April 13, 2026

With the ATO denying tax deductions on interest on ATO debts, and providing small timelines for payments, many businesses are getting squeezed.

We have a solution – with rates equal to or better than the ATO rate!

Click below for more information.

by Fiscal Artisans

June 7, 2023

As a creative artist, your focus is on making the best use of your talents and skills, and turning this into a viable, income-earning activity.

And sometimes, this means that your income and cash flow are ‘lumpy’, with periods of low or no income, followed by ‘the great years’. Years of effort, that result in a large cash payment in one year – and a large tax bill as a result.

For this reason, it’s important that you can understand the concept of Income Averaging. This tax treatment offers significant concessions, and knowing how to make the most of them can save you a lot of money.

It is ok if you are not familiar with this particular area of taxation, we’re here to help. This is a highly specialised field that only a select few have expertise in. Many accountants, unless they have a specific focus on creative industries, may not be aware of it. Moreover, if you typically handle your tax returns on your own, it is improbable that this benefit has come to your attention. This is why you need to utilise an accountant that understands and specialises in the creative industries (as Fiscal Artisans does!) to assist you in your accounting and taxation matters.

Here’s how it works: your Special Professional income from creative sources (such as writing, performing, or inventing) is isolated and taxed at a concessional or reduced rate based on a rolling 5-year average. This means you pay less tax in years where your income from these sources is significantly above average. In years where your income is below or in line with your average, you are taxed at normal marginal tax rates. Keep in mind that income from other sources is always taxed at normal rates, and income averaging may not benefit you in years where your income is below average. However, years of lower income will affect your rolling average, and reduce your tax rate in future periods when you earn above-average income.

To qualify for income averaging, you must be classified as a “Special Professional.” This encompasses authors, artists, composers, inventors, performers, production associates, and sportspersons. In some cases depending on the circumstances, you may be designated as such if you are in a “creative decision-making role” such as a director. Eligibility is assessed on a case-by-case basis, so it’s wise to seek advice from a knowledgeable tax professional to determine if you meet the criteria.

One of the reasons these jobs are included in income averaging is due to the inconsistent nature of income. For example, a composer may spend years developing a project before receiving any income, resulting in large peaks and troughs of income year to year. Income averaging helps to spread this income over the entire development process, resulting in lower overall tax payments.

In simple terms, Income Averaging allows you to smooth out your taxable income over a few years, minimising the impact of any one high-earning period. By doing so, you can reduce your overall tax liability and free up funds to invest back into your creative pursuits.

In the first 4 years, the benefit can be even greater! It is quite common for the first year of averaging to result in little or no tax needing to be paid – at least on the earnings up to $90,000 (assuming no other income has been earned on salary from areas like school teaching, waiting tables or other non-artistic employment)

Keep in mind that income averaging is an opt-in system, and once you opt-in, you remain in the system. You can start using income averaging once you’ve earned more than $2,500 from creative work, and it only considers the income generated from creative activities to calculate your average. Other income, such as non-creative activities or investments, is not included.

Ok, you say, so what sort of benefit can this provide?

Case Study 1

Brian Eno(1) is a successful composer, musician and recording artist. They have a stream of income coming from local and international royalties from Film and TV compositions, Gigs and CD sales annually, as well as investment and non-Artist income.

In 2021, they lodged their Income tax return without claiming Artist Averaging, as they had done in all prior years of their career.

On a total taxable income (after all deduction claims) of $219,830, they incurred a total tax liability of $67,399.81. After the tax instalments were paid through the year, they were left with a net tax liability of $12,236.30.

However, on review of their return, and implementing Artist Averaging on their Professional Income, the Total Tax payable was reduced to $21,746.80, resulting in a net benefit of $45,653 to the Artist.

This also subsequently reduced the amount of PAYG tax instalments that were needed for the following tax year.

Case Study 2

Mariah Carey(1) is a professional writer.

On their Tax year professional income of $91,500, and a net taxable income (after all deductions, and including non-business income) they paid tax on a Taxable income of $57,746.

Before using the Artist Averaging provisions, they are liable for tax totalling $9,460.65.

Artist Averaging was then applied to this return, and with the provisions for the first year of averaging, their total tax liability was reduced to $1,154.92 – a saving of $8,305.73 on the same taxable income.

It’s important to remember that you cannot opt-out of income averaging once your income normalises. Also, the concession only applies in “good” years – you will not be taxed more in years where you earn less than the rolling average.

I.e. if your income has been consistently around $80,000 p.a. but then drops in one year to under $40,000, you will pay the ‘standard’ tax you would normally pay on $40,000 for that year. Subsequently, if the following year jumps up to $120,000 (as the project you have been working on is completed and you are paid a lump sum on completion, or the unit sales happen in the following year) then Artist Averaging may reduce the tax payable on the amount ‘over’ $80,000, so your tax rate payable does not jump up significantly.

To show how this works over the years, let’s consider the following case study.

Freddy McQueen, the lead singer of a hard rock band called Mercury, has income over a 5 year period that has ebbed and flowed as CD sales, royalties, writing and recording over new material and concerts were undertaken.

His Net taxable income after all costs and deductions are as follows:

Year 1 – $50,000

Year 2 – $75,000

Year 3 – $120,000

Year 4 – $40,000

Year 5 – $130,000

The tax payable – with and without Artist Averaging over this period would look like this:

	1	2	3	4	5
Taxable income	$50,000.00	$75,000.00	$120,000.00	$40,000.00	$130,000.00
Tax on normal rates	$6,717.00	$14,842.00	$29,467.00	$4,142.00	$33,167.00
Tax on averaging	$ –	$9,625.40	$22,042.00	$4,142.00	$32,717.00
Net Tax Benefit / Savings	$6,717.00	$5,216.60	$7,425.00	$ –	$450.00

Income averaging is a specialised area of taxation that can be incredibly advantageous for those in creative professions. However, it’s crucial to enlist the help of a tax professional like Fiscal Artisans to determine eligibility and maximise benefits.

Talk to us for further information, and let’s see if Income Averaging applies to you.

We may even be able to look at your past tax returns and reclaim tax that you may have overpaid. Contact us for further information and a review of your past tax lodgements.

Stuart C Smith CPA

Director

Fiscal Artisans

Of course, these are not their real names. The facts in the first two case studies are real, but the names have been changed to maintain confidentiality.
Note that the tax payable amounts do not include the Medicare levy and other related offsets.
As the Income for the year is below the average over the prior years, there is no rebate claimable for the year, but also, no additional tax is payable on Total Taxable Income.

by Fiscal Artisans

February 20, 2023

The Australian Taxation Office has just released its revised methods for working-from-home deductions for the 2022–23 tax year. The main change this year is that the ATO is now more focused on making sure people are actually working from home, and not just claiming the deduction without any evidence to back it up. So if you’re planning on making a claim for working from home this year, make sure you follow these new guidelines to avoid being caught out!

From the 2022–23 income year, the methods available to calculate working-from-home deductions are the:

revised fixed rate method
actual cost method.

While the actual cost method remains unchanged, the revised fixed rate method has been updated to better reflect contemporary working-from-home arrangements, making it easier to calculate expenses and avoid time-consuming apportionment calculations.

The revised fixed rate method:

has increased from 52 cents to 67 cents per hour worked from home
removes the requirement to have a dedicated home office space
works out the claim for
electricity and gas
phone and internet usage
computer consumables
stationery
allows taxpayers to separately claim the work-related portion of the decline in value of depreciating assets – such as office furniture and technology.

The revised fixed rate method can also be used by businesses that operate some or all of their business from home to claim home-based business expenses.

If you plan to use the revised fixed rate method for your 2022–23 tax return, you need to have:

from 1 July 2022 to 28 February 2023 – a record which is representative of the hours you worked from home. (e.g. diary notations or a work record showing start and finish times for at least 1 month of work as a representative period of time for the year)

from 1 March 2023 to 30 June 2023 – a record of the total number of hours you worked from home (such as a timesheet, roster or diary) as well as evidence you paid for each of the expenses you incurred that are covered by the fixed rate method (for example, a phone or electricity bill). You will also need records for any equipment you bought to work from home, like technology or furniture (which provides details of the supplier, cost, date acquired).
So this will mean that, for EVERY HOUR you want to claim work-from-home deductions using this method, you MUST have the time documented. While this may not be needed for your employer, it is necessary in order to be able to make a full and legitimate tax deduction at year-end.Your diary – paper or electronic – will become your best friend this year!

There are many apps that can be used for this, or even just a consistent notation on your diary of your start and finish times, recorded daily. But recorded it must be!

Working from home is becoming more common, so make sure you know what you can and can’t claim in order to get the best return on your investment. Contact Fiscal Artisans today for expert advice on how to maximise your deductions this financial year!

by Fiscal Artisans

July 28, 2021

If your Business Feels like you are scaling Everest,

It’s Time to Go Beyond The Numbers.

You have done more in the last financial year than just survive, but it has been hard!

This is the time that we turn our attention to our year-end obligations – namely, preparing financial statements and preparing tax returns, and looking at how well (or otherwise) we have done for the year.

For many, the financial statements and tax returns that we prepare are a ‘historical document’. It is a look at the numbers ‘in the past’. But what it can be, is a roadmap to the future – the starting point to your next trek.

What do you have your sights set on for 2021/2022? How can we Go Beyond The Numbers to help you achieve it?

With another financial year over, and one which for so many will have been one of the hardest ever faced, it is beneficial to look at your current situation and reflecting on your successes, not just what has or has not happened.

For many, being in business is a bit like trying to climb Mount Everest.

It is tough!

The air is thin up there, and it seems like something many dream about, but few succeed at actually doing. And no matter how hard you try, you feel like it is all uphill, all the time. And if you fall, the crash will be hard, and deadly.

