April 2024 E News

In this month's market update, after a previously optimistic 6 months, April saw a market correction as strong economic data in the US (particularly inflation and jobs) pushed back expectations for interest rate cuts. The market now predicts a September decrease. Meanwhile, earnings season has begun with some surprises: Tesla rose despite a weak result, Meta fell despite strong financials, and Netflix tumbled after abandoning its subscriber count reporting. Domestically, BHP's mega-merger attempt with Anglo American was rejected, and Australian inflation grew less than expected annually but remained a concern due to rising costs in non-discretionary items and persistent services inflation.

Beware of "easy" early access offers for your super! Strict rules are in place to protect your retirement savings. Don't be misled by promises around Self-Managed Super Funds (SMSFs) or quick fixes. Scam consequences can include being barred from managing SMSFs and hefty tax penalties. If you've mistakenly accessed super early, the ATO offers a way forward with their voluntary disclosure service. Remember, responsible planning prioritises long-term security. Protect your future – read the ATO's fact sheet (link below) to learn more about avoiding illegal early access scams.

While running a small business through a private company offers financial separation, managing access to company funds requires awareness of Division 7A, an ATO rule preventing shareholders and associates from accessing profits tax-free. Breaches can incur penalties. Avoid common pitfalls like improper accounting for shareholder asset use, non-compliant loans lacking documented agreements, and missed repayments on complying loans. The ATO offers a helping hand with a new suite of resources: a Division 7A Calculator for assessing applicability and minimum loan repayments, comprehensive information on their website, a free online learning resource on managing company funds, and tax time essentials tailored for small businesses. Understanding Division 7A safeguards your business's success and avoids costly tax issues.

Want to leverage AI for powerful marketing? There is a free webinar on Tuesday, 7 May, from 1:00 PM to 2:30 PM AEST which is designed for Illawarra, Southeast & Tablelands, and Riverina Murray small businesses (up to 50 attendees). Explore the basics of AI, its potential for content creation, and how to craft targeted messaging to reach your ideal audience. Leave with a solid grasp of AI's marketing power and the initial steps to implement AI strategies in your business. Led by digital marketing and brand strategy expert Fiona Latham-Cannon, this session will spark growth in your business! Register now!

The Northern Rivers holds regular Community Events.  See what's on and keep up to date on all the fantastic opportunities available and help to support local.  There is plenty to do.

A reminder, there are some important lodgement dates to note this month.

Should you have any questions or require assistance with your tax planning, please don't hesitate to contact our team.

The WD Nicholls Team

The month of April has flipped from the optimism of the last 6 months.  Markets have previously been pricing in interest rates in the US falling in the middle of the year but with persistent economic data remaining very strong (in particular inflation and jobs data) they are starting to revise the timing of these decreases and as a result, markets have fallen due to interest rates being higher for longer.

At this stage, markets are predicting rates fall in the US in September.  We are also moving into reporting season in the US which has begun and there have been some interesting results e.g Tesla shares rose on a weak result, Meta shares fell on a strong result, and Netflix shares fell sharply after the company said they will no longer provide quarterly subscriber numbers.

On the domestic front, BHP Group has approached Anglo American about buying the mining company in what would be a mega-deal. Anglo said that it received an unsolicited all-share merger proposal from the world’s biggest miner. Anglo’s board has rejected the approach.

Australian headline inflation rose by a stronger-than-expected 1% in the March quarter, with the annual rate easing to 3.6% from 4.1%, potentially pushing out any expected rate cuts. Discretionary inflation fell, showing weakening consumer demand, whilst non-discretionary items (e.g. rents, education, health, new dwelling construction costs, vegetables, insurance) were 8 of the top 10 contributors to the quarterly print. Services inflation remains a problem.

The performance numbers for the month of April are:

Safeguard Your Retirement: Beware of Illegal Early Access to Superannuation

Early access to superannuation offers a tempting proposition, but strict regulations exist to ensure these funds support your future financial security. Be cautious of individuals or schemes promoting "easy" early access, especially through Self-Managed Super Funds (SMSFs).

