Ledgertime Pty Ltd

19/05/2026

The Federal Budget. WOW. What a Mess.

More questions than Answers at the moment. Still Digesting all the issues.

Changes to Capital Gains Tax - From 1 July 2027 50% CGT discount no longer applies, Indexed amount used. 50% discount used up to 30 June 2027, then indexed. So a split calculation. There will also be a MINIMUM Tax rate on CGT of 30%. So effectively if you have no other income, you will not get any Tax Free component, the 30% will apply form Dollar 1.

IMPORTANT to obtain a Market Valuation of the Property at or near 30 June 2027 to assist in any future calculation on Sale.

Discretionary Trust Distributions from July 2028 will incur a Non-Refundable 30% tax. This means the 30% tax on distribution can only be used to reduce liability to zero. Again if you have low income, you are PAYING more in Tax. If the Trust has Shares with Franking Credits, which currently stream to the individual, they will effectively be lost, which again means the Individual is paying more tax.

NEGATIVE GEARING - will only apply to NEW BUILDS of Residential property, not existing houses. The Loss amount will be quarantined and can only be used against other Rental Income or a future Capital Gain. If a property is currently owned before the date of the Budget, the old rules apply. Still seeking clarity where an persons Primary Residence changes to a Rental after Budget night as to how that will be treated. Commercial Property not affected, nor Share purchases.

For a Budget that was suppose to help younger taxpayers, I am at a Loss to see how they are better off, nor be able to have a mechanism to Better their life via investment aside from their weekly wage.

To target older Australians who have used these mechanisms to scrimp, save and do without to enable a better life later on, and then deny the next Generations from that same Mechanism is wrong. Considering 23 of 25 Labor Senators have 2 or more properties (along with all the other politicians) and effectively wont be affected, who's nests are being feathered?

This Budget still needs to get through the Senate, so it is still unknown what its final form will be. The final result may in fact be a lot worse given the make up of the Senate.

WATCH THIS SPACE

10/02/2026

Looking for a restful and rejuvenating activity to do alone or with a friend? Join us on Tuesday for our monthly guided meditation at JoF.

Tickets are $15 each, and the session will be held from 6:30pm to 7:15pm 🕖 Doors open 6.15pm!

You’ll thank us later. ✨

28/01/2026

Our Tax System is not fit for purpose anymore, plus our Government is not fit to spend it.

14/07/2025

Welcome to the new Tax Financial Year.

What are some key takeaways as we prepare for your tax return.

Record Keeping is the most important, no receipt no claim. A bank statement line is not sufficient. The receipt can be a digital version provided it truly reflects the original paper receipt.

Vehicle use - when claiming the Cents/Kilometer method they need to be substantiated ie how did you get the total. A log book is not required unless you are claiming a full vehicle deduction schedule.

Protective clothing - ordinary clothing is not claimable.

Home Office use - a Log/Diary/Timesheet of all hours worked from home for the 2024/25 year (an estimate is not enough). The cents per hour simplified rate includes telephone and internet along with house running costs. Office equipment can still be claimed.

Deductions need to be apportioned where there is a private component. If you were reimbursed by your employer, the amount is not claimable.

Travel claims need to be substantiated.

If you receive an allowance from your employer you may be entitled to claim a deduction against the amount paid. (Just because you have an allowance on your income statement, does not mean you are entitled to claim a deduction against the amount declared).

Always here to answer your questions.

See you soon.

Craig

26/03/2025

Well, we have just had "the Budget we had to have, not the one we needed."

Not really anything that is going to rock your world. Tax cuts starting 1 July 2026 will save you $5 a week and another $5 per week 1 July 2027. Looks like they are attempting to lock this in by tabling today the legislation along with the Medicare changes. Whether it passes parliament is yet to be seen before the election is called.

With Bracket Creep affecting most peoples income, they will probably not even see this saving.

Major reforms of our taxation system, as it is not fit for purpose, is long overdue, but alas, no political party is willing to make the change in how we are taxed.

