Welsh Tax

We want to take a moment to express our heartfelt gratitude to all our clients continued trust and support. It's been a pleasure working with you all this year! We hope your holidays are filled with laughter, joy, and all the things that make this time of year so special. May your Christmas be merry and bright. From the Welsh Tax Team 🎄🙌🥂🍻

Here are some key resolutions to consider as you plan for a financially sound year ahead: 1. Set Clear Financial Goals Start by defining your financial objectives for the year. Whether it's saving for a home, reducing debt, building an emergency fund, or planning for retirement, having clear goals can provide direction and motivation. 2. Create and Stick to a Budget A well-structured budget is the cornerstone of good financial management. Outline your income and expenses, and allocate funds to necessary categories such as housing, groceries, utilities, and savings. Stick to your budget and track your spending to avoid unnecessary expenses. 3. Build an Emergency Fund An emergency fund acts as a financial safety net during unexpected situations, such as medical emergencies or job loss. Aim to save at least three to six months' worth of living expenses in a separate, easily accessible account. 4. Reduce Debt Prioritize paying off high-interest debts, such as credit card balances and personal loans. Strategies like the debt snowball or debt avalanche method to systematically reduce your debt burden and save on interest payments. 5. Review Your Superannuation Take a closer look at your superannuation account. Ensure your contributions are on track, review your investment options, and consider consolidating multiple accounts to save on fees. Making voluntary contributions can also boost your retirement savings. 6. Plan for Big Expenses Identify any significant expenses you anticipate this year, such as a new car, home renovations, or a holiday. Start saving for these expenses now to avoid financial strain later. 7. Invest in Your Financial Education Knowledge is power when it comes to managing your finances. Take the time to educate yourself about investment options, tax strategies, and personal finance principles. Consider attending workshops, reading books, or consulting with a financial advisor. 8. Review Your Insurance Coverage Ensure you have adequate insurance coverage for your needs, including health, home, car, and life insurance. Reviewing your policies annually can help you identify gaps in coverage and potentially save on premiums. 9. Stay Organised Keep your financial documents well-organised and up to date. This includes bank statements, tax returns, investment records, and receipts. Being organised will make it easier to track your financial progress and prepare for tax season. 10. Seek Professional Advice Consulting with an accountant or financial adviser can provide valuable insights and tailored advice to help you achieve your financial goals. They can assist with tax planning, investment strategies, and overall financial management. Remember, the key to financial success is consistency, discipline, and a proactive approach. Happy New Year and here's to achieving your financial goals in 2025! If you have any questions or need personalised advice, don't hesitate to reach out. Cheers to a financially successful new year! 

To say that the newly introduced Agent Client Linking can be a tedious process for a client, would be an understatement! We have worked through this process with our clients and here are some of our tips. Check out our latest blog for more information https://lnkd.in/gkQany6D

The Australian Taxation Office (ATO) has renamed the app to myID to reduce confusion between myGovID and myGov. What You Need to Know: Name Change: The app is now called myID, but how you use it remains the same. What Remains Unchanged: Your same login details and identity strength. Continued use—the existing app will automatically update, or you can manually update it from the App Store or Google Play. The same authorisations in RAM. Secure access to a range of government online services. Important Reminder: There's no need to set up a new myID or reconfirm your details. If you've been asked to do so in a message, email, or by visiting a website, it could be a scam. If you’re experiencing any issues with myID, please visit myID Help for assistance.

Recent Legislative Changes to Superannuation on Parental Leave Pay Introduction In a significant move towards gender equality and financial security for parents, the Australian government has recently passed legislation to include superannuation payments on government-funded Paid Parental Leave (PPL). This change aims to address the superannuation gap that often affects women who take time off work to care for their children. Key Changes Starting from 1 July 2025, parents receiving government-funded PPL will also receive an additional 12% of their PPL payment as a contribution to their superannuation fund. This legislative change is part of a broader strategy to improve the financial standing of women and ensure a more secure retirement. Impact on Superannuation This measure is designed to help bridge the superannuation gap between men and women, which is partly due to women taking more time away from work for caregiving responsibilities. Administration and Implementation The Australian Taxation Office (ATO) will administer these superannuation payments. The payments will be calculated and added to the superannuation fund nominated by the parent receiving PPL. This change follows recommendations from the Women’s Economic Equality Taskforce and aligns with the government’s commitment to supporting working families. Conclusion These legislative changes represent a significant step forward in supporting parents, particularly women, in building their superannuation savings while on parental leave. For more detailed information, you can refer to the official announcements and updates from the Australian Taxation Office and other relevant government sources or reach out to one of our team on 07 5494 9173.

