Accounting questions, answered

Ross Accounting is an accounting and tax practice founded in 2003 by principal accountant David Ross. Its head office is in Brookvale on Sydney's Northern Beaches, with a second branch in Redland Bay, Queensland, and it works with clients across Australia and overseas. The firm looks after individuals and small to medium businesses with tax returns, bookkeeping, business and company set-up, trusts, self-managed super funds, financial statements, tax planning and ATO tax debt, and a solicitor practises from the Brookvale office for legal matters.

Ross Accounting's head office is at Suite 103, 20 Dale Street, Brookvale NSW 2100, with limited visitor parking in the basement car park of the Biztek building. The Queensland branch is at 225 Cane Street, Redland Bay QLD 4165, and looks after clients across the Redlands, Logan and greater Brisbane, including Victoria Point and Eagleby. Both offices can be reached on 1300 711 149, and post goes to PO Box 6197, Narraweena NSW 2099. See all service areas.

Ross Accounting works with individuals who need their personal tax return done, and with sole traders, partnerships, companies, trusts and self-managed super funds, from small businesses through to larger ones. The who we help section explains what the firm does for each type of client.

Ross Accounting Pty Ltd has ABN 47 153 889 975 and ACN 153 889 975, and is a registered tax agent with the Tax Practitioners Board (TPB), registration number 21430015. Anyone can look up that registration, including whether any conditions or sanctions are recorded, on the TPB register. The Queensland branch company is Ross Accounting QLD Pty Ltd, ABN 66 655 901 698.

Ross Accounting is run by David Ross, who founded the firm in 2003, is its principal accountant and has a background in banking and mortgage finance. He works with accountant and consultant Chau Tran, who handles financial statements, BAS, company tax returns and trust and SMSF accounts, and bookkeeper and tax consultant Angela Ross. The About page introduces the whole team.

Yes. Solicitor Geoff Versace practises from the Ross Accounting office in Brookvale and handles matters such as conveyancing, business leases, wills, franchising, debt collection and litigation (call (02) 9938 3799; see legal services). Mortgage broker Greg Kearns, also part of the Ross Accounting team, can help with home loans, private and commercial vehicle purchases and fit-out loans (call 0416 138 907).

Yes. Ross Accounting offers a free general consultation so you can explain what you need before committing to anything, and people starting a business can take up a free half hour of advice with principal accountant David Ross on choosing the right structure. Call 1300 711 149, email david@rossaccounting.com.au, or read how to become a client.

Ross Accounting clients can send receipts and documents from their phone with the free MyAccountants app, signing in with their email address and the accountant code "Ross" (see the MyAccountants app). Documents can also be emailed to david@rossaccounting.com.au, posted to PO Box 6197, Narraweena NSW 2099, or brought to the Brookvale office at Suite 103, 20 Dale Street.

A tax file number (TFN) is your personal reference number in the Australian tax and super systems, and the ATO says it is free to apply for one at any age and you keep it for life. Having a TFN is not compulsory, but without one you cannot lodge your tax return online or apply for an ABN, and employers and banks must withhold more tax from what they pay you. The ATO generally issues a TFN within 28 days of receiving a complete application (ATO: What is a tax file number?).

No. The ATO tells taxpayers never to share their myGov sign-in details with anyone, and that includes their registered tax agent. A registered tax agent is allowed to deal with the ATO on a client's behalf, so there is no need to hand over your myGov login for your accountant to prepare and lodge your return (ATO: Verify or report an ATO scam).

Ross Accounting's bookkeeping work is mainly in Xero and MYOB, and bookkeeper Angela Ross also has experience with QuickBooks, so a business using any of those three packages can talk to the team about working from its existing file. See Xero and MYOB support and bookkeeping.

The Tax Practitioners Board suggests talking through your financial situation, exactly what work will be done and by when, the cost or how fees are worked out, where any refund will be paid and how long a refund is likely to take. Many registered tax practitioners also ask new clients to sign a letter of engagement that sets out what each side is responsible for (TPB: Finding and using a tax practitioner).

Yes. Individuals can lodge their own tax return online with myTax through a myGov account linked to the ATO (ATO: Lodge online with myTax), or use a registered tax agent. The ATO points out that registered tax agents are the only people who can charge a fee to prepare and lodge a return, and that the Tax Practitioners Board holds them to qualification, experience and professional conduct standards (ATO: Lodge with a registered tax agent).

Yes. The ATO says being paid wages in cash is legal, but the cash must be declared as income in your tax return, and cash tips must be declared too, whether they come from your employer or straight from customers. Workers paid in cash are still expected to receive payslips and an end-of-year income statement, and it is worth checking that super is being paid and enough tax is being withheld (ATO: Receiving cash for work you do).

Yes. According to the ATO, payments for services provided through a digital platform, such as deliveries, odd jobs or professional work, are assessable income that must go in your tax return, even if the job was a one-off and whether or not you are running a business. The ATO also collects data from ride-sourcing, accommodation and other sharing economy platforms to identify people earning this income (ATO: Providing services; ATO: Sharing economy data matching).

The ATO recommends waiting until your income statement in ATO online services shows Tax ready, because the amounts can change when your employer finalises them. If you lodge earlier and the employer later finalises different figures, you may need to amend your return and could have extra tax to pay. If an employer cannot finalise the statement, it must give you a payment summary instead (ATO: Income statement not tax ready).

