It’s no secret to those who know me that I love a “designer handbag”!

I’ve been lucky to save my pennies over the years and acquire a few different styles, which I rotate on a regular basis…I don’t pay too much notice to the prestige attached to these items, but I do love the quality and how good I feel when I use them (I don’t have kids so I have to get my satisfaction from somewhere…right?)

But did you know that you can also purchase a “designer” business bag and potentially get a tax deduction?

In general, a briefcase or laptop bag, designed to carry a notebook computer and/or papers and files is an allowable deduction for the work related portion of the purchase price.

If the purchase price is less than $300 then a deduction is available in the year of purchase, but if the item costs more that $300, then it should be depreciated over its useful life.

But the title of this post comes from the rule that there is no upper limit on how much you can spend!

Please excuse me…I’m off to peruse the Louis Vuitton website!

Regards

At this time of the year, many of you are rushing out to get your tax return completed as soon as possible…and I get that, it’s nice to get your refund (if you’re entitled to one!)…

As a tax agent, one of the greatest inventions by the Australian Taxation Office (ATO), is the “Pre-filling” report – this is a report that I can download direct from the ATO and it includes details of your PAYG Payment Summaries, Interest and Dividends received and a summary of the deductions you claimed in your latest lodged income tax return (among other things…)

But this report is only as good as the information that has been provided to the ATO by employers, banks and other corporations!

One item of income that many people don’t think to give their tax agent details of is interest income!  Many people think they don’t earn any interest income…but you’d be surprised, and yes, it all counts!

I can tell you now that most interest income is yet to reach the ATO and is not yet appearing on Pre-filling reports – so please do yourself and your tax agent a favour and login to your internet banking before your appointment and print or e-mail them a summary of your interest details – it will save you time during your appointment and reduce the need for an ATO review later on!

Regards

Preparing your resume – could there be a more daunting task?

For those of us who have been in the workforce for some time, it can be difficult to summarise your career, and for those of you just starting out…exactly how much information should you provide?

I think it’s a question of balance, ensuring you provide enough detail about yourself, your education and your experiences, while leaving the potential employer wanting more…enough that they will contact you for an interview.

One of the most important areas on a resume is that of references…

I’ve been contacted lately by some former students looking for career guidance or references, so I figured I’d turn the experience into a topic!

The days of written references are falling away.  In a time poor society, there aren’t many people who would make a dedication to writing a “proper reference”, besides, it doesn’t take long for the written reference to become out dated.

I prefer to include a list of references – but make them relevant!

The number of referees you include is a personal preference, I like three or four.  It’s recommended that you do not include family members or friends, unless you’ve worked closely with them, so who should you ask?

• someone you have worked with (it doesn’t need to be your boss)
• someone you’ve volunteered with
• a customer or client you have dealt with regularly
• a teacher or school principal (if you are a recent school leaver)
• a prominent member of the community with whom you have a working relationship

Essentially, anyone who has seen you work in some capacity and is willing to speak in your favour!

On a side note, it is a courtesy to ask the potential referee first, a simple phone call or e-mail will suffice.

Hoping these tips help you in preparing your list of referees!

Regards

Will 2014 be your first time using an accountant?

I was contacted last week by a couple who considered their tax affairs to be simple and so have always prepared their own tax return.

However this year their circumstances have changed.

Recognising that they should seek professional help, I am pleased to be meeting with them this week to go through their new situation and help them understand their current situation and the taxation impact.

My advice to these new clients, and to anyone seeing an accountant or registered tax agent for the first time, includes the following:

– bring all of your PAYG Payment Summaries (these used to be called Group Certificates) and details of any other income

– bring all of your receipts, no matter how minor you think the claim might be!

– if you purchased or sold assets during the year, bring all of the information (contracts, settlement statements and loan statements included)

– have your spouse details on hand (including full name, date of birth and income), you’d be surprised how many people don’t know their partner’s birthday!

– bring a copy of your latest lodged income tax return if possible

All of this will help you to help your accountant to get the best possible tax result for you.

If you’ve never seen an accountant before and you think it’s time you did, let us know via our Contact page, we’d love to hear from you.

Regards