Taxation is a necessary part of doing business in Australia whether it be income tax, goods and services tax or fringe benefits tax. Individuals and companies are subject to tax, while trusts may pay tax or the tax liability will be passed to an individual or another entity. The partners pay the tax in a partnership. . Whatever your entity, our aim is to minimise your legal obligation to pay tax within the letter of the law and with a minimum of fuss. Nobody likes to pay tax but we help you understand your obligations especially with regard to Pay As You Go Withholding tax which is where you pay as you earn your income. This may be quarterly or on an annual basis but it may lead to cash flow problems unless you understand and prepare for the system. We can advise you about this.

Goods and Services Tax, (GST), was introduced in July 2000 and was to broaden the tax base. Everyone pays when they purchase goods and services that are subject to tax. This complicates matters and can be difficult to decide whether or not tax is payable or not. Many do not understand that the business is merely collecting the tax on behalf of the government although they can be credited for purchases they make. Registration is generally required if your income or you believe your income will be more than $75 000.00 per annum. If it is less you may or may not register. It is important that you seek professional advice before you act. Fringe Benefits Tax, (FBT), is a tax on benefits paid to employees and is very complex and we cannot stress enough the importance of seeking professional advice.

We can help you or we can prepare your Business Activity Statement, (BAS), or your Instalment Activity Statement, (IAS). The former may be monthly, quarterly or annually while the latter quarterly or annually. As tax agents we are able to obtain an extension for lodgement.

Much of our work is preparing taxation returns for individuals and some can be complex especially with Capital Gains Tax, investments from interest, trust income, rental properties and dividends. Foreign income can be a puzzle to taxpayers as many do not realise that Australian residents are taxed on their world wide income. Allowances paid to employees in certain industries such as road and rail transport cause confusion to taxpayers and again I stress the importance of professional advice. Some of our clients try to rely on advice gleaned at Sunday barbecues and bars on Friday afternoon. Please do not rely on this type of advice.

We are sure that if you come to Don Crombie CPA for taxation advice or tax preparation, you will find it a pleasant and rewarding experience.