July New Financial Year E News 2024
The financial landscape is constantly evolving. That's why we're committed to keeping you informed about the latest trends, tax updates, and investment opportunities. Welcome to the new financial year!
The first month of the financial year has seen a downturn in the tech sector, with major players like Nvidia, Meta, Amazon, Google, and Microsoft experiencing significant share price declines. Investors are concerned that these companies may not meet earnings expectations, leading to a sell-off. While tech stocks have fallen, investors appear to be shifting their focus to other sectors that have been overlooked during the recent tech rally. The Australian reporting season is now underway, with particular attention on the banking sector, especially CBA, given its strong performance in recent months.
The ATO's Tax Time Toolkit is a valuable resource for small business owners seeking to simplify their tax obligations. Beyond general tax information, the toolkit offers a range of tools, incentives, and support to help businesses thrive. From new measures like the Skills and Training Boost and Energy Incentive to instant asset write-offs, the toolkit provides opportunities to reduce tax burdens and invest in business growth. Additionally, the toolkit offers a comprehensive directory of information, resources, and calculators, along with support services and online learning platforms. For primary producers, specific resources address industry-specific needs. By leveraging the ATO's Tax Time Toolkit, small business owners can streamline their tax processes, make informed decisions, and focus on building a successful enterprise.
As of 1 July 2023, all non-charitable NFPs with an ABN are required to lodge an annual self-review return to maintain their income tax-exempt status. This significant change, introduced to bolster accountability and ensure only eligible organisations benefit from tax concessions, marks a departure from the previous self-assessment system. While the new regulations may present additional administrative burdens, they also offer an opportunity for NFPs to strengthen their governance and reporting practices. By meeting these requirements, organisations can demonstrate their commitment to operating ethically and effectively, fostering public trust and confidence in the sector.
Innovate to Grow is a free, ten-week online program designed to empower Australian small to medium-sized enterprises (SMEs) to transform their innovative food industry ideas into reality. Whether you're just starting to explore research and development (R&D) or looking to advance existing projects, this program offers invaluable support. Gain access to expert researchers, build valuable industry connections, and develop a robust R&D plan. With a proven track record of success, having supported over 600 SMEs, Innovate to Grow provides the tools and knowledge necessary to navigate the complex R&D landscape. To be eligible, you must be an Australian-based SME operating in the food industry and able to commit two to three hours per week. Don't miss this opportunity to propel your business forward. Applications close on Sunday, 25 August 2024.
Are you a small business owner in the Illawarra, South East & Tablelands, or Riverina Murray regions looking to take control of your finances? Join a FREE webinar on 21 August from 1:00 pm to 2:00 pm AEST. Learn how to create and manage a comprehensive operating budget that drives profitability. You will cover essential topics like income forecasting, expense management, and performance measurement. Discover practical strategies to set realistic financial goals and make informed business decisions. Don't miss this opportunity to unlock your business's full potential. Register now! (Click link below).
The Northern Rivers holds regular Community Events. See what's on and keep up to date on all the fantastic opportunities available and help to support local. There is plenty to do.
A reminder, there are some important lodgement dates to note this month.
Should you have any questions or require assistance with your tax planning, please don't hesitate to contact our team.
The WD Nicholls Team
Reflecting on the First Month of the Financial Year
As we close the first month of the financial year, the rapid pace of time continues, with significant movements observed in the markets—particularly within the technology sector. Over the past year, giants like Nvidia, Meta, Amazon, Alphabet (Google), and Microsoft have led the market. This month, however, we've observed a slight pullback:
Nvidia: -16.55%
Meta: -8.22%
Amazon: -7.85%
Alphabet: -6.85%
Microsoft: -7.40%
Why this shift? Market sentiment is wary, anticipating that the earnings for these tech behemoths might not meet expectations—a concern sparked with the onset of the earnings reporting season in mid-July. Investors worry that the high share prices weren't fully justified.
Onto the broader market so far 60% of companies have announced revenue increases greater than expected. Earnings growth currently stands at 9.8 per cent which if this continues it will be the best quarter since quarter 4 in 2021. As we monitor the remainder of earnings reports closely, it's notable that investors are reallocating their investments towards sectors and companies previously overshadowed by the tech surge.
Turning our focus to the Australian market, the reporting season kicks off today and will extend through August. A key player to watch is Commonwealth Bank of Australia (CBA), especially given the robust rally in the banking sector over the last six months.
