Taxation Planning
Good tax planning can help you minimise your annual tax liability and manage one off events such as large capital gains.
Your Outlook tax advisor can help you with the following issues:
Remuneration planning (salary packaging)
Remuneration planning is about making the most of the remuneration package you receive as an employee.
Some examples of salary packaging include:
· Making salary sacrificed superannuation contributions. See the ATO Website for more information.
· Expense payment fringe benefits (available to employees of certain hospitals and other not-for-profit organizations)
· Packaging a car through a novated lease arrangement
Tax Effective Investments
Tax effective investments can assist in managing large tax liabilities by providing large tax deductions in the current year.
Certain agricultural managed investment schemes offer substantial up-front tax benefits, supported by Australian Taxation Office (ATO) product rulings, providing more flexibility in cash flow, debt management and taxation planning.
These investments may be suitable for taxpayers who:
· Have a high taxable income and wish to reduce their tax liability.
· Have a one off income event resulting in a large tax bill, such as capital gains on the sale of assets.
Contributing to super
Super contributions made before 30 June can help to boost your retirement savings and minimise your tax liability.
Claiming a tax deduction for your super contributions
Taxpayers who earn less than 10% of their income from employment activities may be able to claim a tax deduction for superannuation contributions.
This can assist in reducing the tax payable on business and investment income to a flat rate of 15% instead of paying marginal tax rates.
Spouse contributions
The government encourages accumulation of superannuation for low or no income partners.