June 2nd, 2021 | by BTP Admin
Adieu 2021, Welcome 2022!
Before we say goodbye to the 2021 financial year, let’s make sure we do our absolute best to minimise our tax to keep our hard-earned money to ourselves, not the taxman!
As company tax rate has been gradually decreasing, it is crucial to prepare yearly tax plans more than ever to bring forward any allowable deductions. If your accountant doesn’t provide this service, come and see us before it gets too late!
For the 2021 financial year, here are the common strategies that people use to reduce this year’s tax.
Plan your strategy to pay as little tax as possible for the 2021 financial year
1. Top up your super
For the extra amount you contribute to your superfund, it becomes a tax deduction in your return. The money that goes into your super gets taxed at 15% instead of your marginal tax rate.
For example, if you are an individual with a taxable income between $45k to $120k, you are at the marginal tax rate of 34.5% (inc Medicare Levy, exc offsets). It means, every dollar you put in your super, you save 19.5 cents.
This year, you can top up your super up to $25,000.
2. Pay your employee’s June quarter super guarantee charges before 30 June 2021
Superannuation contribution is deductible when it is paid. Pay your June quarterly superannuation before 30 June 2021 to receive the tax deductions this year, not the next year when the tax rate is reduced by 1%.
3. Asset Purchase
Seeking to buy a car or equipment for your business? If so, hurry to get it ready before 30 June 2021. The total amount of motor vehicle (Up to $59,136) or equipment will be fully deductible even if you purchase it with finance.
4. Issue dividend
Are you, your family members, or your trust a shareholder of your company? Have you considered issuing dividends this year? The fully franked dividend has a pre-taxed amount embedded, and you can receive a tax refund (franking credit refunds) by giving dividends.
For example, suppose your non-income earning family member receives a fully franked dividend of $33,300 (taxable income $45,000 & assuming no other income). In that case, they are looking at the tax refund of $6,888 this year (Franking Credit of $11,700 less tax payable $4,812, Inc Medicare Levy & offsets).
The 2021-22 Federal Budget is a balancing act between a better than anticipated deficit ($106 bn), an impending election, and the need to invest in the long term.
Among all changes, here are four things that will apply to most businesses and families.
1. Loss-carry back providing immediate deductions for business investment in capital assets
Companies will be able to carry back losses (if any) from the 2020 and 2021 financial years to offset previously taxed profits in the 2019 and 2020 financial years. Under this measure, tax losses can be applied against taxed profits in a previous year, generating a refundable tax offset in the year in which the loss is made.
The amount carried back can be no more than the earlier taxed profits, limiting the refund by the company’s tax liabilities in the profit years. The tax refund will be available on election by eligible businesses when they lodge their 2020-21, 2021-22, and 2022-23 tax returns.
(Applicable to the companies with an aggregated turnover of less than $5 billion)
2. Extension of the low and middle income tax offset
The Low and Middle Income Tax Offset (LMITO) will be extended for another year. The LMITO provides a reduction in tax of up to $1,080 for individuals with a taxable income of up to $126,000 and will be retained for the 2021-22 year. The tax offset is triggered when a taxpayer lodges their tax return.
$37,000 or less
Between $37,001 and $48,000
$255 plus 7.5 cents for every dollar above $37,000, up to a maximum of $1,080
Between $48,001 and $90,000
Between $90,001 and $126,000
$1,080 minus 3 cents for every dollar of the amount above $90,000
3. Extension of an immediate tax deduction for the purchase of assets
Businesses will be able to continue to fully expense the cost of new depreciable assets in the first year of use. This measure will enable an asset’s cost to continue to be fully deductible up front rather than being claimed over the asset’s life, regardless of the cost of the assets by 30 June 2023.
4. Child care subsidy increase for families with multiple children
From 1 July 2022, the Government will:
- Increase child care subsidies available to families with more than one child aged five and under in child care, and
- Remove the $10,560 cap on the Child Care Subsidy.
For those families with more than one child in child care, the level of subsidy received will increase by 30% to a maximum subsidy of 95% of fees paid for their second and subsequent children (tapered by income and hours of care).