Warning Signs of Potential Scams:

• Promises of unrestricted early access: Superannuation regulations limit early access for specific circumstances.

• Promoting SMSFs for early withdrawal: SMSFs offer greater control over investments, but early access rules still apply.

• Quick and guaranteed results: Responsible financial advice prioritises long-term planning and risk mitigation.

Consequences of Illegal Early Access:

• Disqualification as SMSF Trustee: A public record will be created, impacting future involvement in SMSFs.

• Financial Penalties: You may incur additional tax, penalties, and interest charges.

Mistakes Happen

If you've unknowingly accessed super early, the ATO's voluntary disclosure service provides a path forward. They will consider your circumstances when determining any potential penalties.

Protect Your Future: Read More

For a deeper understanding of warning signs associated with illegal early access schemes, please refer to the ATO's comprehensive fact sheet (link below).

Remember, responsible financial planning prioritises long-term security. Don't jeopardise your retirement savings by falling victim to deceptive schemes.

By working together, you can ensure your superannuation serves its intended purpose: securing your financial well-being in retirement.

Source and credit: ATO.gov.au

Avoid Costly Mistakes: Understanding Division 7A for Your Small Business

Owning a small business through a private company offers flexibility, but managing access to company funds requires careful navigation. Division 7A, a tax rule, prevents shareholders and associates from accessing company profits tax-free. Breaches can lead to penalties.

Common Pitfalls to Avoid:

• Improper Accounting: Ensure proper records are kept for shareholder and associate use of company assets.

• Non-Compliant Loans: Loans to shareholders and associates require documented loan agreements.

• Missed Repayments: Complying loans have minimum annual repayments; ensure these are met.

The ATO is launching a series of resources to simplify Division 7A and empower you to avoid common mistakes.

Available Tools:

• Division 7A Calculator & Decision Tool: See if your business is subject to Division 7A and calculate minimum loan repayments.

• Private Company Benefits & Division 7A Dividends: Access comprehensive information on the ATO's website.

• Using Business Money & Assets: Learn best practices through the ATO's free online learning resource.

• Tax Time Essentials for Small Businesses: Explore a range of resources to support your tax needs.

By understanding Division 7A, you can ensure your small business thrives and avoid costly tax penalties.

Our team at WD Nicholls are business advice specialists.  Contact one of our friendly staff to arrange an appointment.

Source and credit: ATO.gov.au

FREE WEBINAR Tuesday, 7 May 1:00 PM - 2:30 PM AEST

Explore the transformative potential of AI in content creation while gaining foundational knowledge in AI basics. Discover the art of crafting audience-specific messaging, enhancing your marketing effectiveness. By the end of this session, you'll leave with a clear understanding of AI's marketing value, ready to take the initial steps in implementing AI-powered strategies. Join us to unlock the remarkable potential of AI to spark growth in your business.

This FREE webinar is aimed at small businesses throughout Illawarra, Southeast & Tablelands and Riverina Murray who have just started or have an established business and they can host up to 50 people.

Presenter: Fiona Latham-Cannon. Fiona, with over 40 years in business across five industries, excels in digital marketing and brand strategy. Her expertise spans managing a family retail business, restaurateuring, and experience in the wholesale sector. 

Moderator: Lisa Lamaitre.

Learning Objectives:

1. Demystify Language Generative AI.

2. Explore AI-Enhanced content creation.

3. Understand audience-centric messaging.

Learning Outcomes:

1. Foundational AI knowledge.

2. Awareness of AI's marketing value.

3. Initial steps in audience targeting.

This Webinar will take place on Zoom (to register click the link below). Click BOOK EVENT to register.

You will receive the Zoom link in an email from Enterprise Plus prior to the Webinar.

Source and credit: Business.gov.au

We always like to support our locals!  Here are some community events happening this month (in date order).