Yes. Australian residents must declare interest from bank accounts and term deposits as income, including foreign interest and any interest the ATO pays on early payments or overpayments. Interest is declared in the year it is credited or applied for you, which for a term deposit usually means the year it matures or is rolled over (ATO: Investment income).

Yes, for gifts made from 1 July 2024. The ATO says the old $2 minimum for deductible gifts to deductible gift recipients (DGRs) was removed from 1 July 2026, with the change backdated to gifts made on or after 1 July 2024; gifts before that date still need to be $2 or more, and the change does not cover political donations. The organisation must have DGR status when you give, and you need a record such as a receipt, although up to $10 in total of cash given to a DGR's natural disaster bucket collections in an income year can be claimed without one (ATO: Gifts and donations).

Generally yes. The ATO allows a deduction for the cost of managing your own tax affairs, including lodging through a registered tax agent and getting tax advice from a recognised tax adviser, usually in the income year you pay the fee. If one invoice covers returns for you and someone else, such as your spouse, the fee has to be split, and advice from someone who is not a registered tax agent or a qualified tax relevant provider cannot be claimed (ATO: Cost of managing tax affairs).

Yes. An Australian resident for tax purposes must declare income earned anywhere in the world, such as overseas wages, foreign bank interest, dividends, overseas rent and capital gains on overseas assets, converted to Australian dollars. Tax already paid overseas may give you a foreign income tax offset, and the ATO exchanges financial account information with other countries' tax authorities (ATO: Foreign and worldwide income).

Possibly. The ATO treats selling, gifting, swapping one crypto asset for another, converting crypto to Australian or foreign currency, or using it to buy goods or services as a disposal, which is a capital gains tax (CGT) event that can produce a taxable capital gain or a capital loss. Values must be worked out in Australian dollars, and the ATO matches tax returns against data from crypto service providers, so records of every transaction need to be kept. See our capital gains tax guide and ATO: Crypto asset transactions.

The ATO generally treats repeated, continuous activity carried on to make a profit as a business, and a hobby or recreation you do not try to profit from as not a business. Signs of a business include an intention and real prospect of profit, enough scale to make one, and running it in a businesslike way, for example with records, a separate bank account, an ABN and selling to the public. Even outside a business, some receipts, such as payments for services, can still be taxable (ATO: Are you in business?).

Sometimes. The ATO says a business may still have to pay super guarantee for an independent contractor whose contract is principally for their labour, and that apprentices, trainees, labourers and trades assistants are always treated as employees. Wrongly treating an employee as a contractor is against the law and can attract penalties, so the whole working relationship needs to be checked (ATO: Your tax and super obligations; ATO: Difference between employees and independent contractors). See also our payroll service.

A new employee generally completes a tax file number declaration and a superannuation standard choice form, or does both through the online commencement forms in ATO online services within 28 days of starting. If the employee does not choose a fund, the employer may need to ask the ATO for their stapled super fund, and an employee's TFN must be passed to their super fund. Businesses hiring working holiday makers must register as an employer of working holiday makers before paying them (ATO: Hiring a new worker).

A taxable payments annual report (TPAR) is generally required from businesses that provide building and construction, cleaning, courier and road freight, information technology, or security, investigation or surveillance services and pay contractors to deliver them. Outside building and construction, it applies once those services make up 10% or more of business income. A TPAR is due by 28 August after the end of each financial year, so the 2025–26 report was due by 28 August 2026 and the 2026–27 report is due by 28 August 2027 (ATO: Work out if you need to lodge a TPAR).

Fringe benefits tax (FBT) is paid by employers on certain non-cash benefits given to employees or their associates, such as private use of a work car or a paid gym membership. The FBT year runs from 1 April to 31 March, and the ATO lists a rate of 47% for every FBT year from the one ending 31 March 2023 to the one ending 31 March 2027, applied to the grossed-up value of the benefits. Sole traders and partners in a partnership are not employees for FBT purposes (ATO: FBT rates and thresholds; ATO: How fringe benefits tax works).

The ATO's concessions page (last updated May 2025 and still current when checked in October 2026, during 2026–27) does not name a financial year, but sets different aggregated turnover limits for different concessions: under $2 million for the small business CGT concessions, under $5 million for the small business income tax offset, and under $10 million for the small business restructure roll-over. Most concessions have further conditions as well, and the ATO says eligibility should be checked every year (ATO: Concessions for eligible businesses).

Both are registered with the Tax Practitioners Board and can, for a fee, prepare and lodge BAS, apply for an ABN for a client, advise on GST and PAYG withholding registration, help with FBT and super guarantee and deal with the ATO for a client. Only a registered tax agent can prepare and lodge tax returns or give personal advice on the tax implications of financial advice (TPB: Finding and using a tax practitioner). Ross Accounting Pty Ltd is a registered tax agent, number 21430015.

Super can generally be withdrawn once you turn 65, even if you are still working, or once you reach your preservation age and either retire or start a transition to retirement income stream. Preservation age is 60 for anyone born from 1 July 1964 and between 55 and 59 for people born earlier. Early access is only allowed in limited cases, such as on medical, compassionate, financial hardship or incapacity grounds, or through the First Home Super Saver scheme (ATO: When you can withdraw your super).

