Update 1 September 2022
After the recent floods our office is being refurbished. See below for more details.
If your business is struggling with tax and super debts, we have some time-saving tips and options as well as a Cash Flow Coaching Kit to help your business recover.
There is a $5000 rebate that you may be eligible for if you are a small or medium food and beverage business wanting to create, expand or improve your outdoor dining area. This is the NSW Government’s Alfresco Restart package.
One of the most asked questions in Accounting is answered here - what business expenses can you claim?
Our Market update with Tony will be back on board next month!
The WD Nicholls Team
After the recent devastating floods, the office will be receiving a much needed refurbishment.
Office renovations will be starting tomorrow Friday 2 September. The phones will still be on and the administration team will be on-site, however, the professional team will be working from home for the moment.
We are available for phone appointments. We look forward to greeting everyone in our new look offices. We expect that it will be three weeks of disruption.
If your business is struggling with tax and super debts, seek help as soon as you can. Save time by checking your options online. There are several options depending on the type of debt you have and how much you owe.
One option is a payment plan, which is a practical way to meet your obligations.
Here are some more tips for keeping debts under control:
Keep track of your total tax and super debts. In Online services for business via the ATO's website, you can search for debts that were previously put on hold and not included in your account balance. These and other debts may be offset by any credits or refunds due to you.
The ATO's web content (provided below) can help you assess your options, which decrease as the debt grows. For example, the ATO may disclose your debt to credit agencies if it's over $100,000.
Ask one of our team about the Cash Flow Coaching Kit. It's a resource that can help your tax professional assist you to build your cash flow capability.
If you’re a company director, you're personally liable for debts that are subject to director penalties.
Reach out to the ATO or to one of our team who can act on your behalf on matters such as negotiating payment plans.
Find out more
Help with paying
Cash Flow Coaching Kit
Offsetting credits
Disclosure of business tax debts
Director penalties
Source and credit: ATO.gov.au
If you are a small or medium food and beverage business wanting to create, expand or improve your outdoor dining area, you may be eligible for a rebate of up to $5,000 under the NSW Government’s Alfresco Restart package.
The rebate is available to the first 5,000 eligible small or medium food and beverage businesses that register.
There are 2 steps involved in the Alfresco Restart rebate:
1. Register for the rebate
Businesses must first register to confirm their eligibility.
Registrations will close when 5,000 businesses have successfully registered.
2. Claim the rebate
Businesses that successfully register will be able to claim their rebate for eligible expenses incurred from 14 October 2021 to 30 September 2022.
Once you have successfully registered, you'll receive an email within a week detailing how to claim eligible expenses.
Claims must be made by 30 September 2022.
Eligibility
To be eligible for an Alfresco Restart rebate, your business must:
have an active Australian Business Number (ABN), held before 1 June 2021
be located in NSW
have an aggregated annual turnover less than $10 million (inclusive) for the year ended 30 June 2021
be a small or medium food and beverage business, defined by at least one of the following ANZSIC codes:
4511 Cafés and restaurants
4520 Pubs, taverns and bars
4530 Clubs (hospitality)
4400 Accommodation (limited to hotel and motel operation)
1212 Beer Manufacturing
1213 Spirit Manufacturing
1214 Wine and other Alcoholic Beverage Manufacturing
0131 Grape Growing
have incurred, or will incur, eligible costs and expenses for creating, expanding or improving your outdoor dining areas from 14 October 2021 to 30 September 2022.
When claiming the rebate, you must also have development approval and approval to use the land from council, Place Management NSW or private landholder, where applicable.
Note: Only one application per ABN is allowed. The rebate can be used towards outdoor dining expenses at multiple business locations if eligibility criteria are met.
What you need
a MyServiceNSW Account – you can create one when you start your application
your proof of identity
your business's valid ABN.
Evidence to support eligibility
When you claim your rebate, you'll need to submit:
evidence that your annual turnover was less than $10 million for the 2020–21 financial year, such as:
Australian income tax return, with tax file number concealed
BAS statement
audited profit and loss statement
at least 3 months of bank statements showing business income for the year, or
letter from your accountant, registered tax agent or registered BAS agent confirming your business income (you may use the Service NSW accountant's letter template)
evidence your business is located in NSW, such as:
commercial rates notice
current lease agreement, or
2 secondary documents such as:
utility bills
rental ledgers
insurance papers
if applicable, documentation from relevant council, Place Management NSW or private landholder approving use of the land for outdoor dining, which may include:
council approvals or permits
council-approved site plans
Place Management NSW approval
private landholder's written consent, if you are leasing land
itemised invoices or receipts for eligible expenses incurred from 14 October 2021
letter of authority, if you are not listed as an associate of the business on the Australian Business Register (you may use our letter of authority template)
your business banking details for payment.
Note: You may also be asked to provide photo evidence of your eligible purchases or completed works.
Proof of identity
Two proof of identity documents are required. They may include:
Australian driver licence
Medicare card
Australian passport
Australian birth certificate
Australian travel visa
Australian citizenship certificate
Australian certificate of registration by descent
Australian ImmiCard.
How to register
Check you meet the eligibility criteria.
Select the ‘Register online’ button. Note: You can save and resume your application, but if you have not submitted it within 7 days, any details you've entered will be deleted.
Log in, or create your MyServiceNSW Account.
Follow the prompts to register for an Alfresco Restart rebate.
When you submit your registration, you’ll receive a confirmation email with your registration reference number. If you do not receive this email after completing your registration, please check your junk mail folder.
Once you have successfully registered, you'll receive an email within a week detailing how to claim eligible expenses.
If you’re not able to register online, please call Service NSW on 13 77 88.
Claiming the rebate
Claims are now open.
Once you have successfully registered, you'll receive an email within a week detailing how to claim eligible expenses.
Be sure to keep your receipts and invoices for any eligible expenses you've incurred from 14 October 2021 to 30 September 2022.
You may also be asked to submit photo evidence of these expenses or completed works to support your claim.
Source and credit: Service.NSW.gov.au
This is one of the most asked questions in accounting!
You can generally claim a tax deduction for most expenses you incur, as long as:
the expense relates directly to earning your business’s assessable income
you only claim the business-use portion of an expense that's for a mix of business and private use
you have records to substantiate your claims.
You can claim deductions for:
day-to-day operating expenses, such as office stationery and wages, in the year you have to pay (or have paid) for them
capital expenses, such as machinery and equipment, which are typically of long-term benefit. They can be depreciated over the term of the asset's life. Alternatively, you may be able to claim an immediate deduction through temporary full expensing.
Business expenses may include motor vehicle, travel, legal, digital product and home-based business expenses, and items related to protecting staff from COVID-19 at work such as hand sanitiser and sneeze or cough guards.
You can claim deductions for super contributions. You can also claim deductions for payments you make to workers (including their wages) as long as you’ve complied with the pay as you go withholding and reporting obligations for each payment.
Keep in mind there are some expenses you can’t claim, such as entertainment or private expenses, traffic fines, and expenses that relate to earning non-assessable income.
It’s a good idea to keep complete records of expenses throughout the tax year (instead of a representative period) to give you more flexibility.
If you’re a sole trader, you can also use the myDeductions tool in the ATO app to keep records of your business expenses.
Find out about
Business tax deductions
Deductions for payments you make to workers (employees or contractors)
Record keeping for business
Source and credit: ATO.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.
21 Sept 2022 August monthly BAS due