IN THIS ISSUE:
- UPDATE The Good, the Bad and the Ugly
- Simplified BAS reporting
- Are you planning on, or have recently purchased a residential investment property ?
The Good, the Bad and the Ugly – The update
The Update –
The Bad– From 1 October 2017 bennetts tax & bas service will be registered for GST
Have your returns prepared BEFORE 1 OCTOBER, -(Previously1 September)GST will not apply.
I personally look forward to your continued support and patronage and will continue to offer affordable rates and value across all of our services. That’s my promise to you.
Simplified BAS reporting – For business operators lodging BAS the ATO has simplified the reporting requirements from1 July. The change does not really mean much. You are still required to keep accurate record of your income and expenditure however no longer required to report total purchases amount on the bas – woo hoo. Excuse my sarcasm, but really? 1 reduced data field does not make a simplified bas, in my humble opinion.
Are you planning on, or have recently purchased a residential investment property ?
Depreciation changes may affect you – changes mean that contracts entered into or settled prior to budget night will not be affected.
Brand new investment property is still OK. If you currently own a property and add a item the normal depreciation rules will continue to apply.
The change is for anyone who enters contract, or settles from budget or after budget night cannot claim a depreciation deduction for plant and equipment as you are the ‘subsequent’ owner. This new integrity measure is to prevent the double claiming of depreciation on items in the property, ie curtains, hot water, air con, carpet etc.
Building allowance 2.5% remains unchanged.
To ensure you are claiming the correct amount of depreciation on the appropriate items it is wise to use a service provider who specialises in quantity surveying and the preparation of depreciation schedules.
Until next time! (July)