Log in to ATO online services through myGov or the ATO app and select Super, then Fund details. Lost accounts are marked Contact fund, and super the ATO is holding shows as ATO-held super, which can be moved into an eligible fund. The same screen lets you consolidate accounts, which the ATO notes can cut duplicate fees and insurance costs (ATO: Keeping track of your super online).

For 2026–27, the government super co-contribution can be up to $500 for eligible people who make personal super contributions. For 2026–27 the lower income threshold is $49,293 and the higher income threshold is $64,293. Your total super balance must be below the general transfer balance cap on the previous 30 June and you must not have exceeded your non-concessional contributions cap for the year. The ATO pays it automatically if your fund has your TFN (ATO: Government contributions).

The general transfer balance cap is $2.1 million for 2026–27, up from $2 million in 2025–26. It limits the total amount of super that can be transferred into the retirement phase, and has applied since 1 July 2017 (ATO: Transfer balance cap). See also our super contribution caps guide.

Division 293 tax is an extra 15% tax on concessional super contributions for higher-income earners. The ATO adds certain super contributions to your income and compares the total with a $250,000 threshold, which has applied from 2017–18 onwards (including 2026–27); the tax is charged on the excess over the threshold or on the contributions, whichever is smaller (ATO: Division 293 tax).

Yes, through a downsizer contribution. Under the current ATO rules (checked October 2026, during 2026–27), people aged 55 or older can contribute up to $300,000 each from the sale of a home in Australia that they or their spouse owned for 10 years or more and that qualifies at least partly for the main residence CGT exemption, provided they have not made a downsizer contribution before. The contribution does not count towards the contribution caps, must generally be made within 90 days of receiving the sale proceeds, and the downsizer form must reach the fund before or when the contribution is made (ATO: Downsizer super contributions).

Under the First Home Super Saver (FHSS) scheme, eligible voluntary super contributions of up to $15,000 in any one financial year from 2017–18 onwards (including 2026–27), and up to $50,000 in total, can count towards a later release to buy a first home. Concessional contributions count at 85% when the releasable amount is worked out (ATO: About FHSS release amounts).

It can, in some cases. An SMSF generally cannot acquire assets from members or related parties, but business real property (land and buildings used wholly and exclusively in a business) is an exception, provided it is bought at market value, fits the fund's investment strategy and is dealt with on commercial, arm's length terms. Leasing it back to a related party's business is also excluded from the 5% in-house asset limit (ATO: What are the SMSF investment restrictions?). See our SMSF service.

The ATO says it will never send an unsolicited SMS or email containing a link or QR code, ask for your TFN or bank details by email or text, threaten arrest, demand payment by gift card or crypto, stop you speaking to your tax agent or charge a fee to release a refund. Genuine ATO phone calls show as No Caller ID. If you are unsure, do not respond and call the ATO on 1800 008 540 to check (ATO: Verify or report an ATO scam).

Any tax or BAS agent's registration can be checked on the Tax Practitioners Board (TPB) register, for example by searching for their registration number. Registered practitioners can display the TPB's registered tax practitioner symbol, which must appear with their registration number and type of registration, and the register also shows any conditions imposed on a registration (TPB: About the registered tax practitioner symbol). If a problem with a practitioner cannot be sorted out with them directly, the TPB accepts complaints (TPB: Finding and using a tax practitioner).

Yes. If you owe the ATO money, including a debt that is on hold, the law generally requires the ATO to use any refund or credit you become entitled to against that debt, which the ATO calls offsetting. Part or all of a refund can also go to other agencies, for example Services Australia for overdue child support, and any balance left over is then refunded to you (ATO: If you don't pay). See our tax debt service.

Yes. Under the current rules, the ATO may disclose a business's tax debt to registered credit reporting bureaus if the business has an ABN and is not an excluded entity (such as a registered charity or complying super fund), at least $100,000 is overdue by more than 90 days and it is not engaging with the ATO, for example through a payment plan it is keeping to or an active objection. The ATO sends a notice of intent first and allows 28 days to act (ATO: Disclosure of business tax debts). See our guide to ATO payment plans.

The ATO issues a data-matching letter when it finds a difference between what a taxpayer reported and data that has been reported to the ATO by others. The letters can be about business income, income, deductions and offsets in a tax return, investments and assets, Medicare and private health insurance, property sales, taxable payments reporting, or a tax return that has not been lodged. Comparing the letter with your own records is the first step, and a registered tax agent can help work out whether the ATO's figures are right (ATO: Types of data-matching letters).

Yes. You can lodge an objection against many ATO decisions, including tax assessments, penalties and some interest decisions, and there is no fee to lodge (ATO: Object to a decision). The time limit runs from 60 days to 4 years depending on what you are objecting to, and generally starts from the date the assessment or decision was given to you (ATO: What you can object to, and the time limits).

Only in limited cases. The ATO accepts a return before 30 June from someone leaving Australia permanently who will stop being an Australian resident (or is already a foreign resident) and will have no more Australian-sourced income apart from interest, dividends or royalties. Early returns are lodged on paper and take about 50 business days to process, and anyone with a HELP, VET Student Loan or Australian Apprenticeship Support Loan debt must lodge in the normal period from 1 July to 31 October (ATO: Lodge your tax return before leaving Australia).

