What's new for 2021 tax time?
Motor Vehicle cents per kilometre claim increased – The motor vehicle cents per kilometre claim will be increased from 68 cents, up to 72 cents claimable per kilometre for the 2021 year.
LMITO Extension - The Low and middle income tax offset will be extended for the 2021-22 tax year. This offset provides a reduction of tax of up to $1,080 for individuals with a taxable income between $48,000 and $126,000.
Asset Write off - Full expensing of an asset is available to Small Business Entities regardless of whether it is utilising simplified depreciation for assets acquired and first used between 7.30 pm AEDT on 6 October 2020 and 30 June 2022.
As the Australian Taxation Office continues to raise the degree of their audit activity, I strongly recommend that you give attention to the documentation requirements concerning the claims that you are likely to make in the 2021 income year. This means ensuring that you have your receipts or other substantiating documents on hand to justify your claims.
Tax Planning
The tax office have produced a list of occupation and specific industry guides with 39 occupations already listed and definitely more to come. These guides specify what claims the tax office expect you to make and what they deem unreasonable. They are quite detailed and I definitely recommend looking through the list to see if your occupation is listed so you can know what view the ATO have and what they expect to see in your tax return. https://www.ato.gov.au/Individuals/Income-and-deductions/Occupation-and-industry-specific-guides/
The good news for you is that I continue to be focused on keeping up to date with the ever changing taxation landscape whilst getting the best results possible for you.
I continue to strive to make my service exceptional – so contact me to book either your: in-home, telephone, email or drop-and-go tax appointment at your earliest convenience. I look forward to hearing from you soon.
Motor Vehicle cents per kilometre claim increased – The motor vehicle cents per kilometre claim will be increased from 68 cents, up to 72 cents claimable per kilometre for the 2021 year.
LMITO Extension - The Low and middle income tax offset will be extended for the 2021-22 tax year. This offset provides a reduction of tax of up to $1,080 for individuals with a taxable income between $48,000 and $126,000.
Asset Write off - Full expensing of an asset is available to Small Business Entities regardless of whether it is utilising simplified depreciation for assets acquired and first used between 7.30 pm AEDT on 6 October 2020 and 30 June 2022.
As the Australian Taxation Office continues to raise the degree of their audit activity, I strongly recommend that you give attention to the documentation requirements concerning the claims that you are likely to make in the 2021 income year. This means ensuring that you have your receipts or other substantiating documents on hand to justify your claims.
Tax Planning
The tax office have produced a list of occupation and specific industry guides with 39 occupations already listed and definitely more to come. These guides specify what claims the tax office expect you to make and what they deem unreasonable. They are quite detailed and I definitely recommend looking through the list to see if your occupation is listed so you can know what view the ATO have and what they expect to see in your tax return. https://www.ato.gov.au/Individuals/Income-and-deductions/Occupation-and-industry-specific-guides/
The good news for you is that I continue to be focused on keeping up to date with the ever changing taxation landscape whilst getting the best results possible for you.
I continue to strive to make my service exceptional – so contact me to book either your: in-home, telephone, email or drop-and-go tax appointment at your earliest convenience. I look forward to hearing from you soon.