GST for Overseas businesses and Small business company tax rate cut

For your 2016 tax return, the small business company tax rate has been reduced from 30% to 28.5%. This lower rate likewise applies to small businesses that are corporate unit trusts and public trading trusts. If you complete your own company tax return, use the new rate of 28.5% when working out the ‘Tax on taxable or net income’ (T1) in the ‘Calculation statement’

The franking credit top stays unaltered at 30% (even if you are eligible for the reduced company tax rate of 28.5%)

You are a small business if you are a sole trader, partnership, company or trust that has an aggregated turnover less than $2 million.

From 1 October 2016 there is good news for overseas business clients as they are no longer subject to GST. Overseas businesses supplying Australian businesses don't need to register for GST if they:

• Only produce GST-free  supplies through an enterprise carried on outside Australia
• Have a business presence in Australia of less than 184 days in a 12-month period
• Have a GST turnover below the GST registration threshold of AUD $75,000 (because certain supplies will no longer be included in the GST turnover).

 So if you are in Epping and running a small business and looking for someone to discuss about GST and tax. Then look no further Absolute Accounting Solutions is there for you. We with the help of our expert team provide the best solution to all your queries.  Our dedicated team of specialists will take the stress out of your bookkeeping, accounting and taxation.

 At Absolute Accounting solutions we make accounting an absolute breeze.  So for more information Call us at 1300 488 330 or visit http://www.absoluteaccountingsolutions.com.au/

Australian residents are generally taxed on their worldwide income from all sources. Temporary residents of Australia and foreign residents are generally taxed only on their Australian-sourced income, such as money they earn working in Australia. To comprehend your tax situation you first need to work out if you are an Australian or foreign resident for tax purposes. This might be distinctive to your residency status for different purposes – for instance, you could be an Australian resident for tax purposes even if you're not an Australian citizen or permanent resident.

Coming to Australia

You might come to Australia to reside permanently, study or holiday.

If in any of the scenario you are earning the money here you have to pay the tax and need to lodge an Australian tax return. To work in Australia you need a work visa and a tax file number.

Working in Australia 

To work in Australia you need a visa that allows you to work here. You should also have a tax file number (TFN). You visa is allocated by Department of immigration and Border protection and your TFN is your personal reference number in our tax system. You can apply for a TFN online once you have your work visa and have arrived in Australia.

Studying in Australia

If you are enrolled to study in Australia in a course that last for six months or more, you are generally considered as an Australian resident for tax purposes which implies that you have to pay tax on your earnings at the same rate as other resident and you are also entitled to the benefits of the Australian tax system.

 Moving to Australia permanently

If you moved to Australia and intend to reside here permanently, you are an Australian resident for tax purpose which includes that you have to declare your income which you have earned from anywhere in the world in you r tax return and you can also claim the benefits of the Australian tax system.

Paying tax and lodging a tax return

After the end of the Australian income year (30 June), you lodge an annual tax return to tell us how much income you received and tax you paid. We then send you a notice of assessment and your tax refund if you're entitled to one.

For more information contact Absolute Accounting Solution 1300 488 330 and we can help you in lodging a tax return and paying a tax.