The Australian financial year runs from 1 July to 30 June, and if you lodge your own return it is due by 31 October. For 2025–26 returns, 31 October 2026 is a Saturday, so under the ATO's weekend rule a self-lodged return is due by Monday 2 November 2026. If you engage a registered tax agent such as Ross Accounting before 31 October, you can usually lodge later under the tax agent lodgement program, with most individuals due by 15 May 2027.

Generally yes. The ATO allows registered tax agents to lodge for clients after 31 October under the agent lodgment program, as long as the client engages the agent before 31 October. For 2025–26 individual returns, most clients are due by 15 May 2027, but anyone with earlier returns outstanding at 30 June 2026 is due by 31 October 2026, and those whose latest return had a tax liability of $20,000 or more are due by 31 March 2027.

No. The ATO says the standard deduction of up to $1,000 for work-related expenses first applies in 2026–27 tax returns and is not available for 2025–26. From 2026–27 it is applied automatically for Australian residents with labour income such as wages, and it is reduced dollar for dollar by any work-related expenses claimed in the return.

For 2025–26 and earlier years, the ATO's exception still applies: if total work-related expenses (other than car and some allowance-related expenses) are $300 or less, they can be claimed without full written evidence, provided you can show you spent the money and how the claim was worked out. From 1 July 2026 the ATO has removed the $300 and $150 laundry exceptions for all taxpayers, so 2026–27 claims for work-related expenses above the standard deduction need written evidence such as receipts.

Bring your income statements, receipts and invoices for work-related expenses, bank statements, details of investment income such as interest and dividends, and private health insurance details. Ross Accounting will check everything and make sure no deduction is missed.

Yes. Ross Accounting prepares tax returns for individuals, sole traders, partnerships, companies, trusts and self-managed super funds for clients across Australia and overseas.

For self-lodgers, the 2025–26 individual tax return is due by 31 October 2026, and because that date is a Saturday the ATO moves it to the next business day. Clients who engage a registered tax agent such as Ross Accounting before 31 October can lodge later under the agent lodgement program, generally due by 15 May 2027 unless an earlier date such as 31 October 2026 or 31 March 2027 applies to them.

No. The ATO says the standard deduction of up to $1,000 for work-related expenses first applies in 2026–27 tax returns and is not available for 2025–26. For 2026–27 it applies automatically to eligible Australian residents with labour income such as wages, and it is reduced by the covered work-related expenses claimed.

The ATO aims to process individual tax returns lodged online or through a tax agent within 12 business days, and paper returns within 50 business days. The result is shown on your notice of assessment, which goes to your myGov Inbox if the ATO is linked to your myGov account.

Not everyone needs to lodge an individual tax return. The ATO's Do I need to lodge? tool checks your circumstances, and if you do not need to lodge you usually still need to lodge a non-lodgment advice. People with franking credits can claim a refund of them without lodging a return.

For 2026–27, compulsory HELP and study loan repayments start once repayment income exceeds $69,528, at 15 cents for each dollar above that amount up to $129,717. Repayment income includes taxable income plus items such as reportable fringe benefits, net investment losses and reportable super contributions.

Yes. Ross Accounting Pty Ltd is registered with the Tax Practitioners Board as a tax agent, registration number 21430015. Only registered tax agents can charge a fee to prepare and lodge an individual tax return.

No. A sole trader reports business income and expenses in their individual tax return, in the business and professional items schedule, using their own tax file number. The ATO confirms there is no separate business tax return for sole traders, and the business profit is taxed at individual rates together with any other income.

A sole trader who lodges their own 2025–26 return is due by 31 October, which moves to Monday 2 November 2026 because 31 October 2026 is a Saturday. Sole traders who engage a registered tax agent such as Ross Accounting before 31 October can generally lodge later, with most individuals due by 15 May 2027 under the agent lodgment program.

The ATO automatically enters an individual or sole trader into PAYG instalments when their latest return shows instalment income of $4,000 or more, tax payable of $1,000 or more and notional tax of $500 or more. Most pay quarterly, with standard due dates of 28 October, 28 February, 28 April and 28 July, and the instalments are credited against the tax in the sole trader's assessment.

Generally no. The $20,000 instant asset write-off, which is law for 2025–26 and permanent from 1 July 2026, applies only where the asset's total cost is under $20,000. The ATO's example of a $40,000 ute used 40% for business shows the $16,000 business portion going into the small business pool instead, depreciated at 15% in the first year and 30% after that.

Only if the ATO's non-commercial loss rules are met. For a sole trader this generally means that taxable income, reportable fringe benefits, reportable super contributions and net investment losses total less than $250,000, and that the business passes one of four tests, such as at least $20,000 of assessable business income or a profit in 3 of the last 5 years. Otherwise the business loss is generally deferred to a later income year unless the Commissioner's discretion applies.

The small business income tax offset reduces a sole trader's tax by 16% of the portion of tax that relates to their net small business income, up to $1,000 a year, for 2021–22 and later years. The business must have aggregated turnover under $5 million. The ATO calculates it from the tax return and shows it on the notice of assessment.

