New Fiscal Year

Some times it seems like Blink and you will miss it, and that is 2021/22 done. As always the new tax tables are being sent out to our clients and a new batch of people are getting ready to start with the software at the start of the new Financial year. Hopefully the new year will be smoother for the Australian Business world. 

Training Booster

Small Business Technology Investment Boost and Small Business Skills and Training Boost

On 29 March 2022, as part of the 2022–23 Budget, the Australian Government announced that it will support small business through the following new measures. These measures are not yet law.

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Small Business Technology Investment Boost

Small businesses (with aggregated annual turnover of less than $50 million) will be able to deduct an additional 20 per cent of the cost incurred on business expenses and depreciating assets that support their digital adoption, such as portable payment devices, cyber security systems or subscriptions to cloud based services..

Businesses may continue to deduct expenditure that is ineligible for the bonus deduction under the existing tax law. We will provide further details on eligible expenses once the law has passed.

An annual $100,000 cap will apply to each qualifying income year. Businesses can continue to deduct expenditure over $100,000 under existing law.

When the technology investment boost applies

This measure will apply to expenditure incurred in the period commencing from 7:30 pm AEDT 29 March 2022 until 30 June 2023.

How to claim the technology investment boost

For eligible expenditure incurred between 7:30 pm AEDT 29 March 2022 until 30 June 2022:

  • claim the expenditure as usual in your 2021–22 tax return, and
  • claim the additional 20% bonus deduction for this period in your 2022–23 tax return.

For eligible expenditure incurred from 1 July 2022 until 30 June 2023:

  • you can deduct the entire 120% in your 2022–23 tax return.

Small Business Skills and Training Boost

Small businesses with an aggregated annual turnover of less than $50 million will be able to deduct an additional 20% of expenditure incurred on eligible training courses provided to employees.

Businesses may continue to deduct expenditure that is ineligible for the bonus deduction in accordance with the existing tax law.

When the skills and training boost applies

This measure will apply to expenditure incurred in the period commencing from 7:30 pm AEDT 29 March 2022 until 30 June 2024.

The bonus deduction (the additional 20%) for expenditure incurred from 30 March 2022 until 30 June 2022 will be included in the following income year, 2022–23.

The bonus deduction for expenditure incurred from 1 July 2022 until 30 June 2024 will be included in the income year in which the expenditure was incurred.

How to claim the skills and training boost

For eligible expenditure incurred between 7:30 pm AEDT 29 March 2022 until 30 June 2022:

  • claim the expenditure as usual in your 2021–22 tax return, and
  • claim the additional 20% bonus deduction for this period in your 2022–23 tax return.

For eligible expenditure incurred from 1 July 2022 until 30 June 2023:

  • you can deduct the entire 120% in your 2022–23 tax return.

For eligible expenditure incurred from 1 July 2023 until 30 June 2024:

  • you can deduct the entire 120% in your 2023–24 tax return

https://www.ato.gov.au/General/New-legislation/In-detail/Direct-taxes/Income-tax-for-businesses/Small-Business-Technology-Investment-Boost-and-Small-Business-Skills-and-Training-Boost/

 

STP 2.0

We have completed over 60 STP 2.0 tests and are just waiting for confirmation on the last test before rolling out the change to the client base. A bigger job than STP 1.0 in some ways. 

ABN Lookup

Recently in Training a client asked when keying in details for a supplier “Can it check that the ABN is right”. For years we have had a check that its a valid ABN but no way to check that it was their valid ABN. 

But the info was there online and easy to check so we recently added a quick lookup to check a suppliers ABN is for them. Taking you to the Internet lookup of that ABN. 

Clicking on the link will take you to…

 

Quick and simple to check if you are worried.

Christmas Hours

As always at this time of year our office shuts down for the Christmas Break. After such an interesting year the team is looking forward to a well-deserved break. 

The office will be closed from 5pm Thursday 25th of December 2021 and reopen the 8:30am 10th of January 2022. During this time, we will monitor the support box for any urgent requests. 

Windows 11

For those wishing to move to the latest workstation software we have been testing Windows 11 with InterAcct. There appears to be no major differences in the use of the system and performance appears to be the exact same. 

STP2.0

As the end of the year approaches, we are very close to putting this into production but to avoid the risk of fines for being late we have applied to the ATO for a deferment for a few months. I have been advised that even large software houses like Xero have deferred until next December. We will let people know when the testing is completed with the ATO guidelines. 

The main changes relate to the level of detail that the ATO will be requiring. 

Opening Up

With state boarders opening up we are looking forward to being able to perform face to face training again for our clients that have been requesting it recently. Its certainly exciting to see things almost back to normal again.