Market returns for 2023/2024 (up to 30 July) are:
The ATO's Tax Time Toolkit for Small Business offers a comprehensive suite of resources designed to simplify the tax landscape for small business owners. Beyond providing general tax information, the toolkit delves into specific areas crucial for business success:
New measures for small business
Small business skills and training boost
Available to small businesses with an aggregated annual turnover of less than $50 million and offers an additional 20% tax deduction to train new and existing employees.
If you’re eligible, you can claim a deduction for the cost of external training courses delivered to employees in person in Australia, or online but the providers need to be registered in Australia.
For more information, visit www.ato.gov.au/skillstrainingboost
Small business energy incentive
Available to businesses with an aggregated annual turnover of less than $50 million. If you’re eligible, you can claim a bonus 20% tax deduction on new assets, or improvements to existing assets, that support more efficient energy use.
For more information, visit www.ato.gov.au/energyincentive
Instant asset write-off
Available to businesses with an aggregated annual turnover of less than $10 million. If you’re eligible, you may be able to deduct the full cost of eligible assets which cost less than $20,000.
Eligible assets must be first used or installed ready for use, between 1 July 2023 and30 June 2024. The $20,000 threshold will apply on a per-asset basis, so you can instantly write off multiple assets.
For more information, visit www.ato.gov.au/instantassetwriteoff
Small business directory for tax time
There have a range of information, resources, tools, calculators and services available to help small businesses at tax time and all year round.
Information
Assessable income for business
Find out what to include in your business's assessable income and what to exclude.
atoTV Business channel
Access a wide range of videos that cover tax time information at a time that best suits you.
Business Activity Statement (BAS)
If you're registered for GST, you need to lodge a BAS report and pay your GST, pay as you go (PAYG) instalments, PAYG withholding tax and other taxes by the due date. You need to lodge on time even if you're lodging a 'nil' BAS.
Business tax deductions
You can claim a tax deduction for most expenses from carrying on your business, as long as they are directly related to earning your assessable income.
Concessions for eligible businesses
Information on a range of concessions to help reduce the amount of tax you pay.
Government grants, payments and other disaster relief
Information if you have received state, territory or Australian Government grants, payments or stimulus as a result of COVID-19.
• Income tax return
There's no threshold for business income so you need to lodge a tax return if you carried on a business, even if your business has not earned any income. This page also explains how to lodge an income tax return for your business.
• Lodge with a registered tax agent
How to lodge your tax return using a registered tax agent.
Tools and calculators
ATO app Free to download and use, with a range of features and tools to help you keep on top of your tax and super.
myDeductions A tool in the ATO app for sole traders or individuals to record business income and expenses. Making it easier and more convenient to keep records in one place.
Other calculators and tools To help you run your business.
Small business benchmarks
Help compare your business's performance against similar businesses in your industry.
Help and support
ATO Community Get answers to your questions on the online community forum.
A full list of tools and services, including help to lodge and pay, is available at Supporting your small business.
Essentials to strengthen your small business A flexible and free online learning platform for small businesses to learn how to get their tax and super basics right.
Primary producers
If you're a primary producer, you may be interested in these fact sheets:
Landcare and riparian maintenance – expenses
Prevent and prepare for fire emergencies –
expenses
Tree farming (forestry operations) – income and expenses
For more information, visit www.ato.gov.au/primaryproducers
Source and credit: ATO.gov.au
From 1 July, you need to lodge an annual NFP self-review return to confirm whether you're eligible to self-assess an income tax exemption if:
you're a non-charitable, not-for-profit (NFP) organisation, and
you have an active Australian business number (ABN).
NFP self-review return requirement
What the new reporting requirement means to the administration of NFP entities.
On 11 May 2021, the Australian Government announced changes to the administration of NFP entities that self-assess as income tax exempt. This was announced as part of the 2021–22 Federal Budget.
The changes require non-charitable NFPs with an active Australian business number (ABN) to lodge an annual NFP self-review return to self-assess their eligibility for income tax exemption.
The annual reporting requirement came into effect from 1 July 2023 and is designed to enhance transparency and integrity in the system, by ensuring only eligible NFPs access income tax exemption.
Lodging your self-review return
If you're a NFP, you can lodge your return now using Online services for business. A registered tax agent can also lodge on your behalf through Online services for agents.
You need to lodge a return for the 2023–24 and future income years. You don't need to lodge a return for previous income years.
If you're having difficulty lodging your return using online services, check the support available, such as:
lodgment using the ATO's self-help phone service 13 72 26
additional time to lodge up to 31 March 2025 if you can't lodge by the due date.