An Australian company that is a base rate entity pays tax at 25%, and all other companies pay 30%. The ATO applies these rates from 2021–22 and future years, which includes 2025–26. A base rate entity has aggregated turnover under $50 million and no more than 80% of its assessable income from passive sources such as rent, interest and dividends. The ATO has not yet published a separate 2026–27 company rate table.

Under the ATO's registered agent lodgment program, most 30 June balancing companies lodging their 2025–26 return through a tax agent are due to lodge and pay by 15 May 2027. Companies with earlier returns outstanding at 30 June 2026 are due by 31 October 2026, and companies with 2024–25 total income over $2 million are due by 31 March 2027. Large and medium companies have their own dates.

The ATO's 2026 company return instructions say a company must lodge a 2025–26 return if it derived assessable income in 2025–26, or if it is carrying forward losses of more than $1,000 into 2026–27, even with no income in 2025–26. The ATO may also ask a company to lodge. Ross Accounting can check whether a company needs to lodge for the year.

A private company can lend to a shareholder or their associate, but under Division 7A the loan can be treated as an unfranked dividend unless it is repaid or put on a complying written loan agreement before the company's lodgment day. For the 2026–27 income year (ending 30 June 2027), a complying loan must charge interest of at least the ATO benchmark rate of 8.77%, run no longer than 7 years (25 years if secured by a registered mortgage) and have minimum yearly repayments.

A company's maximum franking credit depends on its corporate tax rate for imputation purposes, which assumes this year's turnover and passive income match the previous year. A company whose previous-year aggregated turnover was under $50 million, with no more than 80% passive income, generally uses a 25% rate, so a $75,000 dividend can carry up to $25,000 of franking credits under the ATO's formula. Otherwise the rate is 30%, and the same $75,000 dividend can carry up to about $32,143.

Ross Accounting Pty Ltd is a registered tax agent with the Tax Practitioners Board (registration number 21430015). Company work, including financial statements and company tax returns, is handled by its accounting team, including Chau Tran CPA. The firm's head office is in Brookvale on Sydney's Northern Beaches, with a branch in Redland Bay, Queensland.

Generally yes. The ATO requires the trustee to lodge a trust tax return every year, regardless of the amount of net income, unless the ATO has advised that a return is not required. Ross Accounting can check whether a dormant trust has any lodgment obligation.

Under the ATO's registered agent lodgment program, 2025–26 trust tax returns lodged through a tax agent that are not required earlier are due by 15 May 2027, or 5 June 2027 if any payment is also made by then. Trusts with prior year returns outstanding at 30 June 2026 are due by 31 October 2026, trusts whose latest return had a tax liability of $20,000 or more are due by 31 March 2027, and large and medium trusts have dates from 31 January 2027.

For the 2026–27 income year, the ATO says a resolution making beneficiaries entitled to trust income generally has to be made by 30 June 2027 to be effective for tax, or earlier if the trust deed requires it. Capital gains appointed from trust capital can be dealt with by 31 August 2027.

Yes, generally. The ATO explains that trust beneficiaries are taxed on their share of the trust's net income based on their share of trust income, regardless of when or whether the money is actually paid to them. The beneficiary includes that share in their own tax return.

No. The ATO confirms that from 1 July 2026, trustees of closely held trusts no longer lodge quarterly beneficiary TFN reports. Beneficiary TFNs are instead reported in the statement of distribution of the trust tax return, starting with the 2027 return. The final quarterly report, for April to June 2026, was due by 31 July 2026.

No. The 30% minimum tax on discretionary trusts was announced in the 2026–27 Federal Budget to start on 1 July 2028, so it would not apply to 2025–26 or 2026–27 trust tax returns, and the ATO states it is not yet law. Exposure draft legislation was open for consultation from 3 to 18 September 2026, and the details may change.

Tax planning looks ahead rather than back: structuring income, investments and loans, using the right business or trust structures, managing capital gains and keeping the records to prove every deduction. Ross Accounting helps individuals and businesses plan this way, within the law, so they keep more after tax. The right approach depends on each person's circumstances.

For 2026–27, Australian residents pay no tax on the first $18,200, 15% from $18,201 to $45,000, 30% from $45,001 to $135,000, 37% from $135,001 to $190,000 and 45% above $190,000, plus the 2% Medicare levy. The 15% rate replaced 16% from 1 July 2026, and the ATO says a further cut to 14% from 1 July 2027 is also law.

For 2026–27, the concessional contributions cap is $32,500 (up from $30,000 in 2025–26) and the non-concessional contributions cap is $130,000 (up from $120,000). People whose total super balance was under $500,000 on 30 June of the previous year may be able to carry forward unused concessional cap amounts from up to 5 earlier years.

Yes. From 1 July 2026 the $20,000 instant asset write-off is permanent for small businesses with aggregated turnover under $10 million that use the simplified depreciation rules, and the ATO states this is now law. The limit applies to each asset, and the deduction is claimed in the year the asset is first used or installed ready for use.

Yes. In 2026–27 an Australian resident who has owned an asset for at least 12 months can generally still use the 50% capital gains tax discount. The ATO states that from 1 July 2027 the discount for individuals, trusts and partnerships is replaced with cost base indexation and a 30% minimum tax rate, applying only to gains that accrue after 1 July 2027.