Let’s look at The Numbers

Many people know that Mt Everest is over 29,000 feet, or over 8,800 meters tall. To scale the mountain, people usually start at one of the two base camps, which are over 5,000 meters above sea level.

To many, it seems an insurmountable task.

But let’s look at this differently, and Go Beyond The Numbers

One of the things that I have been doing for a while is checking in regularly with my business coach. Michael has been a client, friend, confidant, and business coach for some time now. He has helped me look at many aspects of the business, my processes, and, more importantly, the values and ethics inherent within my organisation.

In one of our recent meetings, we looked at the last year or so and set the targets for the year ahead (his and mine). As part of this discussion, we acknowledged that we had done more than just ‘survive’ with what we have been doing over the last few years.

He described it as ‘being at Mt Everest base camp’, having got there under our own power.

Let’s unpack that and how this relates to what you do.

To get to base camp, there are a few options.

You can fly in;

You can drive in most of the way;

Or you can walk up to the base camp from sea level.

For many people, ‘just getting to base camp’ is a success. It means that they have gone from ‘zero’ – sea level, starting with nothing but their personal skills and knowledge – to scale a height few people achieve. They can stay there and ‘live’ quite successfully.

In business terms, it means you are running your own business, paying your way, covering your living expenses, and providing for yourself and your family, without having to ‘go back downhill’ and ‘work for wages’ (or get financial support from family or friends to survive). You have ‘got the combination right’, and you are not staying awake at night, wondering how the gas bill will be paid next week.

Having ‘walked up to base camp’, you have developed the strength, the skills, and the resilience to maintain your position at a high altitude. This is something that you need to both acknowledge and celebrate.

In some cases, people have ‘flown’ into base camp without acclimatising to the rarefied air. For most of these people, being at base camp is simply a ‘holiday’, and they cannot stay for very long.

It is much like their business ventures. The ‘fly-ins’ may have had a business purchased for them, or ‘inherited’ the ownership or a partnership arrangement. They get in, make some cash, and get out again. They have not developed their business skills through ability and have probably achieved their success as a result of other peoples ability to ‘get them there’.

That is not what you have done – you have ‘walked to base camp’ yourself. You may have had a group of people with you on the trek, but you got there using your efforts and ability. You walked your talk.

And you are not just surviving. You are thriving.

Think of it this way. The Everest base camp is over 5,000 meters above sea level. Everest is under 9,000 meters. So, if you have ‘achieved base camp’, you are more than halfway there already. Going further is not ‘starting from the bottom’ at all.

But what about scaling Everest? Isn’t that the goal? And how do I get there?

For some, yes, that is the goal, but it is not the ‘only’ goal.

When you get to base camp, it is not hard to look around and see that there are a wide range of mountains that can be climbed. You don’t have to choose ‘Everest’ and be done with it.

Your choice can be completely different to anyone else, or you can simply stay at base camp.

In a business context, that choice could be:

Staying as is, managing and maintaining the business as it stands now, and managing it profitably without aiming for growth and expansion; “Keeping it ticking over and under control”; Perhaps achieving ‘the same result’ from less time, and less effort, and using the spare time for other chosen pursuits;
Doing ‘more of the same’ duplicating the business or expanding the volume of work done (without expanding services, products etc.) “Same but bigger”;
Doing something new within the business; “Do we climb Everest, or K2?”
Using the profits from the business to build an investment portfolio, pay down debts, etc.; “Let’s go climb Mont Blanc in Europe instead”;
Learn new skills (personal or professional) that are unrelated to the business activity; “I’m done climbing. Let’s learn to fly instead.”
Or you can work with others and help them build their careers. “Having done it myself, I will show you how to climb”.

The choice is yours. But it is not a choice that means you need to ‘start again’, nor is it something that you need to do ‘alone’.

At base camp, to climb the heights, the first thing you need to do is:

Hire the Sherpas!

The Sherpas are the experienced, local climbers who ‘know the mountain’. They carry the loads needed to support you on your mission, and the local knowledge and guide and support you to achieve your goal of summiting the peak.

In a business context, the Sherpas come in several forms. It is the team of advisers – accountants, lawyers, bank and finance support, coaches and mentors who work with you.

It is also the ‘tools of the trade’ (in the business and finance context) that we use to help you keep on track – and helping to ensure you don’t fall down a crevasse. Tools such as Xero, and add ons like Dext (for data collection) and cashflow tools to keep you on top of your financial information are part of this. Your systems and processes, the way you do the things you do. Your marketing, social media, etc.

And the setup and structure that you ‘wrap’ around your business – with all the statutory and regulatory requirements in place to keep your trek in line.

This is what we mean by ‘Go Beyond The Numbers’. We look at the results, ask questions, and work with you to achieve your next peak. We ‘assemble the sherpas’ and come on the trek with you. We help you mount the summit, and take pride as you stake your claim on the peak.

As an example, amongst the projects we are assisting clients with are the following:

a) Redevelopment of a regional property into a multi-unit dwelling, to retain one and use the others to build an investment portfolio;

b) Analysis of a business for sale (and undertake stocktakes and financial lending arrangements) to enable a client to expand their existing business beyond its current regional spread;

c) Convert a client business from ‘sole trader’ to a corporate structure, to both reduce total tax payable and expand their opportunities to grow their business;

d) Rent or buy? A client wants to look at whether to buy a small property to run their business out of, compared to renting a facility; And assist with the bank’s information needs for this.

e) Using property investment to reduce the tax a client pays this year and build an investment portfolio for retirement for their future. (or to ensure that their kids have somewhere they can move into in the future!)

f) Manage my portfolio! Would you please help me keep track of my share purchases, sales, dividends etc.? Even Crypto if you can (and, yes, we can)

In all of the above cases, we are working with our clients, helping them to ‘lead the trek’. We “assemble the Sherpas”, be it professional advisers (finance brokers, share traders, lawyers, etc.) and tools of the trade – software, data, reports etc., to help to make things happen. The only limitations (besides legal issues!) are your imagination and desire to make things happen.

So, having got to base camp and realising you are breathing the clean, thin air of achievement, where do you want to go next?

What is your Everest?

Name your peak, and let’s go! We can make 2021/22 the time of your next achievement, plan, take action, and make it happen.

What is it going to be? Call or email me, and let’s talk about it.

Onwards and upwards – and let’s Go Beyond The Numbers.

Stuart Smith

Director (and Head Guide)

Fiscal Artisans

by Fiscal Artisans

July 19, 2021

A New Year and a New Look!

Hello all,

With the start of a New Financial Year, there has been a time of review and a reset for many of us.

And as well as looking at the results and setting the plans for the year ahead, we have decided it was time for a fresh look, and a fresh outlook.

And here it is:

So, what does it mean? What does it represent?

The philosophy behind what we do and how we strive to work with you is that we “Go Beyond The Numbers”. i.e. The financial and tax work we do for you is not the ‘end point’ – it is the beginning of what we can do.

In the logo, the bar graphs represent ‘the numbers’ –symbolising the results achieved in the past and the present, with the arrow moving out from the base of the numbers, flowing up and out to a future that we create.

The image is also reminiscent of a Tall Ship, ‘sailing beyond the horizon’ – going beyond the known maps (i.e. last years results, as shown on your tax return or Balance Sheet) and evoking the image of overcoming challenges sailing to a world unknown, and achieving rewards and riches previously unimagined.

We see our work with you in a similar way, in that we can work with you to go beyond what your “current numbers” represents, and help you to achieve your successes and gain the rewards. We can help, guide, encourage, advise, and bring together a team to help you succeed.

Let us know what you think of the design, and what your “beyond” looks like.

We look forward to catching up with you in the coming weeks and months, and helping you to achive your goals.

Lets ‘go beyond the numbers’ and make things happen!

Regards

Stuart

by Fiscal Artisans

June 3, 2021

Victorian Business Costs Assistance
Lockdown 4.0 support payments

Through Business Victoria, the Victorian State Government has released the guidelines for its latest round of support for businesses and sole traders that the current Victorian lockdown has impacted.

There are two specific schemes – the Business Costs Assistance Program (round two) and the Licensed Hospitality Venue Fund. I am focusing here on the Business Costs Assistance Program in this piece.

It needs to be noted that not all businesses will qualify automatically, as the support has been targeted primarily at businesses and industries that have been shut down as a result of the lockdown and are unable to continue income-earning activities in a work from home basis. The list of industries are listed in the blog, as well as the guidelines for the scheme.

In addition, there are effectively two levels of support, based on the different periods of lockdown between Metropolitan Melbourne and Regional Victoria. Essentially, this equates to a $2,500 per week payment for businesses affected by the lockdown.

The guidelines are shown below (extracted from the Business Victoria guidelines), as are the industry sectors that qualify for the support.

This is not limited to incorporated businesses, so sole trader businesess (with a registered ABN AND GST registration) can also apply.

We can assist you with the submission (as we did for many clients with the various support grants in 2020), and can discuss the eligibility guidelines with you as needed.

Please feel free to contact us on 0409788399 or info@fiscalartisans.com.aufor more information.

GUIDELINES

Business Costs Assistance Program Round Two

COVID-19 assistance to businesses

Program Summary

On 30 May 2021, the Victorian Government announced a $250.7 million Circuit Breaker Business Support Package to support Victorian businesses most affected by the May-June 2021 circuit breaker action. An additional $209.3 million was announced by the Acting Premier on 2 June 2021.

The $371 million second round of the Business Costs Assistance Program (the Program) will provide grants of either $2,500 or $5,000 for eligible businesses directly affected by the circuit-breaker industry restrictions.