https://lnkd.in/gjwZWg2R

Selling Property? Property being sold below $750,000 in value, you do not require a Non-resident Withholding Credits Clearance Certificate. Property valued at $750,000 or more, you as the vendor must provide an ATO clearance certificate to the buyer of your property. The buyer will not be required to withhold 12.5% of the purchase price for capital gains tax once they have seen the clearance certificate. To apply for a Non-Resident Withholding Credits Clearance Certificate, you need to complete an online application form available on the Australian Taxation Office (ATO) website. Only the vendor who has legal title to the asset is required to obtain a clearance certificate for foreign resident capital gains withholding purposes. Conveyancers who are not legal practitioners or registered tax agents cannot complete the form on behalf of the vendor. You can apply for a Non-Resident Withholding Credits Clearance Certificate at any time, even before you enter into a contract for sale. The certificate is valid for 12 months. If you are an Australian resident vendor who doesn’t want to have an amount withheld by purchasers, you should complete and lodge a clearance certificate application form. If the vendor fails to provide the clearance certificate by settlement, the purchaser is required to withhold up to 12.5% of the purchase price. The Australian Taxation Office (ATO) can take up to 28 days to issue you with a clearance certificate. Once received, you should provide the clearance certificate to the relevant parties at least 28 days before the settlement or publication of the acquisition notice. If the vendor fails to provide the Non-Resident Withholding Credits Clearance Certificate by settlement, the purchaser is required to withhold 12.5% of the purchase price and remit it to the Australian Taxation Office (ATO). If you don’t provide a clearance certificate at or before settlement, you will be considered a foreign resident, and 12.5% of the property purchase price must be withheld and paid to the ATO. If this happens, you must lodge a tax return (even if your income was below the threshold to lodge) to claim the credit that was withheld, or if capital gains tax (CGT) is applicable, a reduced amount. If you are an Australian resident vendor who has had an amount withheld by purchasers, you can claim a credit for the amount withheld in your tax return. You can claim the credit in the income year in which the transaction was completed i.e. the contract date is the applicable date. To claim the credit, you must lodge an income tax return and include the amount withheld. You must also include the payment summary provided by the purchaser. In summary, thinking of selling your property within the next 12 months and it will sell for more than $750,000, then apply for the non-clearance withholding credit clearance certificate straight away. Need further assistance, please reach out to one of our team on 07 5494 9173.

Planning for Business Growth: A Key to Success As an accountant, I’ve seen the profound impact that strategic planning can have on a business’s growth trajectory. Whether you’re a start-up or an established company, having a solid plan in place is crucial for navigating challenges and seizing opportunities. Here’s why effective planning is essential: Clear Vision: A well-defined plan provides clarity on your business goals and objectives, helping everyone in the organization align their efforts. Resource Allocation: Strategic planning allows you to allocate resources efficiently, ensuring that you invest in the areas that will drive growth and deliver the best return. Risk Mitigation: Planning enables you to identify potential risks and develop strategies to mitigate them, safeguarding your business against unforeseen challenges. Performance Measurement: With a plan in place, you can set benchmarks and KPIs to measure progress, making it easier to adjust strategies as needed. Attracting Stakeholders: A strong growth plan can enhance your credibility, making it easier to attract investors, partners, and talent who share your vision. Remember, growth doesn’t happen by chance; it requires intentional planning and execution. Let’s commit to building a brighter future for our businesses! #BusinessGrowth #StrategicPlanning #Accounting #Leadership #Entrepreneurship

Over my years as an accountant in public practice I have heard of cases of fraud with the ATO but never actually seen any first hand.  That all changed in the last couple of month. To find out more, check out our latest blog. https://lnkd.in/gGPp78KU

The Small Business Technology Investment Boost is a tax incentive program that provides small businesses with an aggregated annual turnover of less than $50 million and an additional 20% tax deduction to support their digital operations and digitize their operations. To find out more, check out our latest blog or call one of our team members on 07 5494 9173. https://lnkd.in/gKe9Km6C