Tax legistration changes from 1 July 2021
From 1 July 2021, here are the top 3 things that you should be aware;-
- Company tax rate change – The company tax rate will change from 26% to 25% in the 2022 financial year
- Super Guarantee Charge – Employee superannuation contribution rate will change from 9.5% to 10% from 1 July 2021
- Concessional contribution cap – Concessional contribution will change from $25,000 to $27,500.
Spark Accountants – About Us
A business accountant as passionate about your business as our own
Working closely with family business owners and small businesses, we help you make informed decisions to maximise your profitability, optimise your cash flow and minimise your tax.
As experienced business accountants based in Brisbane, we take complete care of your books and give you the tools, strategies, and numbers-know-how to ensure your business thrives.
Providing personalised service and advice that is tailored just for your business, we’re right by your side, driving your business to move forward.
Where accounting and business advisory was once a difficult activity for business owners, advances in technology now allow small businesses to better connect with their accountant and benefit from similar services that the big firms provide.
As technology-loving accountants, we partner with Xero, setting up your business on their cloud accounting platform and working with you to streamline your accounting, take your bookwork blues away and help you focus on growing your business.
Samantha Park, CA
Director | Tax & Business Advisory | Spark Accountants
3 Clunies Ross Court, Eight Mile Plains, QLD 4113
PO Box 221, Annerley, QLD 4103, Australia
T: +61 7 3607 3837
M: +61 424 615 214
For more information on Spark Accountants please visit sparkaccountants.com.au
December 3rd, 2020 | by BTP Admin
Construction is underway at Sunkids’ newest, state-of-the-art childcare facility being built within the Brisbane Technology Park.
The Brisbane Technology Park community has long awaited an on-site childcare centre, further improving the precinct amenity and work-life balance for the thousands of parents who spend their weeks at BTP. Sunkids General Manager Reyhaan Omar said the choice to open a new centre in Brisbane Technology Park came from the increased demand from parents to access quality childcare within walking distance of their workplace.
“Imagine how meaningful to the parents and children it is going to be commuting to the workplace together. Parents having the opportunity to have lunch with their child before going back to work. In this day and age, making the most of these meaningful experiences is of utmost importance. Sunkids are proud to be able to offer this to families of Brisbane Technology Park.”
Sunkids have introduced new initiatives for added convenience to working families including complimentary morning coffee, flexible sessions of care to suit parent’s work schedules, a ‘Transitioning Back to Work Program’ for new parents, and complimentary chef-prepared sit-down lunches for parents to be able to escape the office and enjoy a meaningful dining experience with their child.
Slated for a January 2021 opening, the new childcare and kindergarten at 69 Brandl Street will set a new benchmark for childcare facilities within Australia with their one-of-a-kind semi-outdoor playscape area, tipped as a ‘tropical oasis in an office park.’
The converted warehouse space will feature an Atelier Art Studio, Alfresco Dining Piazza, interior tropical forest and sandpits, free flowing creek beds, a bike track, performance stage, and interactive garden beds.
There is also a second-level Japanese-style Zen Garden featuring a bamboo forest, tranquil water features, hanging greenery, and a quiet reading sanctuary, all shaded by a large cherry blossom tree.
This unique area will be beaming with natural light and fresh air through 25 custom built skylights and multiple 4m tall bifold doors opening up to bring the outside in.
Catering to children from 6 weeks old through to school age and offering a Government-approved Kindergarten program, the 101-licence placed childcare centre provides all extra-curricular activities including sports, yoga, music and dance, all meals and snacks, nappies and wipes and more in a daily set fee.
Early enrolments are now open and filling fast, to enquire visit: sunkids.com.au/brisbanetechnologypark
May 27th, 2020 | by BTP Admin
Australia’s identity in the new COVID-era has been likened to the early 1980s, with an emerging manufacturing sector, home grown innovation, and the rise of the suburban office park.
As Back to the Future debuted in cinemas in 1985 with a fresh-faced Michael J Fox, the 33 ha Brisbane Technology Park was making its own debut in Eight Mile Plans, 15km south-east of the Brisbane CBD.