Acting early on an ATO debt generally gives you more options. The usual steps are to tally exactly what you owe, get help from an accountant, set a realistic budget, prioritise your debts and consider refinancing or consolidation. Ross Accounting can help you put a plan in place and deal with the ATO on your behalf.

The ATO general interest charge (GIC) is 11.43% a year for July to September 2026 and 11.51% a year for October to December 2026, compounding daily. The rate is set each quarter, and the rate for January to March 2027 had not been published at 4 October 2026.

No, not for interest incurred from 1 July 2025. Under the Treasury Laws Amendment (Tax Incentives and Integrity) Act 2025, general interest charge and shortfall interest charge incurred on or after 1 July 2025 cannot be deducted in 2025–26 or later returns. Interest incurred before 1 July 2025 can still be claimed in 2024–25 and earlier years.

Generally yes, if you owe $200,000 or less: individuals and sole traders can use ATO online services through myGov, and businesses can use Online services for business. A registered tax agent such as Ross Accounting can also set up a payment plan for you. Anyone who owes $200,000 or more, or who needs longer than 2 years to repay, generally has to phone the ATO (as stated by the ATO at October 2026).

Only until 30 November 2026. The ATO has announced it will stop accepting credit cards as a payment method after that date. A payment plan with a direct debit linked to a credit card needs a different payment method before the next instalment due after 30 November 2026.

Tax audit insurance covers the professional fees of responding to an audit, review or inquiry by the ATO or another government revenue authority. Ross Accounting offers it through Audit Shield from Accountancy Insurance, which covers the fees an accountant would normally charge, up to the limit of cover and subject to the policy terms.

No. Audit Shield covers the professional fees of responding to an eligible audit or review. Accountancy Insurance does not list tax, interest or penalties as covered, and says the policy does not pay for work unrelated to the audit response or for fees beyond the limit of cover.

According to Accountancy Insurance, yes. Once you are covered, audits of earlier returns are included, even returns your current accountant did not prepare, as long as the audit starts during the period of cover.

Accountancy Insurance says Audit Shield covers audits by state revenue offices, including payroll tax, land tax and stamp duty, as well as workers compensation audits. Its claims figures for 1 July 2025 to 30 June 2026 show payroll tax as the most frequent claim category, at about 15% of claims.

Ross Accounting works with Xero and MYOB to keep full transparency and accuracy over your financial records. The team also has experience with QuickBooks.

Yes. Ross Accounting prepares and lodges business activity statements (BAS) as part of its bookkeeping service, including GST calculations and reconciliations.

The ATO says a business generally needs to keep most tax and super records for 5 years, usually from when the record was made or the transaction was completed, whichever is later. Some records must be kept longer, and the ATO notes that ASIC requires companies to keep records for 7 years.

Under the ATO's standard dates, a quarterly BAS for 2026–27 is due on 28 October 2026 (July to September), 28 February 2027 (October to December), 28 April 2027 (January to March) and 28 July 2027 (April to June). Lodging online or through a registered tax or BAS agent can give more time for some quarters.

Since Payday Super started on 1 July 2026, employers generally must make sure each super guarantee contribution reaches the employee's fund within 7 business days after payday, instead of paying quarterly. In 2026–27 super guarantee is 12% of qualifying earnings, reported through Single Touch Payroll, so payroll and super need to be processed together every pay run.

Generally yes. Single Touch Payroll has been mandatory for employers with 19 or fewer employees since 1 July 2019, unless a deferral or exemption applies. Pay, PAYG withholding and super information is reported to the ATO through STP-enabled software each time employees are paid.

Under the ATO's rules as published for 2026–27, a business must register for GST within 21 days of its GST turnover reaching $75,000 or more, or $150,000 or more for a non-profit organisation, measured either over the current month and the previous 11 months or projected over the current month and the next 11 months. Taxi and ride-sourcing drivers, people earning through digital platforms and businesses claiming fuel tax credits must register whatever their turnover.

Under the ATO's registered agent lodgment program for 2026–27, an eligible quarterly BAS lodged electronically by a tax or BAS agent is due on 25 November 2026 for July to September (instead of 28 October), 26 May 2027 for January to March (instead of 28 April) and 25 August 2027 for April to June (instead of 28 July). There is no extra time for October to December, which is already due on 28 February 2027.

According to the ATO, a business must lodge its BAS monthly if its GST turnover is $20 million or more or the ATO has directed it to; otherwise it lodges quarterly and can choose to report monthly. A monthly BAS is due on the 21st of the following month, and a quarterly BAS for 2026–27 is due on 28 October 2026, 28 February 2027, 28 April 2027 and 28 July 2027, with later dates for eligible BAS lodged electronically by a registered agent.

Yes. The ATO requires a GST-registered business to lodge its BAS by the due date even when there is nothing to report for the period, by lodging it as a nil BAS. A nil BAS can be lodged online, through a registered tax or BAS agent such as Ross Accounting, or in some cases through the ATO's automated phone service.

PAYG withholding is the tax an employer withholds from wages and passes to the ATO through the BAS, while PAYG instalments are prepayments of the business owner's or entity's own income tax, credited against the tax assessed in the annual return. The 2026–27 Budget announced monthly opt-in and more flexible PAYG instalments from 1 July 2027, but the ATO states these measures are not yet law.