1. Standard Eligibility Criteria

1.1 To be eligible for the Program, a business must:

a) Be located within Victoria (primary operating address, and Victoria address registered with Worksafe Victoria) ; and

b) Be registered as operating in an eligible industry sector identified in the List of Eligible ANZSIC classes (as defined by the ANZSIC class linked to the business’ ABN ; and

c) Have incurred direct costs as a result of the circuit breaker action and the business cannot predominantly operate remotely; (For example, but not limited to: booking cancellations, utilities, wages, paid leave for staff unable to attend work, rent or the loss of perishable good or any other direct costs affecting the operation of the business related to the May-June 2021 circuit breaker action. These costs may have been incurred prior to, on or after 27 May 2021. The costs must be incurred by the applying business, as defined by its ABN.) and

d) Have an annual Victorian payroll of up to $10 million in 2019-20 on an ungrouped basis ; and

e) Be registered for Goods and Services Tax (GST) on 27 May 2021; and

f) Hold an Australian Business Number (ABN) and have held that ABN at 27 May 2021.

g) Be registered with the responsible Federal or State regulator

For employing businesses only :

h) Be registered with WorkSafe Victoria ; and

i) Attest that the business is supporting its workers to access any paid leave entitlements, or that if a person can work from home, to work from home during the circuit breaker action, and supporting their casual workers, where possible

2 Other eligibility conditions

2.1 Businesses that have received assistance through the Business Support Fund, payroll tax rebate/waiver, or other COVID-19 programs may apply for assistance under the Program.

2.2 Businesses that receive a grant under the 2021 round of the Licensed Hospitality Venue Fund (LHVF21) are not eligible for a grant under the Program.

2.3 Organisations that operate a private gender-exclusive club where membership is only by invitation or nomination by an existing member are not eligible for assistance under the Program.

3 Demonstration of eligibility

3.1 Applicants must attest that they meet the eligibility criteria at the time of application and intend to remain trading at the end of the circuit breaker action. Applicants will also need to meet the eligibility criteria at the time the application is assessed by the Department of Jobs, Precincts and Regions (DJPR).

3.2 Industry sector: To be eligible, an Applicant’s primary business activity must be in an eligible industry sector and this must be reflected in the Applicant’s ABN registration information. Applicants should check that their details on the Australian Business Register website are correct prior to submitting an application. This includes ensuring that the industry classification (ANZSIC class code) linked to their ABN registration correctly captures their primary business activity.

3.3 Identity Documents: Applicants must provide details of a current proof of identity document. This must be one of the following:

a driver licence or learner permit issued in any Australian jurisdiction; or
an Australian Passport; or

a Medicare Card; or
a foreign passport for those issued with an Australian Visa.

The identity document details must be for a person listed on the Australian Business Register as either the owner, co-owner, associate or authorised contact of the business

3.4 If the current proof of identity is unable to be confirmed, Applicants will receive a follow-up email with instructions to amend their proof of identity details. If the applicant does not then rectify proof of identity details before the Program close date, the application will not be considered by the Department for this Program.

4 Available funding

4.1 From 4 June 2021, changes to the existing industry circuit breaker restrictions (from 28 May 2021) affect businesses differently depending on the businesses location and industry type.

4.2 The total value of a grant under the Program is up to $5,000. For businesses that meet the standard eligibility criteria:

• businesses that were directly affected by the circuit breaker industry restrictions between 28 May up to and including 3 June 2021 will be eligible for funding of $2,500;

• businesses that remain directly affected by the circuit breaker industry restrictions on and from 4 June 2021 will be eligible for funding of $5,000.

4.3 The Department will determine the value of the grant based on an assessment of the Applicant’s business location and ANZSIC class.

4.4 A business as defined by its ABN can only receive one grant under the Program.

5 Funding use

5.1 Grant funds must be used to assist the business, for example on:

• Meeting business costs, including utilities, wages or rent;

• Seeking financial, legal or other advice to support business continuity planning;

• Developing the business through marketing and communications activities; or

• Any other supporting activities related to the operation of the business.

6 Assessment Process

6.1 Funding will be allocated through a grant application process, through which businesses are invited to apply for a grant.

6.2 As part of the assessment process, any information provided by Applicants will be shared and subject to verification with other government agencies (state and federal) including the Victorian State Revenue Office, WorkSafe Victoria, the Australian Business Register and the Commonwealth Department of Home Affairs.

6.3 Any of the following circumstances may be taken into consideration in any decision whether to award a grant:

• Any adverse findings by a Government agency or local council regarding a business or its operation;

• A business is, or notice has been given that it will be, placed under external administration;

• There is a petition for bankruptcy or to wind up or deregister a company or business; and

• The business is or becomes deregistered or unregistered (including cancellation or lapse in registration or any relevant permit).

6.4 Businesses must ensure that their ABN registration information is current and accurate as at the time of application.

6.5 Each application will be carefully considered and assessed against the eligibility criteria. If an unsuccessful Applicant considers that their application has been incorrectly assessed, they will have the opportunity to lodge a complaint. More information on the complaints process and a complaint form can be found at https://business.vic.gov.au/contact-us/complaints.

6.6 Only final applications that are lodged with the Department will be considered and assessed, and applications in draft stage will not be considered.

7 Compliance and Audit

7.1 Applications may be subject to audit by the Victorian Government, its representatives or the relevant Auditor-General and will be required to produce evidence (such as payroll reports to demonstrate impact) at the request of the Victorian Government for a period of four years after the grant has been approved.

7.2 If any information in the application is found to be incomplete, inaccurate, false or misleading, or grants are not applied for the purposes of the business in accordance with the terms of funding as set out in these Guidelines and any attached application, the grant will be repayable on demand.

8 Other information about this Program

8.1 DJPR reserves the right to amend these guidelines and application terms at any time as it deems appropriate.

8.2 DJPR will endeavour to notify all Applicants of the outcome of their submitted application within 10 business days.

There may be delays if your application:

• does not meet all the eligibility criteria

• does not have correct evidence or documentation

• requires you to make changes • is a duplicate application for the same business

• has incorrect information, such as ABN or bank details (for successful Applicants)

• does not include current or accurate information registered with relevant regulators or partner agencies, such as the State Revenue Office, Australian Business Register or WorkSafe Victoria.

9 Closing date and how to apply

9.1 The Program will be open for applications until program funds are exhausted or 11.59pm Thursday 24 June 2021, whichever is earlier.

9.2 Applicants are required to submit an application online via the Business Victoria website (business.vic.gov.au). All questions in the application need to be completed and requested information is to be provided to ensure timely assessment and grant payment.

9.3 If you have any queries about your application or require further information on the program visit business.vic.gov.au or contact the Business Victoria Hotline at 13 22 15.

ANZSIC Industry codes for Business Support Grants

Please note:

If your ANZSIC industry code is not on this list, you are not eligible for funding through the Business Costs Assistance Program Round Two. This list applies to both employing and non-employing businesses in Metropolitan Melbourne and Regional Victoria.

* Regional businesses in these ANZSIC classes may be eligible for a $2,500 grant due to easing of restrictions in regional Victoria.

# Businesses in these ANZSIC classes may be eligible for a $2,500 grant due to easing of restrictions in metropolitan Melbourne and regional Victoria.

Which sectors are eligible for a grant?

To see if your business is in an eligible industry sector you should:

check the four-digit ANZSIC class linked to your Australian Business Number (ABN) on the Australian Business Register and confirm it matches your primary business activity

check if the four-digit ANZSIC class linked to your ABN is in the list of eligible ANZSIC classes for this program.

If your four-digit ANZSIC class linked to your ABN is not on the list of eligible ANZSIC classes for this program, then your business is not eligible for a grant under this program.
If you need to update your ANZSIC class, more information is available on the Australian Business Register.

You should only change your ANZSIC class if your current one does not accurately reflect your business activity.

Which sectors are NOT eligible for a grant?

Businesses that are continuing to operate or can work from home during restrictions are not eligible to apply for a grant. For example:

essential retail (i.e. supermarkets, food retailers, pharmacies)

manufacturing

construction

mining

agriculture, forestry and fishing

professional services (with some exceptions, such as wedding and events photographers).

My business is able to partially operate during restrictions. Can I apply for this grant?
Businesses in eligible sectors continuing to operate but unable to carry out their usual business activity can apply and may be eligible for a grant.
For example:

a retail business unable to open for normal trading but changed its operation to ‘click and collect’

a restaurant unable to have dine-in service but can operate a limited takeaway service.

Why are some businesses getting $2500 when others get $5000?

The grant amount payable is determined by the business’ industry sector (see Eligible ANZSIC classes) and its location.
Businesses that were subject to restrictions between 28 May 2021 and 3 June 2021 (inclusive) will be eligible for funding of $2500.
Businesses that continue to be subject to restrictions on and from 11:59pm on Thursday 3 June 2021 will be eligible for funding of $5000.

My business is a gardening business, why am I only eligible for a $2500 grant?

Gardening service providers in regional Victoria and metropolitan Melbourne are able to resume operating from 11:59pm on Thursday 3 June 2021, so they are only eligible for a $2500 grant rather than the $5000 grant, which is only for businesses that remain subject to restrictions after Thursday 3 June 2021.

How do I update my Australian and New Zealand Standard Industrial Classification (ANZSIC) on the Australian Business Register?

Only update your ANZSIC class if your current class does not reflect the activities of your business.

Business Victoria is not able to advise you on which ANZSIC class your business falls into. If you are unsure about your business’ ANZSIC class, please seek independent advice, from your accountant for example, or by contacting the Australian Business Register.
If you need to update your ABR details, there is a step-by-step guide on the Australian Business Register and the Business Victoria website.

Why do I have to be registered for Goods and Services Tax (GST) to receive this grant?

For the purposes of this program, being registered for GST indicates that your business was actively trading prior to 27 May 2021 up to now.

A business must register for GST when it has a GST turnover (gross income minus GST) of $75,000 or more.

Not-for-profit entities with annual turnover between $75,000 and $150,000, that are not registered for GST and are registered with the Australian Charities and Not-for-Profit Commission, are eligible to apply.