We need to take tax decisions away from Political Parties and put in the hands of an independent body/board (like the Reserve Bank is) with key stakeholder representatives, creating the best system of taxation for the whole county, and set for the future needs.

Perhaps we all need to pressure our local politicians to agree to undertake bipartisan change.

19/06/2024

Just received an email purportedly from MyGov titled "Account Alert" stating that an extra layer of security has been added and to click on the link.

SCAM SCAM SCAM

DO NOT CLICK ON THE LINK

MyGov will NEVER send you an email with embed link to log in.

06/06/2024

As we approach the end of the Financial Year it's time to prepare.

Wanting to claim a deduction for after-tax Superannuation Contributions to reduce your tax liability ?

Any monies paid in need to be received by your fund by 30 June, so allow time for the payment to process, don't leave it till the last few days because if the fund receives it on the 1st of July, no claim this year!!

A Notice of intent to claim form only needs to be lodged before your tax return or the end of the next financial year (whichever is first), so no rush to do straight away.

TAX TIME - Under the Microscope of the ATO

- Failing to include ALL income when lodging - The ATO has warned against rushing to lodge early in July to avoid missing income. Income Statements from employment need to be finalised, and Investment earnings (interest, dividends etc) declared prior to lodging. This information is now generally available by the End of July, so a little wait could save any potential penalties.

- Home office expense claims - A diary of actual hours working from home with details is now required, with a limited claim amount.

- Substantiation - The ATO requires all deductions to be substantiated. if you do not keep receipts, there can be no claim.

- Rental Properties - The ATO is closely scrutinising Rentals to ensure correct claims are made. Interest is being closely looked at with the ATO now data matching with financial institutions for Loan Information (particularly when refinancing, only the Investment not private amount is included), Property Managers, Landlord Insurance providers and Sharing Economy providers. For property availability, where private use is involved, an apportionment needs to occur.

- Car Expenses - If using a log book, you need to detail each day travel, odometer start and finish and purpose of trip for at least a 3 month period. If you have purchased a new vehicle, or your work use has changed, a new log book is required.
Vehicles like a dual cab Ute (ie tradie) need to recognise private use component if the vehicle is used outside of work related activities ie going fishing or taking the kids to sport. So a log book should be kept to allow apportionment.

- Donations - Only Donations to Registered Charities on the Deductible Gift Recipients (DGR) register are claimable. Lottery tickets or donations where you receive something in return are not claimable. To check their DGR status, go to
https://abr.business.gov.au/Tools/DgrListing

- Business or Hobby? - If you are making some extra money in a side Hussle, the ATO may ask this question. They now receive data from Banks, EFTPOS providers, EBAY and other online sale providers showing income transactions, and will be looking to see if that information is declared on the tax return.

- Overseas Assets/Transactions - If you have money in overseas bank accounts, other investments or property overseas, the ATO now receives more data from other Countries Tax Agencies as well as data from AUSTRAC for transactions.

As an Australian Resident for Tax Purposes you are required to declared all worldwide income in your Australian Tax Return. You may be entitled to a credit for any tax paid in another Country.

04/04/2024

Bring a friend to your infrared sauna session for FREE and sweat and relax together!

Did you know that…. Infrared saunas to be very effective in reducing the stress response and creating balance in the automatic nervous system. They can improve circulation, help with weight loss, balance blood sugar, and improve detoxification- each of which improves brain function. Dr Mark Hyman, - MD, functional Medicine Doctor.

Offer valid from 23rd to the 28th of March. Valid for any duration. Unlimited sauna sessions can be booked between this time.

For online bookings, please reserve a couples sauna session, or call one of our wellness advisors on 0483883633.

We look forward to helping you relax soon. 😎

16/03/2024

🍔 Don’t miss our Fridge deal, artists!! 🎨

With one week of Fringe left for the year, don’t forget that you can flash your artist pass to enjoy a FREE fresh squeezed juice with any burger purchase! Cheers to that! 🎟️

16/03/2024