Westpac Byron Coastal Charity Walk date is Saturday, 4 May 2024 | 6:00 AM to 5:00 PM

The Byron Coastal Charity Walk returns to the stunning coastline from the heart of Byron Bay to the shores of Ballina.

This non-competitive social walk offers a choice of 12km, 24km, or 36km picturesque walking routes.

This fully supported event raises vital funds for The Westpac Rescue Helicopter Service.

For more information and to register please visit the Coastal Charity Walk Website.

Location:  Dening Park, Lawson Street, Byron Bay, 2481

Brunswick Heads Market date is Saturday, 4 May 2024 | 8:00 AM to 2:00 PM

Immerse yourself in the charm of Brunswick Heads, a delightful beachside town 15 minutes north of Byron Bay.  Every first Saturday of the month, Memorial Park comes alive with artisan stalls selling everything from clothing and plants to delicious hot food, local produce, and unique handcrafted items. With free parking and everything within walking distance, exploring the markets is just the beginning.

Location:  Memorial Park, 11 Fawcett Street, Brunswick Heads

Byron Bay Community Market next date is Sunday, 5 May 2024 | 8:00 AM to 3:00 PM

The Byron Bay Community Market hosts an eclectic collection of market stalls that showcase what Byron has to offer.

The market is held from 8:00 am to 3:00 pm on the 1st Sunday of every month.

Road closures and traffic changes on market day

• Jonson Street is closed to traffic at the corner of Byron and Marvel Streets from 5am to 5pm.

• Traffic is diverted via Fletcher Street.

• The Lawson Street South carpark is closed from 5am to 5pm.

• There may be traffic delays are on Lawson Street between the Shirley Street and Jonson Street roundabouts between 6am to 8am and 3pm to 5.30pm.

• The railway carpark is open under traffic control via the laneway on Jonson Street.

• Traffic controllers will be in place on market day. 

Location: Byron Bay CBD, Railway Park, Jonson Street, Byron Bay

Mullum Laneways Festival date is Sunday, 5 May 2024 | 4:00 PM to 8:00 PM

Mullum Laneways 2024, a FREE 4 hour Sunday twilight event, held on Burringbar Street in the centre of town.

The street will be transformed into a magical place of music, dance, theatre, art, food and fun. A place that is engaging for all the family

Featuring 3 bands on the main stage in Burringbar Street:

• Bunny Racket

• The Loveys

• Soul’d.

Each of the 4 laneways in Burringbar Street will have:

• Themed Art

• Craft

• Theatre

• Music events.

Food outlets of Mullumbimby will have special Kaleido menus for the night with a family, friendly picnic atmosphere.

For more information visit the Mullum Laneway Festival website. 

Road Closure: Burringbar Street will be closed to traffic between 10am - 10pm for this event.

Location: Mullumbimby Town Centre, Burringbar Street, Mullumbimby

Come along to a Community Conversation - Operational Plan and Budget date is Tuesday,7 May 2024 | 4:00 PM to 6:00 PM

Discuss the Council's Draft Operational Plan and Budget at a Community Conversation session.

Online (Zoom)

Registration required - Register on Zoom. 

For more information or to provide feedback now visit Operational Plan 2024 to 2025

Location: Online

Byron Bay Triathalon 2024 - Road Closure date is Friday,10 May 2024 | 4:00 PM & Mothers Day Run Sunday, 12 May 2024 | 1:00 PM

Information about road closures for the Byron Bay Triathlon event and Mothers Day run.

To deliver a safe and secure event for participants and spectators, there will be impacts to roads and changed traffic conditions.

We understand that events such as the Byron Bay Triathlon can alter the regular flow of traffic and every effort is being made to consider individual circumstances and minimise inconvenience. 

Detailed road information and timing, including a map, is available at the Byron Bay Triathlon website. 

Byron Bay Triathlon road impacts

Full Road Closure Roads are closed in both directions.

Business Open This business is open as per their normal trading hours.

Local Resident Access Only Local access is permitted and through traffic movement is restricted.

