Peter Ristevski.
Personal superannuation contributions threshold
Individuals are allowed a tax deduction each financial year up to $25,000 for personal superannuation contributions and can carry forward unused amounts from up to five previous financial years (starting from the 2019 financial year).
For your 2021 tax return, this means a maximum deduction of $75,000 just for putting money into your superfund that you are going to be able to access anyway (eventually).
Covid-19 working-from-home tax deduction rate extension
Eighty cents an hour tax deduction for working from home requiring minimal substantiation by keeping a record of the hours worked from home (timesheets, rosters, diaries, etc.) is permitted.
However you cannot claim expenses such as mobile phone or internet costs in addition. If you feel the 80c an hour does not accurately represent the costs of your home office, you can continue to use the old method and claim 52c an hour, and still claim other home office expenses – rest assured Chan & Naylor will explore your options to maximise your deduction.
Small business immediate asset write-off threshold
In the recent Federal Budget, businesses should take advantage of the unlimited asset write-off threshold.
Up to June 30, 2022, businesses can claim an immediate deduction for the value of: New depreciating assets; the cost of improvements to existing eligible assets; and for SMEs – second-hand assets.
Assets must be installed and ready for use by June 30, 2022 – plenty of time to window-shop. As well as a tax deduction, combined with the new loss carry back rules, a high-cost asset purchase could tip your business into loss territory which could then be carried back to prior year profits – so a refund of tax already paid could be on the cards as well.
For more info, 9299 7000 or peterr@chan-naylor.com.au.