Under the ATO's rules as published for 2026–27, a GST-registered business needs a valid tax invoice to claim a GST credit on a purchase costing more than $82.50 including GST. For purchases of $82.50 or less, a receipt, cash register docket or invoice is generally enough. GST credits must be claimed within a 4-year time limit.

Payday Super started on 1 July 2026. Under it, employers pay super guarantee for each payday instead of quarterly, calculated as 12% of qualifying earnings for 2026–27, and the contribution generally must be received by the employee's super fund within 7 business days after payday. The first contribution for a new employee or a new fund has 20 business days.

The super guarantee rate for 2026–27 (1 July 2026 to 30 June 2027) is 12%, the same as 2025–26, and the ATO lists 12% from 1 July 2027 onwards. From 1 July 2026 it is calculated on qualifying earnings, and employers do not have to pay super guarantee on earnings above the maximum contribution base of $270,830 for 2026–27.

Generally yes. Single Touch Payroll has been mandatory for employers with 19 or fewer employees since 1 July 2019, unless a deferral or exemption applies. Pay, PAYG withholding and super information is reported to the ATO through STP-enabled software on or before each payday, and from 1 July 2026 STP reports must include both qualifying earnings and super liability.

From the first full pay period starting on or after 1 July 2026, the National Minimum Wage is $1,004.90 a week or $26.44 an hour, according to the Fair Work Ombudsman. It applies to employees not covered by an award or registered agreement. Minimum award wages rose by 4.75% from the same date, and most employees are paid under an award.

Under Fair Work rules, employers must give each employee a payslip within 1 working day of payday, even if the employee is on leave. Payslips can be paper or electronic, and employers must keep time and wages records for 7 years.

No. The ATO's Small Business Superannuation Clearing House closed to new users on 1 October 2025 and is no longer accessible from 1 July 2026, when Payday Super started. Employers now need another way to pay super, such as STP-enabled payroll software or a commercial clearing house, allowing enough time for the money to reach the fund within 7 business days of payday.

Yes. Ross Accounting uses Xero and MYOB for bookkeeping, payroll, BAS and year-end accounts, and its bookkeeper Angela Ross has experience in bookkeeping for small businesses using MYOB, QuickBooks and Xero.

Generally yes, for a business. The ATO says a business can claim a deduction for the cost of commercial off-the-shelf record-keeping software used in the business, including subscription fees. Cloud accounting packages such as Xero and MYOB are commercial off-the-shelf software of this kind.

Before changing accounting software, the ATO says to download a complete copy of any records stored in the cloud so you do not lose access to them. Business records generally have to be kept for 5 years, and you must be able to reconstruct your original data if your record-keeping system changes.

Yes. The ATO says that entering the details of a receipt or invoice into accounting software does not replace the record itself, so a copy of the original must still be kept, either on paper or as a true and clear digital image. Attaching a photo of the receipt to the transaction in Xero or MYOB is one way to do this.

Yes. Single Touch Payroll is mandatory for employers unless an ATO deferral or exemption applies, and pay, PAYG withholding and super information is sent to the ATO through STP-enabled software each payday. Under Payday Super, which started on 1 July 2026, employers also report both qualifying earnings and super liability through STP for 2026–27.

There are four: the balance sheet (assets, liabilities and equity at a point in time), the income statement (revenue and expenses over a period), the cash flow statement (cash in and out of the business) and the statement of retained earnings. Ross Accounting prepares all four.

Generally no. ASIC says most small proprietary companies are not required to prepare a formal financial report. A report may be required if ASIC directs it, if shareholders request one or if the company is controlled by a foreign company. The company still needs year-end accounts to prepare its company tax return.

Under ASIC's thresholds for financial years starting on or after 1 July 2019 (which include 2026–27), a proprietary company is large if it meets at least two of these: consolidated revenue of $50 million or more, consolidated gross assets of $25 million or more, or 100 or more employees at year end. Large proprietary companies must prepare and lodge a financial report and directors' report each year, audited unless ASIC grants relief.

The ATO requires every self-managed super fund to prepare a statement of financial position and an operating statement each year, using market values for fund assets. These go to an independent ASIC-registered SMSF auditor, who must be appointed at least 45 days before the SMSF annual return is due, and the audit is needed even in a year with no contributions or payments.

The ATO says most business records must be kept for 5 years, and notes that ASIC requires companies to keep records for 7 years. Keeping a company's financial records for at least 7 years generally satisfies both, although some records have longer retention periods. Ross Accounting can help set up record keeping that makes year-end straightforward.

It depends on the type and size of your business, your personal circumstances and your plans for growth. The four common structures are sole trader, partnership, company and trust, and each affects your tax, personal liability, asset protection and running costs. Ross Accounting can talk you through the options in a free half-hour consultation.

Registering an Australian Business Number (ABN) through the Australian Business Register is free. Registering a business name with ASIC costs $47 for 1 year or $108 for 3 years, the fees that apply from 1 July 2026 for the 2026–27 financial year.

A new business must register for GST within 21 days once its GST turnover reaches $75,000 or more, and that includes a business that expects to reach $75,000 in its first year of operation (the threshold is $150,000 for non-profits). Taxi and ride-sourcing drivers must register regardless of turnover. Below the threshold, and outside those special cases, GST registration is optional. These are the ATO's rules for the 2026–27 financial year.