Businesses with annual 2019-20 turnover of more than $75,000 that are not required under relevant taxation legislation to be registered for GST are also eligible to apply.

I previously applied for the Business Support Fund (or another COVID-19 related grant) and was not eligible. Can I still apply for this program?

Yes, but you must meet all this program’s eligibility criteria to be eligible for a grant.

I have applied for a Licensed Hospitality Venue Fund 2021 grant, can I also apply for this program?

Businesses can only receive a grant from either the Business Costs Assistance Program Round Two or the Licensed Hospitality Venue Fund 2021, not both.
If you submit applications to both programs and are found to be eligible under both programs, you will only receive one grant – the program that delivers the highest level of financial support.

However, applying for both programs may result in delays to application processing and receiving your grant payment.

My business is a hospitality venue with a liquor licence and I incurred direct costs as a result of restrictions but I wasn’t eligible for the Licensed Hospitality Venue Fund. Can I apply to this program?

Licensed hospitality venues that do not receive a grant under the Licensed Hospitality Venue Fund 2021 may apply for assistance under the Business Costs Assistance Program Round Two if they meet the eligibility requirements.

What types of businesses are eligible?

Employing and non-employing businesses, companies, partnerships, and trusts are eligible to apply for a grant from the Business Costs Assistance Program Round Two. Superannuation trusts are not eligible. For more information, please read the program guidelines.
Business Costs Assistance Program Round Two guidelines (PDF 272.46 KB)

Business Costs Assistance Program Round Two guidelines (DOCX 1553.88 KB)

I received a grant/support through another COVID-19 business support program. Can I apply for the Business Costs Assistance Program Round Two?

Yes. If you meet the eligibility criteria you can apply for a grant from the Business Costs Assistance Program Round Two unless you receive a grant through the Licensed Hospitality Venue Fund 2021.

My business lost more than $5000 during restrictions. Can I apply for more?

No, the grant is capped at $5000 per eligible business.

If I incurred less than my grant amount in costs, will I need to pay some of the money back?

No. But businesses must attest they have incurred costs as a direct result of the restrictions to be eligible for a grant.

I am a performer/artist who has lost work during restrictions, but I am not registered for GST. Can I still access support?

No, under the program guidelines all applicants must be registered for GST. A business or enterprise must register for GST if it has a turnover of $75,000 or more.
Not-for-profit entities with annual turnover between $75,000 and $150,000, that are not registered for GST and are registered with the Australian Charities and Not-for-Profit Commission, are eligible to apply.

Which identification documents should I submit with my application?

I’ve received notification that my identification check has returned an invalid result or could not be validated. How do I update my proof of identity?
Update your contact details by following the steps outlined in our Proof of Identity Verification User Guide.
Download a copy of these instructions: Updating Proof of Identity Details in Grant Hub forms (PDF 633.93 KB)

How do I know what the status of my application is?

The status of your application will appear in the Business Victoria Grants Portal:

Draft – you have started an application

Submitted – you have accepted the terms and conditions and submitted

Under assessment – your application has been received and is being assessed by the Business Victoria team

Successful – your application was successful

Unsuccessful – your application was unsuccessful.

From the time you submit your application, you will receive progress notifications.
We cannot contact you while your application remains in ‘draft’ as you haven’t yet given permission for the department to use your contact details.

I wasn’t eligible for a grant from the first round of the Business Costs Assistance Program. Can I apply for this round?

Yes, you can apply for the second round of the Business Costs Assistance Program. This round has an expanded list of eligible sectors compared to the previous round, to cover businesses most impacted by the May and June 2021 restrictions, and reflect that businesses no longer have JobKeeper or other safety nets to fall back on.
You will be eligible for a grant from the Business Costs Assistance Program Round Two if you meet all the program’s eligibility criteria.

How do I provide evidence that my business is registered for WorkCover Insurance with WorkSafe Victoria?

If you are an employing business, you will need to include your unique WorkCover Employer Number (WEN) on your application.

Your WEN can be found on the top right-hand corner of your 2020-21 invoice from WorkSafe Victoria. Your WEN is also printed on your WorkSafe Certificate of Currency. Note you do not need to provide your certificate of currency when applying for this grant.
If you have only recently applied to be registered with WorkSafe and do not have a WEN, please provide the WorkSafe Application Reference Number (WRN) instead.
Non-employing businesses do not need to provide a WEN on their application.
I’ve recently applied for a WorkCover Employer Number (WEN) but haven’t received it. What can I provide in my application as evidence that I’m registered with WorkSafe Victoria?
If you have only recently applied to be registered with WorkSafe and do not have a WEN, please provide the WorkSafe Application Reference Number (WRN) instead.
A WRN is issued in the format of NR-XXXXXX-XXXXXX when you submit an online application for WorkCover insurance. It appears in printable form once the application is submitted. You will also receive an email with the number.
When your WEN is issued, your information will be updated in our systems automatically and we will progress your application. You do not need to take any action.
Please note that applications with a WRN may take longer to process because the WorkCover registration process must be complete before we can start assessing your application.

You must provide details of a current proof of identity document. This must be one of the following: a driver licence or learner permit issued in any Australian jurisdiction; or an Australian Passport; or a Medicare Card; or a foreign passport for those issued with an Australian Visa.

by Fiscal Artisans

May 12, 2021

The Australian Federal
Budget 2021

Once in a lifetime…

Last night – Tuesday, May 11, 2021, the Treasurer handed down the budget for the 21/22 year.

While the government won’t describe it this way, it is clearly an election budget – given the next election is due by Mid May 2022, so unless they go with a February 2022 budget announcement, there is no time for a follow up before we next go to the polls.

And in the current environment, and with a Government hooked on announcements and re-announcements, rather than significant new action, there is very little in the budget that was not already announced, or simply a continuation of what was already in place but dressed up as a ‘new initiative’.

Many of the forecasts and expectations in the budget are predicated on the assumption that ‘everything will go so very well’ in terms of the vaccine roll-out – despite actual vaccination numbers being less than one-third of the way to what was originally planned. The Federal Government expects interstate borders to remain open, while international borders will stay closed until at least July 2022. (and probably much later).

And they hope and expect that we will all feel good about everything and get back into the shops (and interstate holiday resorts) and spend like there is nothing to worry about!

They don’t expect wages to rise (they have given up on that fallacy) but that spending will increase, and unemployment will reduce (which it will if you define employment as one hour per week of any gainful activity). The economy is expected to rebound with a 4.5% growth in the coming year (off the low 2020 base, mind you), with growth of around 2.5% p.a. after that.

And, at the end of the budget forecast period, the total Federal Debt is expected to exceed one TRILLION dollars, an amount Dr Evil would not be able to get his head around. And this from the party that wants us to believe ‘are the better economic managers’. That debt will be 40%+ of GDP by 2025 (compared to 10% of GDP under Wayne Swan in 2013). This is a government of high tax, high spending and higher deficits – at least until they get re-elected again in 2022 (and 2025 if they have played their cards right with this budget). In summary the Australian Economy is facing a decade or more of budget deficits, no matter who is in power. or what their historical (or hysterical) philosophical viewpoint is. Goodbye Mr. Freidman, Welcome back Mr. Keynes, come and sit at the big table again!

Andrew Probyn on the ABC described it as “the Hot Chocolate Budget – Everyones a winner”.

I see it much more as a Talking Heads one. Once in a lifetime…

And you may ask yourself.

Let’s go through the main details related to individuals, professionals, creatives, small business operators, investors, and Super funds.

Personal Income Tax changes

Low and Middle Income Tax Offset for the 2022 year.

This is the first of the Talking Heads announcements. i.e. it is not a new change to the tax rate; it is a continuation of a previously announced rebate that was due to expire on June 30, 2021.

What this will mean is that a tax offset of UP TO $1,080, that applies to low and middle-income levels, will continue on, and avoids what would have been a tax increase applying to these income levels on the 21/22 year

Proposed LMITO for 2022

$37,000 or less	Up to $255
$37,001 to $48,000	$255 + 7.5% of excess over $37,000
$48,001 to $90,000	$1,080
$90,001 to $126,000	$1,080 – 3% of excess over $90,000
$126,001 +	Nil

This tax offset is not made in regular wages – it is paid out when the tax returns are lodged and based on your net taxable income once all income and deductions are taken into account.

And, again, it only applies for ‘one more year’. So after July 1, 2022, this offset is currently due to expire. But the tax cuts legislated for incomes above $120,000 will continue beyond that date.

Same as it ever was.

Medicare Levy Low-income thresholds.

The Government will increase the Medicare levy low-income thresholds for singles, families and seniors and pensioners for the 2021 income year, as follows:

The threshold for singles will be increased from $22,801 to $23,226.
The family threshold will be increased from $38,474 to $39,167.
The threshold for single seniors and pensioners will be increased from $36,056 to $36,705.
The family threshold for seniors and pensioners will be increased from $50,191 to $51,094.
For each dependent child or student, the family income thresholds increase by a further $3,597, up from the previous amount of $3,533.

Tax residency rules being changed.

This is being touted as a ‘simplification’. What it really is doing is capturing a lot more people under the definition of Australian Residence for Tax Purposes.

The primary test will be a simple ‘bright line’ test – a person who is physically present in Australia for 183 days or more in any income year will be an Australian tax resident.

Individuals who do not meet the primary test will be subject to secondary tests that depend on a combination of physical presence and measurable, objective criteria.

So, what this means is that people from overseas who are in Australia for 183 days or more, say on a working visa – are treated as Australian Residents for tax purposes – meaning that any income earned overseas (i.e. in their ‘homeland’) will also be subject to Australian tax.

This is significantly different from past arrangements, where people who had a ‘permanent abode’ and family overseas would be seen as non-resident for tax purposes. As Australian Residents, they may also be liable to the Medicare levy – even if they are not entitled to Medicare entitlements! We await the detail of this announcement once legislation is put into place.

