites that regularly post fresh content, and a blog is a great way of doing this. With relevant metadata for every post so search engines can find your content.

Drive traffic to your site

Every time you add a new post, people who have subscribed to it will have a reason to come back to your site. If the post is a good read, they’ll share it with others, bringing even more traffic!

Blogging is free

Maintaining a blog on your site is absolutely free. You can hire bloggers if you like or assign regularly blogging tasks to everyone in your company.

A natural way to build your brand

A blog is a wonderful way to build your brand’s distinct voice. Write about issues that are related to your industry and your customers.

Tips for writing great posts that increase your site traffic

nz-webmanager@wolterskluwer.com (Web Manager) — Mon, 31 Oct 2022 01:04:48 GMT

Write about something you know. If you don’t know much about a specific topic that will interest your readers, invite an expert to write about it.

Speak to your audience

You know your audience better than anyone else, so keep them in mind as you write your blog posts. Write about things they care about. If you have a company Facebook page, look here to find topics to write about

Take a few moments to plan your post

Once you have a great idea for a post, write the first draft. Some people like to start with the title and then work on the paragraphs. Other people like to start with subtitles and go from there. Choose the method that works for you.

Don’t forget to add images

Be sure to include a few high-quality images in your blog. Images break up the text and make it more readable. They can also convey emotions or ideas that are hard to put into words.

Edit carefully before posting

Once you’re happy with the text, put it aside for a day or two, and then re-read it. You’ll probably find a few things you want to add, and a couple more that you want to remove. Have a friend or colleague look it over to make sure there are no mistakes. When your post is error-free, set it up in your blog and publish.