You don’t need to contact the ATO to request this extra time. However, if you lodge after 31 March 2025, they may apply failure to lodge penalties to your account.
Your NFP address, associate and contact details need to be up to date so you can access Online services for business. If your details need to be updated, download and submit the Change of registration details form (NAT 2943).
Source and credit: ATO.gov.au
Innovate to Grow is a free 10-week program for small to medium enterprises (SMEs) who want to progress their research and development opportunities, or are in the early decision-making stages about engaging in research and development and innovative technologies or solutions in the food industry.
What do you get?
Research and development support.
Who is this for?
Australian small-to-medium businesses.
Who can apply?
This program is open to any SMEs based and operating in Australia who are working on food innovation in any of these sub-sectors:
Beverage manufacturing
Food production
Traditional and complimentary proteins
Bio-manufacturing including precision fermentation
Sustainable processing
Value-adding processes
Other
Overview
In just over four years the Innovate to Grow program has equipped over 600 small to medium sized businesses (SMEs) with the knowledge and tools required to progress their research and development (R&D) opportunities.
This free 10-week online program provides SMEs access to researcher connections, a self-paced learning platform, networking opportunities, guest speakers and expert feedback. Participants can address business challenges, explore collaborations, and create R&D plans within this supportive environment.
Expected outcomes of this course include:
support in turning ideas into viable R&D projects
prompt expert feedback
pairing with a research to connect applicants with experts in relevant fields
building key sector contacts.
Check if you can apply
To be eligible, applicants must be:
an Australian registered and operating business
a business classified as small to medium (less than 200 employees)
a business currently, or in the early stages of, exploring research and development opportunities for their business
working in the sector of the advertised program.
Please note: Sole traders and partnerships are currently not eligible for the program. Businesses need to be registered and have their primary place of business within Australia (Australian subsidiary companies of foreign entities are not eligible). Researchers working at universities can apply as a mentor but not as a participant.
Important to note:
Please ensure you can commit 2-3 hours per week and can attend the half-day workshop on Thursday, 12 September 2024.
Applications close Sunday 25 August 2024.
Source and credit: Business.gov.au
FREE WEBINAR Wednesday, 21 August 1:00 PM - 2:00 PM AEST
Where
Online.
When
21 August 2024, 1:00 pm - 2:00 pm AEST.
The presenter
Court Sayer-Roberts - Court, a qualified small business financial counsellor, brings over 20 years management experience in New Zealand and Australia. Court also codeveloped a federally funded small business support program for small businesses experiencing financial hardship. Specialising in team building and coaching, he simplifies business processes through a deep understanding of finances. Court’s goal is to empower business owners to make informed decisions in challenging environments
About
Financial goals include having an operating budget with a target for income and a target for expenditure, which by default provide a target for profit.
Actions must be taken to achieve the income target and to stay within the expenditure levels set by the budget. Ongoing monitoring of the budget and measurement of actual performance against it are critical and deviations are known as favourable (better than) or unfavourable (worse than) variances. A business owner must have a realistic budget to work towards and have a comfortable understanding of all of its underlying components in order to maximise profit.
This webinar is aimed at small businesses throughout Illawarra, South East & Tablelands and Riverina Murray who have just started or have an established business and we have the capacity to host up to 50 people.
Learning Objectives
The cyclical nature of business and need for realistic income and expenditure forecasts for each prospective cycle against which to measure actual performance.
The drivers underpinning revenues - seasonality, competition, volumes and prices, margins. The nature of expenses - fixed v variable; discretionary v non-discretionary.
Practical tools and helpful hints for preparing budgets and the importance of reviewing past performance to manage future expectations.
Learning Outcomes
An appreciation of the need to have considered operating budgets against which to measure actual performance.
Confidence to prepare realistic operating budgets and to converse with other stakeholders in their preparation process and performance review. An ability to regularly review and interpret budget variances and to make sound strategic business adjustments as required.
This event will be delivered by Enterprise Plus an approved independent provider for Service NSW Business Connect until June 2025.
To register your interest click the link below.
Source and credit: Business.gov.au
We always like to support our locals! Here are some community events happening this month (in date order).
Bangalow Farmers Market next date is Saturday, 3 August 2024 | 7:00 AM to 11:00 AM
The Bangalow Farmers Market is held every Saturday from 7:00 am to 11:00 am.
The produce at the Bangalow Farmers’ Market does not have to travel as far as the produce in supermarkets. This means that the fruit and veg will be much fresher, and will produce a much smaller carbon footprint.
