Bookkeeping Services

Bookkeeping Services

It’s vital to keep accurate records for GST and tax purposes. Good bookkeepers assist greatly in increasing your efficiency, managing your finances and avoiding any penalties. Using state-of-the-art cloud bases systems we can teach you to do your own bookkeeping manage your existing bookeepers or do all of your bookkeeping at a rock bottom rate. It’s completely up to you More »

Tax Services

Tax Services

Pop Up Tax Shop is staffed by fully qualified accountants and tax specialists. They may not have suits or corner offices but they know their stuff. We believe you should be able to do your tax in places that suit you, that’s why we pop up in shopping centres and other helpful places. You can do your tax online with us if you like, but we think these things are easier face to face. You have the chance to ask questions and pick our brains about tax stuff. We’re here to help. More »

Mortgage Home Loan

Mortgage Home Loan

You are deserve to choose the better home loan choice, Free to call us for better home loan rate today ! More »

Accounting Software

Accounting Software

We have been cloud accountants since the start, it’s in our DNA. We know Xero very well, and we can show you how it can impact (revolutionise) your business. Real time information presented in an easy to understand actionable format is vital to modern business. Our cloud accounting solutions let you keep pace with todays fast moving commercial environments; helping you to take business to the next level and save time and money. We can help move your business to a new platform with a minimum disruption as you make the change. More »

 

Welcome to Abner Advisors

Leveraging our core strength of Accounting and Bookkeeping, we handle the parts of your back office you would rather not! We will free you up to run your business. Let us manage your accounts, pay your staff, lodge your BAS, do your administration and filing, find new clients for you, and collect cash from debtors. Close to you, we have offices in Melbourne, Sydney, Brisbane and Perth.

Self Employed Home Loan – using add backs to increase your borrowing capacity

When applying for a self employed home loan your taxable income isn’t the same as the actual income that can be used to assess your capacity to meet your commitments, including the repayments for any new loans, therefore some lenders add back any expenses incurred that reduced your taxable income.

By adding back expenses you can increase your assessable income and your borrowing capacity !

Some examples of add backs for a self employed home loan

Depreciation: Depreciation is a tax deduction, however it is not a day-to-day cash expense. For this reason some lenders add it back to your taxable income but amount of allowance varies depending on the nature of asset being depreciated. Assets with a high turnover may have a reduced amount of depreciation permitted as an add back by the lender.

Additional superannuation: If you have made lump sum or regular voluntary super contributions in excess of your minimum statute requirements then these extra amounts can be added back in most cases.

Net Profit Before Tax (NPBT): If you have profits that you have retained in your company then these can be taken into account as well, but only for the period on which the credit assessment is based. If you don’t own the entire company then lenders will assess your share of those retained profits.

One off expenses: If you had an extraordinary expense then the lender will often add this back. Before applying for a self employed home loan you will need to get a letter from your accountant confirming this was an extraordinary one-off expense.

Interest & lease expenses: If you have a business loan or investment loan, then it is likely that you have tax deductions for the interest that you have paid. Lenders will add this back as they will assess all commitments that you have separately in their serviceability calculator.

Rental property expenses: Depreciation on your properties, management fees, repairs and other rental property deductions such as negative gearing are all added back. Rental income is also deducted from your income as lenders assess this separately to your main income.

Company car: If you have a car that is used by your business and yourself then it is likely that you have deducted many of the expenses associated with this car for tax. Lenders do not add this back, however they often will add back up to $6,000 in gross income to compensate for this if it is the sole vehicle within the family unit. Where a private vehicle is maintained within the family then no allowance will be considered.

Trust distributions: If you have your business in a discretionary trust and have chosen to distribute income to some of your family members then in most cases this can be added back. Note that many lenders do not accept this add back, or will only do so if you provide a letter from your accountant to confirm that the beneficiaries are not financially dependent on this income.

So assessing which add backs can be applied for a self employed home loan and with which lender can be very complicated, this can result in reducing your borrowing capacity, by using the services of an experienced mortgage broker you will ensure that you have maximised your borrowing capacity.

Open Application for COVID-19 Div 7A loan repayment extension

Later in June 2020, the ATO issued an announcement entitled “Request to extend time to make minimum yearly repayments for COVID-19 affected borrowers under section 109RD“. It says, in part: “As a result of the COVID-19 situation, we understand that some borrowers are facing circumstances beyond their control. To offer more support, we’ll allow an extension of the repayment period for those borrowers who are unable to make their MYR” (minimum yearly repayment) “by the end of the lender’s 2019-20 income year (generally 30 June).”

Minimum wages to increase by 1.75%

The Fair Work Commission has announced a 1.75% increase to the National Minimum Wage (NMW) following its 2020 Annual Wage Review.

Tax time 2020: Work-related hotspots for 2020

https://www.ato.gov.au/Tax-professionals/Prepare-and-lodge/Tax-Time-2020/?=redirected_TaxTime

The ATO has also announced work-related expenses deductions that it will be paying close attention to this year, in light of COVID-19.

Extending the instant asset write-off

The bill also includes the extension of the $150,000 instant asset write-off threshold for a further six months until 31 December 2020, as announced by the government last week.

Request to extend time to make minimum yearly repayments for COVID-19 affected borrowers under section 109RD

ATO issued an update to its website entitled “Request to extend time to make minimum yearly repayments for COVID-19 affected borrowers under section 109RD”.

Covid 19 Stimulus Package

Your go-to quick guide for employer and employer relief packages by the Federal Government 

Covid19 – $130bn wage subsidy to cover 6 million workers

Prime Minister Scott Morrison has now unveiled an extraordinary $130 billion wage subsidy which will see businesses receive $1,500 a fortnight per employee for the next six months.

Covid19 – How cloud based accounting solution can fight coronavirus lockdown

The global economy is reeling under the stress of Coronavirus, the pandemic that has reached 193 countries, impacting the livelihood of people worldwide.

Covid19 – JOBKEEPER PAYMENT — INFORMATION FOR EMPLOYERS: ATO

OBLIGATIONS ON EMPLOYERS
To receive the JobKeeper Payment, employers must:


• Register an intention to apply on the ATO website and assess that they have or will experience the required turnover decline.
• Provide information to the ATO on eligible employees. This includes information on the number eligible employees engaged as at 1 March 2020 and those currently employed by the business (including those stood down or rehired). For most businesses, the ATO will use Single Touch Payroll
data to pre-populate the employee details for the business.
• Ensure that each eligible employee receives at least $1,500 per fortnight (before tax). For employees that were already receiving this amount from the employer then their income will no change. For employees that have been receiving less than this amount, the employer will need to up the payment to the employee up to $1,500, before tax. And for those employees earning more than this amount, the employer is able to provide them with a top-up.
• Notify all eligible employees that they are receiving the JobKeeper Payment.
• Continue to provide information to the ATO on a monthly basis, including the number of eligible employees employed by the business.