Phone: (03) 9563 4688

Email: office@aubreypaton.com.au

Address: 17D Chester Street, Oakleigh VIC 3166

Latest Accounting News
Hot Issues
ATO dispels top tax time myths to clients as clampdown rolls out
Tools for budgeting, cash flow, Super and more ….
Guidance for SMSFs on transfer balance reporting
ATO issues alert on super, tax scams
Salary sacrifice integrity
Understanding the evolution of blockchain and cryptocurrencies
Update to Australia's vital statistics
Tax Time Checklists- Individual, Company, Trust, Partnership and Super Funds
SMSFs - Our 'hardest' jobs
Tax Office reveals adventurous, dubious claims ahead of tax time
ATO reveals top tax time mistakes, set to contact 1 million taxpayers
Watch out for charges with incoming GST laws.
Super savings gap for women stuck at 30%
‘Wipe the slate clean’: Clients, accountants urged to use new amnesty period
Statistics for all Australians
Touch Payroll (STP)
‘Calm before the storm’: Government proposes 12-month SG amnesty
Government intensifies cash payments crackdown - Kelly O'Dwyer
Passive investment companies tax rate still 30%
Cryptocurrency audits tipped to increase this EOFY
Australia by numbers – Update
$2.4m lost to tax scams, ACCC reports
No GST on digital currency
Federal Budget 2018 - Overview
Your Budget
4 components of our 2018 Federal Budget
Resources to help understand and implement Single Touch Payroll (STP)
New rules capture SMSFs trading big with cryptocurrency
New passive income test for lower corporate tax rate
Articles archive
Quarter 2 April - June 2018
Quarter 1 January - March 2018
Quarter 4 October - December 2017
Quarter 3 July - September 2017
Quarter 2 April - June 2017
Quarter 1 January - March 2017
Quarter 4 October - December 2016
Quarter 3 July - September 2016
Quarter 2 April - June 2016
Quarter 1 January - March 2016
Quarter 4 October - December 2015
Quarter 3 July - September 2015
Quarter 2 April - June 2015
Quarter 1 January - March 2015
Quarter 4 October - December 2014
Quarter 3 July - September 2014
Quarter 2 April - June 2014
Quarter 1 January - March 2014
Quarter 4 October - December 2013
Quarter 3 July - September 2013
Quarter 2 April - June 2013
Quarter 1 January - March 2013
Quarter 4 October - December 2012
Quarter 3 July - September 2012
Quarter 2 April - June 2012
Quarter 1 January - March 2012
Quarter 4 October - December 2011
Quarter 3 July - September 2011
Quarter 2 April - June 2011
Quarter 1 January - March 2011
Quarter 4 October - December 2010
Quarter 3 July - September 2010
Quarter 2 April - June 2010
Quarter 1 January - March 2010
Quarter 4 October - December 2009
Quarter 3 July - September 2009
Quarter 2 April - June 2009
Quarter 1 January - March 2009
Quarter 4 October - December 2008
Quarter 3 July - September 2008
Quarter 2 April - June 2008
Quarter 1 January - March 2008
Quarter 4 October - December 2007
Quarter 2 April - June 2007
Quarter 1 January - March 2007
Quarter 2 April - June 2006
Quarter 1 January - March 2006
Quarter 4 October - December 2005
Quarter 3 July - September 2005
Quarter 4 of 2012
Articles
Merry Christmas to all our clients, your staff, family and friends
FBT - Christmas Parties and Taxi Fares
Employee Christmas Parties and Gifts - Any FBT?
Victorian Stamp Duty Reduction - First Home Buyers
School Bonus - Action Required
Cloud computing central to SME accounting
Traps to avoid with In-specie Transfers to Self-managed Funds
Companies are now able to carry back losses
Want to do some of your own research – no problems?
Living Away from Home Arrangements - Legislation Announcements
Living Away from Home Allowances Proposals
Education Tax Refund Replaced by 'School Kids Bonus'
Living Away from Home Arrangements - Legislation Announcements

 

Unfortunately, the legislation has not changed much from the announcement, so the news is still bad.


The only substantial change is that the commencement date of the changes has been deferred three months until 1 October 2012, instead of
the previously announced 1 July 2012.

The new law will treat living away from home allowances as part of an employee's assessable
income rather than as fringe benefits.

An employee with a living away from home allowance can claim a deduction, but only where the
employee maintains a home in Australia for his or her own personal use
at all times they live away from.  This is limited to the first 12
months the employee is at any particular location. And the deduction is
limited to reasonable expenses incurred and substantiated for
accommodation and food and drink.

There is a further change in relation to the way reasonable food and drink is calculated compared to
announcements.  Under this legislation, the ordinary weekly food and
drink expenses amount is $42 for adults and $21 for children under 12 so
a deduction will not be available for amounts spent above this.

Employers will pay FBT on living away from home benefits, under similar rules,
but not FBT concessions for fly-in fly-out arrangements. It also does
not affect travel and meal allowances provided to employees who have to
travel from their usual place of work for short periods, generally up to
21 days.

The transition provisions means the old rules continue for those employees lucky enough to have a living away from home
allowance or a living away from home benefit in place under a contract
entered into before budget night (8 May 2012).  But only until varied or
1 July 2014.

Some practical implications:

  • You can put a house sitter in the house you are living away from but the house sitter
    cannot be charged rent for house sitting and they must vacate when you
    return
  • You cannot rent out the house you are living away from that you must maintain. Nor can you sub-lease a house you are renting
    that you are living away from.

 

 



6th-November-2012