After the Farmers’ Market, explore the quaint town of Bangalow. Grab breakfast at one of the many gourmet cafes, and enjoy your Saturday.
Location: Behind Bangalow Hotel, 1 Byron Street, Bangalow
Brunswick Heads Market date is Saturday, 3 August 2024 | 7:00 AM to 2:00 PM
Immerse yourself in the charm of Brunswick Heads, a delightful beachside town 15 minutes north of Byron Bay. Every first Saturday of the month, Memorial Park comes alive with artisan stalls selling everything from clothing and plants to delicious hot food, local produce, and unique handcrafted items. With free parking and everything within walking distance, exploring the markets is just the beginning.
Location: Memorial Park, 11 Fawcett Street, Brunswick Heads
Byron Bay Community Market next date is Sunday, 4 August 2024 | 8:00 AM to 3:00 PM
The Byron Bay Community Market hosts an eclectic collection of market stalls that showcase what Byron has to offer.
The market is held from 8:00 am to 3:00 pm on the 1st Sunday of every month.
Road closures and traffic changes on market day
Jonson Street is closed to traffic at the corner of Byron and Marvel Streets from 5am to 5pm.
Traffic is diverted via Fletcher Street.
The Lawson Street South carpark is closed from 5am to 5pm.
There may be traffic delays are on Lawson Street between the Shirley Street and Jonson Street roundabouts between 6am to 8am and 3pm to 5.30pm.
The railway carpark is open under traffic control via the laneway on Jonson Street.
Traffic controllers will be in place on market day.
Location: Byron Bay CBD, Railway Park, Jonson Street, Byron Bay
Byron Writers Festival Friday 9 - Sunday 11 August 2024 | 9:00 AM to 6:00 PM
Byron Writers Festival is returning to Bangalow Showground on 9-11 August with a vibrant program packed with literary luminaries as well as exciting new voices to discover.
Themed ‘From the ground up’, Byron Writers Festival 2024 will feature more than 150 Australian and international guests over three days.
The writer's festival takes place in beautiful Bundjalung Country in the hinterland town of Bangalow, 15 minutes from Byron Bay.
The festival also offers:
writers’ workshops
an engaging program for children
several feature and satellite events in venues across the Northern Rivers region.
Byron Writers Festival is supported by the NSW Government through Create NSW.
For more information, visit the Byron Writer's Festival Website.
Location: Bangalow Showgrounds, 1 Market Street, Bangalow
Council ordinary meeting next date is Thursday, 15 August 2024 | 9:00 AM to 6:00 PM
Council meetings are held in the Chambers.
Go to How to join the meeting for ways you can participate in the meeting.
A livestream is available to watch online.
Questions about the meeting?
Phone: 02 6626 7051
Location: Council Chambers, 70 Station Street, Mullumbimby
Source and credit: Byron.nsw.gov.au
Mullumbimby Community Market next date is Saturday, 17 August 2024 | 8:00 AM to 2:00 PM
The Mullumbimby Community Market is held on the third Saturday of each month from 8:00 am to 2:00 pm.
Location: Corner of Stuarts and Myocum Streets, Mullumbimby
Source and credit: Byron.nsw.gov.au/Recreation-Culture/Events-Venues/Whats-On
11 August
Activity statements
Quarter 4 (April–June) activity statements lodged electronically – final date for lodgment and payment
refer to Lodging your activity statements online for information on your eligibility for this later due date
finalising all your PAYG instalments before you lodge your tax return will ensure you receive the correct amount of credit in your income tax assessment.
14 August
PAYG withholding
PAYG withholding payment summary annual report – final date for lodgment
use this to summarise all payments to your employees and other payees and the amounts withheld from salary and wages and other payments
these amounts should have been reported at labels W1 and W2 on previous financial year activity statements.
Employee Share Scheme (ESS) annual report
ESS annual report – final day for lodgment.
21 August
Activity statements
July monthly activity statements – final date for lodgment and payment.
GST
Final date for eligible monthly GST reporters to elect to report GST annually.
28 August
Taxable payments annual report
Taxable payments annual report due for lodgment for:
Superannuation
Lodge and pay quarter 4 (1 April–30 June) Superannuation guarantee charge statement – quarterly if you did not pay your contributions on time.
You can choose to offset contributions you've paid late to a fund for each employee against the super guarantee charge for the quarter for those employees.
You cannot claim an income tax deduction for the super guarantee charge.
Source and credit: ATO.gov.au
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