Self Education deductions – removing the $250 exclusion

Currently, the first $250 of a prescribed course of education expense is not tax-deductible.

Removing this $250 exclusion is expected to reduce compliance costs for individuals claiming self-education expense deductions. In reality, this ‘exclusion’ is commonly covered by deduction claims in other areas (like vehicle use or home office expenses anyway)

This measure will have effect from the first income year after the date of Royal Assent of the

enabling legislation. This will inevitably mean that this will not apply until the year BEGINNING July 1 2022, so it will not be able to be claimed on your tax return until after June 30, 2023.

Employee Share Scheme changes – ‘cessation of employment’ no longer a taxing point

The Government will remove the ‘cessation of employment’ taxing point for tax-deferred Employee Share Schemes (‘ESS’) that are available for all companies.

This change will apply to ESS interests issued from the first income year after the Royal Assent of the enabling legislation. (So not likely to occur before July 1 2022)

Currently, under a tax-deferred ESS, where certain criteria are met, employees may defer tax until a later tax year (‘the deferred taxing point’). The deferred taxing point is the earliest of:

(a) cessation of employment;

(b) in the case of shares, when there is no risk of forfeiture and no restrictions on disposal;

(c) in the case of options, when the employee exercises the option and there is no risk of forfeiting the resulting share and no restriction on disposal; and

(d) the maximum period of deferral of 15 years.

This change will remove the ‘cessation of employment’ taxing point (i.e., point (a) above) and result in tax being deferred until the earliest of the remaining taxing points (i.e., points (b) to (d) above).

So, should you receive shares under an ESS from an employer and then leave the employer before the shares become ‘available’ to you, then leaving the employer will not automatically mean that the share issue is now subject to Income Tax. Of course, this does not necessarily change the scheme’s rules (nor will it have any impact on shares already issued under the current rules) – which may have an ‘automatic issue or default’ clause in the scheme that will take effect on your departure anyway.

Business Taxpayers – Changes And Continuations

Temporary Full expensing Extended

In the prior year (2020/21) Federal Budget, the Government announced amendments to allow businesses with an aggregated turnover of less than $5 billion to access a new temporary full expensing of eligible depreciating assets until June 30 2022. Temporary full expensing became law on October 14 2020.

In the 2021/22 Federal Budget, the Government has announced that temporary full expensing will be extended by 12 months to allow eligible businesses with aggregated annual turnover or the total income of less than $5 billion to deduct the full cost of eligible depreciable assets of any value, acquired from 7:30 pm AEDT on October 6, 2020, and first used or installed ready for use by June 30 2023. All other elements of temporary full expensing will remain unchanged, including the alternative eligibility test based on total income, which will continue to be available to businesses.

Same. As. It. Ever. Was. If they repeat this again in the following tax year, they won’t be able to call it ‘temporary’ any more – it might even qualify for a permanent emplyment contract!

So, if you did not buy the equipment you needed for your business (any ABN registered business with a turnover up to $5 Billion p.a. – so we know who this is really aimed at), you can safely look to order that equipment now and up to June 30, 2022, and have it installed and ready to use on or before June 30, 2023, to be able to claim 100% of the purchase price against your business income in the same tax year. June 26 to 30 will be frantic days at the likes of Officeworks, Harvey Norman, Commercial vehicle yards and various plant and equipment places!

So can you buy a Porsche and get a 100% deduction? – only if it is under the luxury car limit and can show enough business use! Maybe that EV order might finally be possible though – so long as it does not ruin your weekends.

Temporary Loss Carryback extension

In the 2020/21 Federal Budget, the Government announced amendments to introduce a temporary loss carryback measure. Broadly, this initial measure allowed ‘corporate tax entities’ with an aggregated turnover of less than $5 billion to carryback tax losses made in the 2020, 2021 and/or 2022 income years to claim a refund of tax paid (by way of a tax offset) in relation to the 2019, 2020 and/or 2021 income years. The rules relating to the temporary loss carryback regime have been enacted and are contained in Division 160 of the ITAA 1997.

In the 2021/22 Federal Budget, the Government has announced that the loss carryback measure will be extended to allow eligible companies (i.e., with an aggregated turnover of less than $5 billion) to also carry back (utilise) tax losses from the 2023 income year as well to offset previously taxed profits as far back as the 2019 income year when they lodge their tax return for the 2023 income year.

So, again, this is not a new provision. It is a continuation of what has already been in place. This was announced in the 20/21 budget – In October 2020, and is yet to take effect as the first year in which the loss carryback can be claimed is the (current) 20/21 tax year. So this is effectively a re-announcement of an announcement with an extension. Olympic diving trials, anyone?

This policy has been in place in the past – Wayne Swan as the Labour treasurer, implemented this in 2012 to take effect from the 2014 year – and this was repealed in Joe Hockey’s ‘leaners and lifters’ budget!

Still, it may benefit businesses (not sole traders though – they are not eligible) who have been impacted by the Covid lockdowns in the 2021 and 2022 years, where they can reclaim some or all of the the tax paid in past years. Review your business position when preparing your 2020/21 tax returns later this year.

Coupled with the instant asset write off and ‘temporary full expensing’ provisions, there is scope for businesses to purchase large equipment items (perhaps on finance arrangements) before June 30 and use the losses to claim back tax previously paid. Again, seek advice on this and get an accurate poicutre of your business’ operating results before taking action.

Digital economy strategy (including self-assessing the effective life of intangible depreciating assets)

The Government will provide $1.2 billion over six years from 2022 for the Digital Economy Strategy, ‘to support Australia to be a leading digital economy and society by 2030’. From an income tax, investment incentive perspective, the Digital Economy Strategy includes the following:

(a) The Government will allow taxpayers to self-assess the tax-effective lives of eligible intangible depreciating assets, such as patents, registered designs, copyrights and in-house software. This measure will apply to assets acquired from July 1 2023, after the temporary full expensing regime has concluded. (So its impact is still years away in terms of investment potential)

The tax-effective lives of such assets are currently set by statute. Allowing taxpayers to self-assess the tax effective life of an asset will allow for a better alignment of tax outcomes with

the underlying economic benefits provided by the asset. It will also align the tax treatment of

these assets with that of most tangible assets.

Taxpayers will continue to have the option of applying the existing statutory effective life to

depreciate these assets.

(b) The Government will provide $18.8 million over four years from 2022 for a Digital Games Tax Offset to provide a 30% refundable tax offset for qualifying Australian digital games expenditure ongoing from July 1 2022, with the criteria and definition of qualifying expenditure to be determined through industry consultation.

(c) The Government will provide $200.1 million over two years from the 2022 income year to develop and transition government services to a new, enhanced myGov platform, providing a central place for Australians to find information and services online.

Well, it’s a start.

Where innovations or ‘new work’ creates assets like patents and copyright, the traditional approach was that the cost of developing these assets was written off over a legislated ‘life’.

For most copyright (like music copyright), this was over a 25 year period. With these changes – which will not apply until after July 1, 2023 (after the next election again) the creator can’ self assess’ the life of the patent or copyright etc. This will have benefits in claiming the cost of developing or creating the patent or copyright over a shorter period of time, which is ’a start’.

The Digital Games offset – well, all I can say is that it is about time!

The video game industry globally is bigger than Film and TV ($250 BILLION p.a. annually). The cost of developing high-quality material is akin to a Movie or TV production. The benefits for digital artists, music composers, film crew, computer programmers and the like is self-evident. Australia has some incredible people ion these fields, and compared to extractive and other industries, they have ben chreonically undersupported, leading to much of this talent going over seas to continue careers – and build busineses. This is among the many ‘new industries’ that virtually did not exist just a few decades ago, that need to be developed, enhanced and enabled to grow in Australia. The future is creating new things, not digging up fossilised dinosaurs and burning them.

But the amount allocated so far is pitiful. Breaking this down, they are estimating $4.7 million p.a. in offsets will be paid – again starting from July 1, 2023. Based on a 30% offset, this equates to $15.6 million p.a. in Digital Games production costs. And, like the Film Production offsets, the minimum spend to make a claim appears to be $500,000. (Note that the Film offset threshold is also being lifted to $1 million as of July 1, 2021.) Lets see the detial and how this wil be maanged – as it is we have to wait over 15 months before it starts to take effect, and potnetially 3 yesrs before it has an impact on the tax revenues of the government.

So, while it is good that the Federal Government is starting to recognise the value of the Digital Games industry and following the lead (again) of states like South Australia and Victoria in this area, the announcement itself is well short of what it needs to be.

And when you compare it to the $100 million p.a. being allocated to actually making MyGov useful, it gives greater context on this as well. Hopefully, this is just a starting point, and we see this industry being developed and supported in the same way as film and TV production has been supported over the years, even though much more needs to be done there.

Superannuation changes

Removing the work test for voluntary contributions

The Government has announced that it will allow individuals aged 67 to 74 years (inclusive) to make or receive non-concessional contributions (including under the bring-forward rule) and salary sacrifice contributions without meeting the work test, subject to existing contribution caps. (i.e. the annual caps and the total balance caps) Individuals aged 67 to 74 years (inclusive) will still have to meet the work test to make personal deductible contributions.

The measure will have effect from the start of the first income year after Royal Assent of the enabling legislation, which the Government expects to have occurred before July 1 2022.

Currently, individuals aged 67 to 74 years (inclusive) can only make voluntary contributions (both concessional and non-concessional) to their superannuation fund or receive contributions from their spouse if they satisfy the work test (subject to a limited work test exemption). Generally, to satisfy the work test, an individual must be working for at least 40 hours over a period of not more than 30 consecutive days in the income year the relevant contribution is made.

Removing the requirement to meet the work test when making non-concessional or salary sacrifice contributions will simplify the rules governing superannuation contributions and will increase flexibility for older Australians to save for their retirement through superannuation.

Reducing the age limit for downsizer contributions – sell your house and add to your super!

