Director Identification Numbers
Australian directors have to apply for their unique director identification numbers before fines of more than $1.1 million kick in.
Company directors must apply for a DIN by 30 November this year, and directors of Indigenous corporations that are governed by the Corporations (Aboriginal and Torres Strait Islander) Act 2006 must apply for the unique identifier by 30 November 2023.
DIN applications are free. Applications must be made by each director (not their accountant) and are best done online through MyGov. We can assist as necessary.
More information can be found at https://www.abrs.gov.au/director-identification-number
Income tax 2022
The Australian Taxation Office has announced four key focus areas for Tax Time 2022:
- work-related expenses
- rental property income and deductions, and
- capital gains from crypto assets, property, and shares.
The tax office is prioritising these areas to ensure there is an appropriate level of scrutiny on correct reporting of deductions and income.
Super changes starting 1 July 2022 - Employer communications
From 23 May to 2 June 2022, the Tax Office will be progressively sending a range of SMS, emails and letters to all employers letting them know about two important changes to super guarantee (SG). Most will receive this information by email.
The changes are:
- the rate of Superannuation Guarantee Contributions (SGC)is increasing from 10% to 10.5%
- the $450 per month eligibility threshold for when SGC is paid is being removed.
Family and Discretionary Trusts
The Tax Office has announced comprehensive new scrutiny over trusts being used as vehicles to lower average tax rates particularly where the beneficiary does not actually receive the income that maybe attributed to them.
Our previous newsletters have covered this issue but as trust resolutions on income distributions are generally documented in these weeks leading up to 30th June ,this is a timely reminder that there are many considerations.
As always your MVAB team person is available to discuss all the matters contained in this newsletter as to their application to your particular circumstances.