Increase to the small business entity turnover threshold
- lower small business corporate tax rate (see rates here)
- simplified depreciation rules including the instant asset write off threshold of $20,000 available until 30 June 2017
- simplified trading stock rules
- option to account for GST on a cash basis and pay GST instalments as calculated by the ATO
- simplified method of paying PAYG instalments calculated by the ATO
- simplified GST reporting, from 1 July 2017, and
- other tax concessions such as the extension of the FBT exemption for work-related portable electronic devices available from 1 April 2016 and the immediate deduction of professional expenses.
Unincorporated small business tax discount
Division 7A Amendments
- A self-correction mechanism for inadvertent breaches of Division 7A
- Appropriate safe-harbour rules to provide certainty
- Simplified Division 7A loan arrangements
- A number of technical adjustments to improve the operation of Division 7A and provide greater certainty
Currently, corrective action for inadvertent breaches of Division 7A can only be undertaken at the discretion of the ATO.