The Government will reduce the age limit from which downsizer contributions can be made by eligible individuals, from 65 to 60 years of age.

The measure will have effect from the start of the first income year after Royal Assent of the enabling legislation, which the Government expects to have occurred before July 1 2022. (So this would take effect from July 1, 2022, if Royal Assent is received.)

The downsizer contribution allows eligible individuals to make a one-off, after-tax contribution to their superannuation fund, of up to $300,000 per person, following the disposal of an eligible dwelling, where certain conditions are satisfied.

Under the current requirements, an individual must be at least 65 years of age at the time of making the relevant contribution for the contribution to qualify as a downsizer contribution.

Removing the $450 per month threshold for Superannuation Guarantee (‘SG’) eligibility

The Government will remove the current $450 per month minimum income threshold, under which employees do not have to be paid SG contributions by their employer.

The measure will have effect from the start of the first income year after Royal Assent of the

enabling legislation, which the Government expects to have occurred before July 1 2022. (so again, it is likely to commence from 22/23, not in the coming tax year.

This means for small business and the self-employed (through companies and trusts) that superannuation payments will be compulsory for ALL employees – full or part-time – no matter what the monthly or annual income levels are. This will have implications regarding payments made to business owners as directors fees or ‘end of year bonuses’ from profits, where super had not been paid during the year. An SGC’ trap’ can occur for business owners, so tax planning and cash flow budgeting will be important to ensure that business owners do not fall foul of these implications.

While it is a good move to ensure that all employees are eligible for superannuation contributions, regardless of the number of hours worked or monthly salaries paid, proper planning will be required in the lead up to this being implemented.

“The Women’s Budget”

With the uproar around Canberra, following the Brittany Higgins disclosures (and a certain former minister who has been on medical leave that no one can refer to, for fear of litigation), much was touted before the budget about the increased level of support for ‘women’s services and issues’. And the numbers on a broad level look substantial – but break it down and compared to other measures, and you are left wondering.

There’s $8 billion on residential aged care and $7.5 billion on aged care home packages (both over a 5 year period – 2 elections!) with another $6 billion on infrastructure (women still like roads) and $2 billion-sized chunks disbursed to mental health, vaccines and child care.

There’s a billion dollars for “women’s safety”, which breaks down into $261 million towards domestic and sexual violence prevention programs with the states (over 2 years), resulting in, amongst other things, an additional $10 per day per resident for residential daycare (How many chicken nuggets is that going to provide?) a $164 million trial of cash-and-kind grants for women fleeing violence, $90 million on consent education, and $320m for women’s legal services and children’s contact centres for the safer management of children in families undergoing separation or dispute.

But that is not per annum.

That is “over the forward estimates”, meaning that is the funding generally for the next 3 – 4 years. Compared to spending on other areas (like defence equipment and support for fossil fuel industries or the Diesel Fuel Rebate), it is paltry and will not go very far towards improving the health and safety of many women and families impacted by Domestic Violence. It is likely that more will be spent on political advertising over this time than will be spent helping to stop family violence.

It has also been stated that the elimination of the $450 per month Superannuation threshold will ‘substantially assist women with their ability to build up their retirement incomes.” Let that sink in. The way to help women is to provide super to them when they are earning less than $103 per week. Interesting outlook!

JobSeeker Increase (already in place).

It was mentioned again that the base JobSeeker payment has been increased by $50 per fortnight – but that increase was announced and started on April 1, at the end of JobKeeper, so it’s a bit disingenuous to have it mentioned as a ‘new increase’. (and what it really was, was a reduciton form the ‘temporary Covid inspiroed boost” that applied for 6 months and was phased out in line with the JobKeeper arrangmeents.

What IS increasing is the need to apply for 20 jobs per month – up from 15 – as of July 1, 2021!

A good way to increase activity in the economy is to bring people up from below the poverty line and give them the ability to survive and get out to find work. The increase does not do enough to achieve this.

Childcare changes

Subsidies for second and subsequent children in Childcare will be increased to 95 per cent. The annual cap of $10,560 per child (or $203 per week) will be removed, benefitting higher-income earners impacted by the Income threshold. Again, this will not apply until July 1, 2022. This applies to Child care (or early learning), not after school care – so those with Primary school children won’t get additional support from this announcement.

Infrastructure

Break out the HiViz vests! $110 Billion in the announcements. But this is over 10 years, with very little actually being undertaken in the next 12 months. Victoria has been allocated $3.3 Billion over the 10 years – but only $397.7 million over the next 4 years. Even the much-vaunted ‘inter-modal hub’ is more than 4 years away. So what has been allocated will be announced to us many times over the coming years. Over and over again.

The Unannounced Budget items.

An area that has had little or no discussion in the main press is the ‘allocated but unannounced’ component of the budget. Over 9 Billion dollars of funding has been allocated in the budget process, but what that is for and how it will be allocated, is yet to be announced. Apparently, $3.75 BILLION of this is to be ‘announced’ over the next 12 months

This is the spending that will likely be targeted – one way or the other – for promises to be made leading up to the 2022 and possibly the 2025 election campaigns. Stand by for a raft of ‘community programs’ support schemes and targeted funding aimed at marginal electorates in the coming 6 – 12 months.

So, we face 6 months or more of additional announcements aimed squarely at keeping eyes distracted from what is not happening in regards to renewable energy matters, climate change, education, universities, returning Australians, Quarantine in Hotels and of Refugees, bushfire remediation, flood and reef repairs and the like. Instead, there will be a succession of ‘big cheques’, road and rail announcements in the regions, sports halls and barbeques, HiViz vests, Rugby Tops and Baseball caps. all the way to the next election – which will probably be announced when we finally get to over 15 million people vaccinated ‘at least once.’

While some are praising this budget – bascially because the Government has abandoned austerity and continued some benefits in the hip pocket areas, there are many, missed opportunities. When a Government is incurring a $160 Billion+ deficit, and not looking at significant reductions in that level for many years, the money can be better spent on improving the society (not just the economy) and providing a significant reset for many areas. Accept that this is a long term plan – not just look over the horizen to the next political cycle – and plan for the major changes that are needed.

You know, like a well managed business, corporation or dictatorial regime woud do. Make your own choices about the comparision you prefer.

So as David Byrne or Kermit would say:

‘You might ask yourself – how did I get here?’

Lets leave it to Kermit to explain…Once in a Lifetime

To discuss any matters arising out of the Budget, or relating to your business, investment, taxation or related financial matters, please call us at Fiscal Artisans on

0409 788 399

or email to

stuart.smith@fiscalartisans.com.au

by Fiscal Artisans

April 16, 2021

Din Din Din!

Your days as a director are

about to be ‘numbered.’

The Federal Government is working on implementing a Director ID number system, which will allow for the tracing of directors across companies.

This system is to be implemented from November 30, 2022, and Directors will be required to apply for a new Directors ID Number (or DIN) by that date.

This system will be managed separately to the Tax File Number (TFN) and Australian Business Number (ABN) system now in operation and will be managed by the Commonwealth Registrar, operating as a separate statutory function of the ATO as part of the Governments “Modernising Business Registers (MBR) program.

In the 2020 federal budget, additional funding was announced to integrate the system with the government’s Modernising Business Registers (MBR) program.This integration will create a super registry by bringing together the Australian Business Register and 31 other registers currently administered by the Australian Securities and Investments Commission, forming the Commonwealth Registrar.

It is hoped this system will prevent the use of false identities and help prevent illegal phoenix activity, where directors deliberately liquidate companies to avoid paying debts, which is estimated to cost the Australian economy between $1.8 billion and $3.2 billion each year. i.e. It ‘should’ make it easier to trace directors who move operations from one company to another, or who have a record of ‘companies closing’ year on year.

How the Director ID system will work

All directors will be required to establish their identity with the Commonwealth Registrar before receiving their unique director ID, which they will retain throughout their lifetime, even if they cease to be a company director.

This process will involve directors providing their names and former names, addresses and former addresses, contact details, and their date and place of birth.

Directors will also need to prove their identity using key identifying documents, such as a driver’s licence, passport, birth certificate or visa, and may be asked to provide their tax file number (TFN). I expect that this last part will become a critical aspect so that it is harder for people to obtain multiple DIN’s. It is currently relatively simple for a person to have two different sets of details listed with ASIC, depending on whether or not middle names are included in the filings, address details, etc., are maintained correctly.

While the Commonwealth Registrar will operate separately from the ATO, it may ask the ATO to provide the TFN of applicants to verify their identities, and details provided to the registry may be cross-checked against the taxation office’s records.

Directors will face significant civil and criminal penalties if they fail to apply for a director ID by the deadline and for conduct that contravenes the new rules, including falsifying identify information or intentionally apply for multiple director IDs

For companies registered under the Corporations Act, directors face potential civil penalties of up to 5,000 penalty units, or $1.1 million.

What Happens next?

According to the proposed arrangements, the director ID regime will go through a testing phase, which will run until October 31 this year. As part of this phase, the Commonwealth Registrar will invite a group of existing directors to test the system to make sure it has a robust, reliable and consistent user experience.

After this testing is completed, existing directors and those who became directors during the testing phase will have a little over 12 months to apply for their director ID number.

Anyone who wishes to become a company director after November 30, 2022, will need to apply for a director ID before being appointed as a director. This may slow down new company setup processes for small businesses, depending on the approval processes involved, which is why I expect the submission of the TFN will be crucial in the identification process.

So by early 2023, anyone in business will need to add a new identification number to their lists! TFN, ABM, ACN and now DIN.

What has not been reported on so far is the impact of this process on directors of Australian companies that reside overseas. What will the process be for these individuals, and what forms of ID will be accepted? Will they be required to apply for an Australian TFN if they don’t already hold one? Time will tell on that one.

