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.

Australian Budget 2021

HIGHLIGHTS FOR BUSINESS

  • Investment boost for business: Effective immediately (until 30 June 2022), businesses with turnover up to $5 billion will be able to deduct the full cost of eligible depreciable assets of any value in the year they are installed. This is a major incentive for businesses to bring forward investments and represents a $26.7 billion commitment over the forward estimates. Business NSW called on the Government to commit to expanding investment allowances as part of our pre-Budget submission.
  • JobMaker hiring credit: In line withBusiness NSW’s proposal for a Youth Jobs Guarantee, the Budget announces support for young people looking for work. From tomorrow, businesses that take on a jobseeker aged under 35 years will receive a payment of $200 a week for an eligible young person aged 16-29 years and $100 a week for a young person aged 30 to 35 for up to 12 months. Employers must demonstrate they have increased their overall employment. This will help employers get young people back into work, ensuring we don’t lose a generation of workers to this crisis. It is estimated the $4 billion scheme will support around 450,000 young Australians into jobs.
  • Apprentice and trainee subsidy: The Government has responded to Business NSW’s calls for a skills package for younger workers, including a $1.2 billion package for employers taking on new apprentices or trainees. The subsidy extends support for existing apprentices and trainees. The 50 per cent wage subsidy will support 100,000 new positions, a vital step towards maintaining a pipeline of skilled workers at a financially difficult time for business.
  • Temporary loss carry-back: The Government will also allow companies with turnover up to $5 billion to offset losses against previous profits on which tax has been paid to generate a refund. Loss carry-back will be available to around 1 million companies that employ up to 8.8 million workers. This measure is expected to deliver $4.9 billion in tax relief to businesses over the forward estimates.
  • Business tax concessions: An additional $2 billion will be invested through the R&D Tax Incentive, including increasing the refundable R&D tax offset and removing the cap on annual cash refunds for small claimants. Larger claimants will be subjected to a streamlined intensity test with the cap lifted from $100 million to $150 million a year.Businesses will also receive FBT tax concessions if they pay to retrain or reskill workers. Businesses with an annual turnover of between $10 million and $50 million will gain access to up to ten small business tax concessions. This will include being able to immediately deduce certain start-up expenses, as well as FBT exemptions for car parking and eligible work-related electronic devices.
  • Support for construction sector: With a sharp slump in population growth, the Budget announces several new initiatives to boost construction. This includes additional incentives for first homebuyers to purchase new dwellings, boosting arrangements to encourage institutional investment into affordable housing and a capital gains tax exemption for granny flats (where there is a formal arrangement for older Australians or persons with a disability). These initiatives complement the existing HomeBuilder scheme ($25,000 grants for eligible renovations or new builds) which applies to eligible contracts entered into up to 31 December 2020.
  • Manufacturing-led recovery: The Government will invest $1.5 billion to boost Australian manufacturing in areas where Australia already enjoys an advantage. The Modern Manufacturing Initiative will support Australian businesses to scale-up in priority areas including resources technology, food and beverage, medical products, recycling and clean energy, defence and space. Roadmaps to guide investments in these priority sectors will be co-designed with industry. Manufacturing will also be boosted by recent announcements relating to gas supply, responding to recommendations made in our Running on empty report.
  • Regional tourism recovery: The Government will invest over $250 million for a Regional Tourism Recovery Package. Regional communities will benefit from $200 million in grants through the Building Better Regions Fund with $100 million of the fund earmarked for tourism-related infrastructure projects that will boost regional tourism.

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.