For 2026–27, a company that is a base rate entity pays 25% tax and other companies pay 30%, with no tax-free threshold. A sole trader's business profit is taxed at individual rates as part of their personal income, and the first $18,200 of an Australian resident's taxable income is tax free in 2026–27.

Yes. According to business.gov.au, a sole trader who moves the business into a company must cancel the sole trader ABN, and the company registers for its own ABN. The same applies when moving from a sole trader to a partnership or from a partnership to a company.

A company is a separate legal entity, so it can conduct business throughout Australia in its own right, offers limited liability and pays tax at the corporate rate. Ross Accounting can advise whether a company suits your situation and handle the formation for you.

From 1 July 2026, ASIC charges $636 to register an Australian company having share capital and $524 for a company without share capital. Reserving a company name costs $65. These are ASIC's government fees for 2026–27 and do not include any accounting fees.

From 1 July 2026, the ASIC annual review fee is $342 for a proprietary company and $70 for a special purpose proprietary company. The fee is usually due 2 months after the annual review date, and ASIC charges a late fee of $102 within 1 month or $428 after that.

Yes. A person who plans to become a director of a company under the Corporations Act 2001 must apply for a director ID before being appointed, and ASIC requires directors to have one before a company is registered. The director ID is free, is kept for life and must be applied for by the director personally, not by an accountant or agent.

In 2026–27, a company that is a base rate entity (aggregated turnover under $50 million and no more than 80% of assessable income from passive sources) pays company tax at 25%. Other companies pay 30%. The ATO lists these rates as applying from 2021–22 and future income years.

Trusts are commonly used for asset protection, investment and estate planning. Ross Accounting advises on fixed, unit, discretionary, bare, hybrid, testamentary, charitable and superannuation trusts, with legal advice available from its in-house solicitor.

No. The ATO explains that a trust is a legal relationship, not a separate legal entity, with a trustee holding property for beneficiaries. For tax purposes, however, a trust is treated as a taxpayer entity, so it needs its own TFN and the trustee lodges a trust tax return each year.

For the 2026–27 income year, the ATO says a resolution making beneficiaries entitled to trust income must generally be made by 30 June 2027 to be effective for tax, or by an earlier date if the trust deed requires it. Making beneficiaries specifically entitled to capital gains by appointing trust capital to them must be done by 31 August 2027.

Generally yes. The ATO requires the trustee to lodge a trust tax return every year regardless of the amount of net income, unless the ATO has advised that a return is not required.

No. The 30% minimum tax on discretionary trusts was announced in the 2026–27 Federal Budget to start on 1 July 2028, and the ATO states it is not yet law. Exposure draft legislation was released for consultation from 3 to 18 September 2026.

A self-managed super fund (SMSF) is a super fund with up to 6 members where the members are also the trustees (or directors of the corporate trustee) and run the fund for their own benefit, which makes them responsible for complying with superannuation law. Ross Accounting specialises in establishing SMSFs and preparing their accounts and tax returns.

An SMSF can have up to 6 members. With individual trustees every member must be a trustee, and a single-member fund needs 2 trustees; with a corporate trustee every member must be a director of the trustee company, and each director needs a director ID before the fund is registered.

Yes. Every SMSF must be audited each year by an independent SMSF auditor registered with ASIC, even in a year with no contributions or payments. The ATO requires the auditor to be appointed no later than 45 days before the SMSF annual return is due, and the audit must be finished before the return is lodged.

The ATO currently lists the SMSF supervisory levy as $259 for an existing fund, paid with the annual return in advance for the next financial year, and $518 for a newly registered fund, covering the current and next financial year (ATO lodgment page last updated 24 August 2026).

For the 2026–27 financial year the concessional (before-tax) contributions cap is $32,500 and the non-concessional (after-tax) contributions cap is $130,000, up from $30,000 and $120,000 in 2025–26. The caps apply per member across all of their super funds, including an SMSF.

A new SMSF must be registered with the ATO within 60 days of being legally established, by applying for an ABN and TFN through the Australian Business Register and electing to be regulated. A fund that is not registered misses out on the tax concessions, and employers cannot claim deductions for contributions to it.

Yes. Solicitor Geoff Versace practises from the offices of Ross Accounting and handles conveyancing, business leases, wills, franchising, debt collection and litigation. You can call Geoff directly on (02) 9938 3799.

Yes. The NSW Government states that solicitors and licensed conveyancers are equally qualified to do conveyancing in NSW, and both must hold professional indemnity insurance. At Ross Accounting, conveyancing is handled by in-house solicitor Geoff Versace.

The NSW Government recommends reviewing a will every 5 years, and also after major life events such as marriage, separation or divorce, having children, a change in finances, moving overseas, or the death of a beneficiary or executor. Ross Accounting's in-house solicitor can update a will for a fixed fee.

Not always. The NSW Government explains that in many cases superannuation and life insurance may not form part of a person's estate, because a super fund is set up as a trust and its trustee is the legal owner. Assets in a trust, company assets and property held as joint tenants usually sit outside the estate too, which is why estate planning often needs both legal and accounting advice.

As checked in October 2026, the Local Court of NSW hears civil claims of up to $100,000, and its Small Claims Division deals with claims of up to $20,000. The Court suggests getting legal advice before starting proceedings for amounts over $10,000.