I recall the chaos when the ABN system was first implemented, Hopefully, 20 odd years later, some lessons have been learned, and the ‘trial process’ will consist of a bit more than a few ‘mates filling in some forms to check it all out’ to test the process. There will be a flurry of activity with various corporate register and management systems that will need to update systems to record the DINs and changes to every single ASIC form that needs to be lodged for company activities to incorporate the DINs into the system.

As the systems become apparent, we will liaise with our clients to arrange the application process to ensure it is as smooth as possible.

For more information or to discuss what you need to do as part of this process, please email us at info@fiscalartisans.com.au, or call me on 0409 788 399.

by Fiscal Artisans

April 1, 2021

With almost all businesses and professional activities finding their activity pushed on line over the last 12 months, and the ease with which we open up our phones and mobile tablets to buy, sell, book appointments and the like, the whole area is open for exploitation.

So what can you do about it?

Ironically, the Government has been urging businesses to improve their IT security, only to find that Parliament House has also been hacked (as has RMIT, Nine Media, and many other organisations)

So, a few suggestions are listed below

1. Use a reputable web host

A quality web host is your first line of defence against cyberattacks on your website. So rather than opt for the cheapest host, do your homework and invest in a solid hosting package with a reputable host.

Hosting is what makes your website visible to people around the world.

Check that your web host supports the latest versions of basic web technologies, such as PHP and MySQL. PHP 7 is the official recommended PHP version for WordPress, which now powers 30 percent of all websites.

It’s also worth considering VPS or dedicated hosting. These ensure your website isn’t on a shared server — and not vulnerable to DDOS attacks on other websites sharing the same resources.

2. Ramp up your website security

Bad actors are using increasingly sophisticated tactics to break into websites. Their goal? Sometimes it’s to steal customer data that can be sold on the dark web. Other times it’s to gain access to a bigger company’s network through your site. Regardless of their motives, the outcome is bad for your business.

Look at what your web site host offers in terms of security, ensuring that they offer the following services

WAF prevention

The Web Application Firewall (WAF) feature stops malware before it gets a chance to enter your website. It intercepts and inspects incoming data and removes malicious code, preventing damage from being done to your site (and your business reputation).

Malware scanning and removal

Website Security includes a scanner that checks your website for malicious content that could put your site, your customers, and your future prospects at risk. The product automatically scans for malware daily, alerting you when it finds something. All you need to do is submit a malware removal request and our team gets right to work.

Blacklist monitoring and removal

Likewise, if your site is infected and blacklisted as a resulet, you will be notified of the problem and website host can work to get your site cleaned up and removed from the blacklist.

SSL Certificate protects private data

A SSL certificate enables encrypted communication between your customers and your website. It helps to decrease the risk of losing sensitive information to hackers such as:

Usernames

Passwords

Emails

Credit card numbers

The SSL helps to protect all the private data that is of most interest to hackers and thieves. But there’s another benefit to having an SSL: Google heavily favours SSL-encrypted websites and pushes them higher in search rankings than those without, helping your business become more visible to new customers.

Advanced DDoS mitigation

The Distributed Denial of Service (DDoS) attack can bring down your website by overwhelming it with a flood of automated traffic. And every minute your site’s down, you’re losing customers and sales.

The advanced security monitoring and WAF features of a good hosting service’s Website Security suite will hep to prevent DDoS attacks.

3. Use strong passwords

Always create and use strong and unique passwords — preferably based on pass phrases — for your website, email and any other accounts associated with your online business.

Like usernames, passwords are another piece of the puzzle for hackers to guess. The stronger your password, the more difficult you make it for hackers to successfully log in to your website. If you use WordPress, it will automatically force a strong password during installation and ask you to check a box if you enter a weak one on purpose.

If you need a hand coming up with a strong password, read this for tips. Or use a tool like Secure Password Generator — it will create strong passwords for you. Be sure to keep them safe and don’t share them with anyone.

AND DON’T RE-USE THEM ON DIFFERENT PAGES! Yes it is a pain, but then so is losing your identity and your money to some offshore hacker who is benefitting from all of your effort with a keystroke.

4. Add two-factor authentication

Even with a strong username and password combination, Brute Force attacks can be used to guess your log in details. This is where two-factor authentication can help.

Two-factor authentication introduces another step in the login process. You still enter your username and password, then you’re asked to enter a code that is sent to your mobile device or authentication app. This thwarts automated Brute Force attacks designed to crack your username and password combination.

Many systems (like Xero, and many bank web pages) require 2FA systems to be installed. While it adds to the time spent in logging in and working on these systems, just think – if it takes you that long to get in with all the information at your fingertips, how much longer – and therefore harder – is it for someone else to get in? It IS your money and your business that you are protecting! And make it compulsory for your employees to use 2FA when logging in to your systems – especially in Work From home arrangements.

5. Keep all software up-to-date

Ensuring all software you use for your website — including your Content Management System — is up-to-date and running on the latest version is one of the easiest ways to protect your site from attack.

Only download and use software (such as WordPress plugins and themes) from credible, reputable sources, such as premium providers. While it might be tempting to use free software, sometimes dodgy developers insert malicious code, which would compromise your site.

And only keep software on your site and system that you’re actually using. The more unused software you have, the higher the risk of getting hacked. So review your site regularly to ensure it’s lean and running on essential software.

Website security is your responsibility

Like filing your tax returns or submitting business activity statements, digital security is another important facet of running a business that SMBs need to prioritise. It’s not something you can simply put in the too-hard basket — not when 20 percent of Australian SMBs have already suffered a cybercrime event. Businesses are spending literally thousands of dollars each year cleaning up after hackers who penetrate their sites.

by Fiscal Artisans

March 29, 2021

The Art of the Non-Fungible:

How Creativity and Technology makes Art pay

What is this about?

For many artists and creative professionals, maintaining control over their work and generating a reasonable income from their work has become harder in the digital world.
New uses of Blockchain Technology can create opportunities to overcome these issues and ensure a fair revenue for Visual artists, digital artists, photographers, musicians and other creative professionals
Protection against ‘knock offs’ and asset fraud or theft can also be enhanced.
New opportunities to create content, creative product, etc. and develop a professional opportunity from your creative skills and talents
We are only at the tip of the iceberg with this, and there is a lot to discuss on this topic. The applications are not ‘just’ in the arts or creative areas, but this is a field where the greatest initial impact may be seen.
We are entering a phase where Parallel Ecomonies are being developed – The digital and the analogue. in time, the Digtial will overtake more and more of the analogue – the traditional way things have been done.

Depending on your reading and internet habits, you may have heard about several modern artists getting huge amounts of money selling ‘digital art’ – short videos, graphic images (that don’t exist in any form on canvas or paper) and the like, using something called an NFT.

The obvious question is – what is an NFT?

NFT stands for non-fungible tokens. It’s easiest to think of NFTs as a file format.

When you download music to your phone, or a photo from your digital camera to Instagram, or Facebook, or your computer, the details are stored in a specific file format so that your computer system (or mobile device) knows how to read it and display or play the content.

NFTs are a file format that transfers data and value on blockchain networks like Ethereum. Since NFTs exist on blockchains, these tokens (or files) contain properties similar to bitcoin – namely – primarily digital ownership (a token in a person’s wallet) and transparency (all activity is recorded on a blockchain).

So what does ‘fungible’ mean?

No, it’s not something soft and squishy!. Nor is it a mushroom recipe.

Put simply. Something is fungible if it is easily interchangeable. E.g. You and I could swap $20 notes with different serial numbers, and they would be treated exactly the same. Or I could borrow a kilo of sugar from you (It’s jam-making time again!) and then go to the supermarket and buy a replacement bag of sugar, and they would be interchangeable. In both cases, you could say that the items given and received are ‘fungible’.

In comparison, an item is said to be non-fungible if it is unique. Lots of items are non-fungible, including diamonds, houses, and baseball cards. No two of these items are the same; e.g. diamonds have different colours and cuts, while two apartments with the same floor plan in a block of apartments are different because they are on different floors or have different vistas.

So an NFT is simply a token (or piece of information) that is unique. A common example of an NFT might be a digital trading card or piece of digital art.

Characteristics of NFTs

NFTs are simply a way to transfer information (data) that provide various benefits because they are created on blockchain networks. While Blockchains in themselves are a whole separate, detailed discussion, a blockchain is essentially a digital ledger of transactions that are duplicated and distributed across the entire network of computer systems on the blockchain. This distributed network makes it difficult, if not impossible, to duplicate, forge, or defraud the system’s records.

While the value of an NFT can vary depending on how it’s used, generally speaking, NFTs provide the following characteristics:

· Unique – The key trait of non-fungible tokens is that they are unique, and this can be verified on a blockchain. i.e. if you only create ‘one’ version of an item, it cannot be truly duplicated, as the token itself cannot be duplicated.

· Permanent – NFTs have permanent information and data that is stored within the token. This information can include a message, image, music, signature, or any other piece of data.

· Programmable – An NFT is just a piece of code on a blockchain. This means it can be programmed to have various qualities. One of the most useful qualities of NFTs to date is that royalties can be programmed (or built-in) to the tokens. This means an artist obtains a royalty on all secondary sales of their artwork. (Unlike the situation artists have now, where they may see their work selling for tens or hundreds of times the original sales price, and they receive no additional benefit from these sales.

· Permissionless – NFTs can be used multiple ways if they exist on a ‘permissionless’ blockchain like Ethereum (not all NFTs are on Ethereum). For example, Sorare – a sports trading card game – has third-party games, i.e. (not built by the Sorare team) that use Sorare trading cards. Again, this creates opportunities to on-use and on-sell or licence products for additional activities. Imagine purchasing a Lionel Messi trading card and using this in your gameplay in Fifa21, or a Nick Riewoldt AFL trading card and using this in an AFL game on the Playstation – but also knowing that the ‘card’ has an inherent trading and collectors value (and could also be used in other game systems). It’s not just ‘tied’ to one console game!