Changed Conditions. A traffic control treatment (ie. signage) is applied but there will be no changes to the normal movement of traffic.

If you have any questions/concerns, please do not hesitate to contact by phone on 02 8507 0796 or by email to byronbaytri@nxsports.org.

Location: Various locations around Byron Bay

Mullumbimby Community Gardens - Grow Fest date is Saturday, 11 May 2024 | 8:00 AM to 5:00 PM

Grow Fest is a free community event with gardening and wellness workshops.

It will be held at the Mullumbimby Community Gardens on Saturday 11 May, 8am to 5pm.

Location: Mullumbimby Community Gardens, 156 Stuart Street, Mullumbimby

Service NSW Mobile Service Centre visit to Ocean Shores, Mullumbimby & Byron Bay next dates are Tuesday,14 May - 16 May 2024 | 9:00 AM to 3:00 PM

Service NSW Mobile Service Centre visits our community to personally deliver access to essential NSW Government services, including:

• Driver licence, photo card applications and renewals

• Driver Knowledge Tests

• Working With Children Check applications

• Applying for birth, death and marriage certificates

• Cost of Living service to access more than 40 government rebates and savings.

Service NSW Mobile Service Centres are fitted with a ramp for easier access for all members of the community.

Check the timetable and find out what you need to bring by visiting Mobile Service Centres.

• Ocean Shores - Tuesday, 14 May at  Ocean Shores Country Club - Car park, 113A Orana Road, Ocean Shores

• Mullumbimby - Wednesday 15 May at Byron Shire Council, 70 Station Street, Mullumbimby

• Byron Bay - Thursday 16 May at Byron Shire Council, 70 Station Street, Mullumbimby

Please check the website on the day for final confirmation of the Mobile Service Centre arrival or call 13 77 88.

Council Planning Meeting next date is Thursday,16 May 2024 | 11:00 AM to 6:00 PM

Council meetings are held in the Chambers. 

Go to How to join the meeting for ways you can participate in the meeting. 

A livestream is available to watch online. 

Questions about the meeting?

• Phone: 02 6626 7051

• Email: councillorsupport@byron.nsw.gov.au 

Location: Council Chambers, 70 Station Street, Mullumbimby

Mullumbimby Community Market next date is Saturday, 18 May 2024 | 8:00 AM to 2:00 PM

The Mullumbimby Community Market is held on the third Saturday of each month from 8:00 am to 2:00 pm.

Location: Corner of Stuarts and Myocum Streets, Mullumbimby

Council ordinary meeting next date is Thursday, 23 May 2024 | 9:00 AM to 6:00 PM

Council meetings are held in the Chambers. 

Go to How to join the meeting for ways you can participate in the meeting. 

A livestream is available to watch online. 

Questions about the meeting?

• Phone: 02 6626 7051

• Email: councillorsupport@byron.nsw.gov.au 

Location: Council Chambers, 70 Station Street, Mullumbimby

Source and credit: Byron.nsw.gov.au

If you wish to arrange a telephone appointment or zoom meeting with one of our team please contact our office either by telephone or email.

Key lodgment and payment dates for business

12 May

Activity statements

• Quarter 3 (January–March) activity statements lodged electronically – final date for lodgment and payment

• refer to the two week lodgment concession for information on your eligibility for this later due date.

21 May

Fringe benefits tax (FBT)

• Lodgment due date for your FBT return. For 2021, if you prepare your own return you can lodge by 25 June without incurring late lodgement penalties.

• Final date to pay when you prepare your own FBT return.

• If your tax agent is preparing your FBT return, different dates may apply.

Activity statements

• April monthly activity statements – final date for lodgment and payment.

28 May

Superannuation

• Lodge and pay quarter 3 (1 January–31 March) Superannuation guarantee charge statement – quarterly if you did not pay your contributions on time.

• You can choose to offset contributions you've paid late to a fund for each employee against the super guarantee charge for the quarter for those employees.

• You cannot claim an income tax deduction for the super guarantee charge.