MAY 2016 –
IN THIS ISSUE:
Well I nearly missed the MAY newsletter!
We are getting busier with the preparations for the end of financial year activities. As a result this months newsletter is small one. June will more than make up for it while we analyse and implement any tax changes required for 30.06.2016
- Car Expenses – do you receive or pay employee car expenses?
Car Expenses – The government has simplified the car expense deductions for individuals from 1 July 2015.
In brief, as an individual you may only now claim .66 cents per km regardless of engine size. Anything received over .66 cents per km will have PAYG(W) deducted. (Up to 5,000km)
Employees, who from 1 July 2015 have been paid a car allowance at a rate higher than the new approved amount, should consider whether they need to increase their withholding to avoid any tax liability at the end of the year.
Employers should be aware that the Tax Office set the approved PAYG(W) rate for cents per kilometre car allowances at 66 cents per kilometre from 1 July 2015. Employers should withhold from any amount above 66 cents for all future payments of a car allowance. Failure to do so may result in the employee having a tax liability when they lodge their tax return.
Equiti Private Wealth – bennetts has partnered with Equiti Private Wealth for the benefit of all clients in the area of financial planning, investment and mortgage management, property and real estate etc.
If you want to have a chat with this organisation, give me a call or email and I will organise this for you. There is no pressure or obligation placed on any clients of this firm.
Until next time 🙂