· Digital Ownership – whoever possesses an NFT in their Digital wallet owns and controls the NFT. Digital assets like domain names (Google.com) aren’t actually owned by Google, but instead by middlemen like GoDaddy or Verisign, even though they control the rights to the asset.

These qualities empower various new use cases for NFTs, some of which are outlined below.

Typical Use Cases For Non-Fungible Tokens

Art

Digital art has taken the world by storm over the past several months. Digital art, combined with the digital property rights of NFTs (verifiable ownership) and perpetual royalties for artists, makes NFTs a 10x improvement upon the current system. Most recently, the global auction house Christie’s auctioned an NFT-based work of art created by Beeple for over $69 million, the top NFT artist by sales volume.

And, don’t think it is just ‘young new artists on the cutting edge of technology’ that are heading in this direction. Look at this for an example by someone caling themselves The Unknown Artist. Its all just a little bit pythonesque!

Digital Trading Cards

Sorare and NBA Top Shots are two of the most popular sports trading card collectibles. Sorare cards can be used in Sorare’s fantasy football (soccer) leagues while NBA Top Shots by Dapper Labs is developing a game that uses their NBA NFTs. Other digital trading card games include GodsUnchained, which resemble strategy games like Magic the Gathering or Yu-gi-oh.

Provenance Tracking and Digital Certificates of Authenticity

Various items, especially collectibles and high-value items come with digital certificates. For e.g. if you spend $5,000+ for a Luis Vuitton Handbag, and received a NFT ‘certifying that this is a genuine product, insurance and re-sale issues could be reduced because you could certify the item’s true value.

These certificates are currently often either stored as paper records or digital pdf copies. The benefits of digitizing these certificates and issuing them as NFTs means that any can verify the authenticity of the digital certificates and nobody can alter the information or misplace the document.

There is already a pilot program with the NBA that would authenticate memorabilia, such as in-game worn jerseys that are sold during an NBA game via live auctions. While there’s always the possibility of a physical object being tampered with, digital NFTs can act as a better and more automated certification than existing practices, giving buyers greater surety that what they are buying at an auction is ‘genuine’ and collectible.

Gaming items

Gaming assets are already digital in nature, so creating them as digital assets that individuals can own presents various benefits. There are multiple game studios building games that run on blockchain rails. Also, there are several platforms like Enjin which are building their own platforms that facilitate game development including the issuance, or minting of gaming assets.

One of the first uses of NFTs was in an online game called Cryptokitties, where you collect and breed ‘furrever friends’ online. Each kittie created is unique, collectable, and can be bred with other kitties in order to create more kitties – and (in pure monetary terms) increase the value of your initial investment in the process. The more you work on it, the more kitties you can create, and look to resell depending on popularity, rarity etc. What sounds like a trivial online game for little children, or a 21^stcentury Tamagotchi experience, has generated over $32 million in re-sales and has almost 100,000 players. (NBA topshot has generated over $300 million in re-sales.) Over $250 million has been traded in NFT’s in the last 12 months – not including the Christies Art Auction!

Domain Names

Blockchains inherently make for great asset registries, and one of the largest digitally native assets are domain names. Domain names are digital assets that map IP addresses to more human-readable names (e.g. 13.57.64.34 to Messari.io). Ethereum Name Service, Unstoppable Domains, and Handshake are three projects taking different approaches to enable domain names on blockchains.

Ticket sales / Countering Scalping and counterfeiting.

Concert tickets or ‘major event tickets’ could be put onto the Blockchain via NFT’s, creating a situation where re-sales have a price restriction on them so that they cannot be resold for a higher price (or that any excess funds paid are automatically paid to the artist, not the NFT holder).

Another option is that the ticket attached to the NFT is not activated until the holder approaches the event venue, to diminish the possibility of re-sale / scalping or ticket theft. I believe that the Euro 2021 Football championships are looking at this for ticket sales, using a QR code to ‘activate’ the ticket within proximity of the venue.

Content

Music, blogs, tweets, memes, and other digital content can all be issued as NFTs. While that doesn’t in itself make the content valuable, it does present unique opportunities for digital ownership and on-chain royalties. Although the distribution of content may remain free for blogs or music, NFTs present unique monetization opportunities for crowdfunding content or selling a blog/song similar to how one might buy vinyl records or old edition books. Decentralized publishing platform, Mirror is enabling writers to crowdfund blogs and sell them as NFTs. Other experiments include the Kings of Leon selling albums as NFTs that provide additional value including lifetime concert tickets or exclusive experiential artwork for an album.

For aspiring recording artists, the presents the possibility of not just ‘preselling’ an album via preorder facility or crowdfunding the recording sessions, but adding the enticement of ‘ownership’ of the recorded material for future royalties or fees generated from licensed use of the material via the NFT.

So why is this any different? And what is the point?

The nature of NFTs mean that the token can be programmed in a number of ways. One aspect is that the original creator of the token (i.e. the artist that created the original work) could program the token to continue to receive royalties on each ‘re-sale’ or transfer of the token. So, if it is tied to an artwork that is sold and resold numerous times, the Artist can continue to receive royalties in the repeated ongoing sales of the artwork. Or they can provide a perpetual royalty to a charity or other third party of their choosing.

Another possibility is the opportunity for a gallery to raise funds for the purchase of a specific artwork, and ‘tie’ the donations or funds raised with that specific artwork. The gallery may choose to sell the artwork in the future (or lease it to other galleries for exhibition) – but only with the approval of a set majority of the token holders. This gives the donees’ ownership’ status over the work (perhaps more for ego or philanthropic purposes – saying that ‘I own a piece of a Picasso hanging in the national gallery for instance) while the Gallery gets to acquire an artwork that it would otherwise not be able to do. Orchestras could use this method to purchase instruments like Stradivarius Violins – and link the token to certify its value and authenticity.

This could also be done by private investors in a consortium or investment fund – investing in high quality musical instruments or key artworks, and ‘renting’ these works to major galleries, or enabling a far wider ownership of significant works of art – imaging saying you own a ‘share’ in a Picasso on the same way that people own a ‘share’ in a racehorse!

For musicians, who have seen revenue from music sales battered by the streaming of music (Gary Numan is quoted as receiving only 37 pounds from Spotify for 1 million streams of his music) the ability to create a tangible product of worth to fans that they will pay ‘good money’ for, is invaluable.

Creating a NFT with items from the Artist embedded in the token like limited edition videos (like Kings of Leon), limited edition vinyl pressings, merchandise rights etc.can create new revenue streams that are in the direct control of the artist, and not subject to the ‘ticket punch’ of a Spotify, Apple, Google or the like on the way through.

We are only at the tip of the iceberg with this, and there is a lot to discuss on this

If you have a creative idea that you think could benefit from being ‘Tokenised’, lets talk about it, and see what can be done.

Who knows, you might have the next multi-million dollar artwork, ready to take the world by storm!

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The revised fixed rate method:

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If your Business Feels like you are scaling Everest,

It’s Time to Go Beyond The Numbers.

But what about scaling Everest? Isn’t that the goal? And how do I get there?

Hire the Sherpas!

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Victorian Business Costs Assistance Lockdown 4.0 support payments

Which sectors are eligible for a grant?

Which sectors are NOT eligible for a grant?

Why are some businesses getting $2500 when others get $5000?

My business is a gardening business, why am I only eligible for a $2500 grant?

How do I update my Australian and New Zealand Standard Industrial Classification (ANZSIC) on the Australian Business Register?

Why do I have to be registered for Goods and Services Tax (GST) to receive this grant?

I previously applied for the Business Support Fund (or another COVID-19 related grant) and was not eligible. Can I still apply for this program?

I have applied for a Licensed Hospitality Venue Fund 2021 grant, can I also apply for this program?

My business is a hospitality venue with a liquor licence and I incurred direct costs as a result of restrictions but I wasn’t eligible for the Licensed Hospitality Venue Fund. Can I apply to this program?

What types of businesses are eligible?

I received a grant/support through another COVID-19 business support program. Can I apply for the Business Costs Assistance Program Round Two?

My business lost more than $5000 during restrictions. Can I apply for more?

If I incurred less than my grant amount in costs, will I need to pay some of the money back?

I am a performer/artist who has lost work during restrictions, but I am not registered for GST. Can I still access support?

Which identification documents should I submit with my application?

How do I know what the status of my application is?

I wasn’t eligible for a grant from the first round of the Business Costs Assistance Program. Can I apply for this round?

How do I provide evidence that my business is registered for WorkCover Insurance with WorkSafe Victoria?

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The Australian Federal Budget 2021

Once in a lifetime…

Personal Income Tax changes

Low and Middle Income Tax Offset for the 2022 year.

Medicare Levy Low-income thresholds.

Tax residency rules being changed.

Self Education deductions – removing the $250 exclusion

Employee Share Scheme changes – ‘cessation of employment’ no longer a taxing point

Business Taxpayers – Changes And Continuations

Temporary Full expensing Extended

Temporary Loss Carryback extension

Digital economy strategy (including self-assessing the effective life of intangible depreciating assets)

Superannuation changes

Removing the work test for voluntary contributions

Reducing the age limit for downsizer contributions – sell your house and add to your super!

Removing the $450 per month threshold for Superannuation Guarantee (‘SG’) eligibility

“The Women’s Budget”

JobSeeker Increase (already in place).

Childcare changes

Infrastructure

The Unannounced Budget items.

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Din Din Din! Your days as a director are

about to be ‘numbered.’

How the Director ID system will work

What Happens next?

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1. Use a reputable web host

2. Ramp up your website security

3. Use strong passwords

4. Add two-factor authentication

5. Keep all software up-to-date

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Victorian Business Costs Assistance
Lockdown 4.0 support payments

The Australian Federal
Budget 2021

Din Din Din!

Your days as a director are