TAG Tax

Contact: ESV Chartered Accountants (New South Wales, Australia) 

Outcomes from the federal budget and tax cuts from 1 July can make things a bit confusing coming up to the end of the financial year. Here are some things

to keep in mind:

• Tax Thresholds are adjusted from 1 July 2012 – Defer income until after 30 June where possible and bring forward expenses … but see below regarding instant asset write-off for small businesses
• Consider Recoverability of your Debtors – Write-off any bad debts before 1 July to ensure a deduction in 2012
• Stock Values – Conduct a stock-take and consider the carrying-value of your stockon-hand at 30 June
• Private Health Insurance – The Private Health Insurance Rebate will be meanstested from 1 July, see the article enclosed to see how you can still take advantage of the 30% rebate
• Medical Expenses – The medical expenses tax offset is also set to be means-tested. Our associate Peter Muscolino explains in this edition the new thresholds and what you can do before 30 June to save on medical expenses
• Trust Distribution Minute Changes – See enclosed article for what you need to consider before 1 July 2012.