December 2023 Newsletter
December 2023 Newsletter
Superannuation remains a cornerstone of financial planning for most Australians. In this issue, we provide you with a practical to-do list to make sure that your super is working optimally for you. This to-do list includes consolidating your super, reviewing your investment strategy, checking your beneficiary nominations and insurance within your superannuation. Undertaking these tasks can significantly impact your long-term financial health and security and will be crucial for ensuring your retirement savings are working effectively for you.
Tax challenges can arise in unexpected ways, such as dealing with lost or destroyed records. We provide guidance on how to navigate missing records to ensure compliance and accuracy in your tax affairs.
In this issue we also provide the latest values for goods taken for private use, and note that lesser or greater values may be used if you provide the evidence for your valuation.
We provide insights into how you can actually have two "main residences" for Capital Gains Tax purposes - but this is a complex area and there are many conditions which must be met. Let us know if you need help with this issue.
We alert you to the ATO's more robust approach to tax debts, the particular areas on which they are focused, and ways in which you can in certain instances restructure your debt.
Lastly, we look at the taxation of superannuation death benefits. There is much you can do to ensure that your beneficiaries will not pay tax on your death benefits. A vital task is to ensure that your beneficiary is a "tax dependant" and we explain what this means.
We hope this edition provides you with valuable insights and practical advice.
Contents
This edition features pieces on:
Give yourself a super gift this Christmas We provide a super to-do list - including consolidating your super, reviewing your investment strategy, making extra contributions, checking your insurance and more to help boost the amount of super you will have in retirement.
Lost or destroyed tax records? Don't panic! Natural disasters, moving house, technology failures - all of these often unforeseen events can result in the loss or destruction of important documents. This article provides some leads on how to recover lost information - including contacting the ATO, your employer, and of course your friendly tax professional.
Taken goods for private use? Here's the latest values It's common practice for business owners to take goods from their trading stock for private use. The ATO has released values for these goods for the 2023-24 income year. Be aware that the ATO may accept greater or lesser values - but you must provide evidence to back up your valuation.
Two main residences is possible This article looks at the circumstances in which it's possible to access the main residence for two properties. It's to do with overlapping ownership for a period of up to six months. The conditions which must be met are complex so you will need the help of your tax adviser.
Don't ignore those tax debts - the ATO won't! While the ATO was keen to assist businesses during covid, that period is well and truly over and it is taking a more robust approach to collecting debts. Contact us to see if you are eligible to use the ATO's Simplified Debt Restructuring program.
The taxation of super death benefits The tax treatment of superannuation death benefits can be complex - is the beneficiary a tax dependant? What are the components of the benefit? Will it be paid in a lump sum or income stream? We can help you to ensure your death benefits will be distributed in the most tax-effective manner.