It is a concept that has stood the test of time, with its open outdoor spaces, low density, surplus parking, and accessible urban setting showing strong appeal to businesses planning a future in the new COVID world.
Graystone Group, which has overseen the growth of the BTP precinct since 2001, says the open format of suburban office parks offsets many challenges being experienced by their CBD counterparts.
Graystone’s Director of Developments & Property Management, Kirsty Heymink, said the precinct is home to more than 200 businesses and expected the number to grow as COVID restrictions begin to ease.
“There is still a level of positivity in the market, despite the challenges we’ve all faced,” she said.
“In recent weeks we have started fielding new enquiries from small to medium-sized businesses who are looking to spread their workforce across larger, more flexible spaces. The green shoots are emerging, albeit cautiously, and we’re in an excellent position to nurture them.”
Ms Heymink said Brisbane Technology Park has evolved sustainably over time to deliver a leading master planned precinct of premium A-grade equivalent office buildings, serviced office suits, a boutique hotel, casual dining, and expansive outdoor amenity.
“Business parks have the luxury of space and master planning, so larger floor plates are commonplace and replace the need for excessive building heights,” Ms Heymink said.
“Buildings range between one and three levels and feature secure stair access, creating less reliance on lifts. The office park model also enables businesses to spread their workforce over multiple locations to mitigate risk, with flexible lease terms.
“This approach enables companies to keep some degree of separation between team members without having to sacrifice productivity and collaboration, while maintaining the benefits of social interaction, idea sharing, and a supportive workplace culture.
“There is also a reduced dependence on public transport, with ample free street parking and low-cost onsite parking. These are an attractive proposition for companies grappling with how their workforce can function safely, and productively, until a vaccine for COVID is available.”
Ms Heymink said COVID has proven to many businesses that working from home, while achievable in the short term, brings its own challenges of isolation, poor network infrastructure, and lessened productivity.
“While there is still an important and undeniable place for offices in our future, they may not be as CBD-centric as they once were,” she said.
In addition to Brisbane Technology Park, Graystone Group also manages BTP Westlink Green in Darra, and BTP Northshore Hamilton.
Established in 1985, Graystone Group manages commercial office assets across Brisbane Technology Park, Westlink Green and Northshore Hamilton. Its core operations include precinct development, construction, project management, property management, and investment. The Queensland Government appointed Graystone as Development Manager for the 33ha Brisbane Technology Park precinct in 2001.
If you are looking to relocate your business and are interested to know more about BTP please contact our friendly and knowledgeable leasing team on 3368 9099, or alternatively have a look at our current listings.
June 14th, 2018 | by BTP Admin
In response to growing global demand for its endovascular stent grafts, Cook Medical Australia is increasing the manufacturing capacity of its state-of-the-art Brisbane Technology Park facility by nearly 70 percent with the addition of an afternoon production shift.
Recruitment is underway for an additional 94 full-time employees who, once fully trained, will take the total number of skilled technicians employed across two manufacturing shifts to 231 by the end of 2018.
The Eight Mile Plains manufacturing facility produces endovascular stent grafts for the treatment of aortic aneurysms, and is one of the few sites in the world that custom-makes these products to fit individual patient anatomies. Cook Medical Australia also develops and manufactures products used in the IVF process onsite.
Cook Medical Asia Pacific and Vice President – Cook Incorporated, Mr Barry Thomas, confirmed the significant growth in capacity would improve flexibility for employees, while reiterating that the Brisbane-based medical manufacturer’s commitment to supporting local manufacturing and local knowledge-based jobs is as strong as ever.
“Over the last 39 years, Cook Medical Australia has built a strong reputation for product innovation and manufacturing excellence, and this significant increase in our local capacity ensures we are able to meet the growing demand for our products both here and overseas,” he said.
The expansion at Cook Medical Australia includes the addition of an afternoon shift to accommodate the growth in global demand and improve flexibility for both new and prospective employees.
“The new shift has generated significant interest amongst our current as well as our former employees and the opportunity has afforded greater flexibility to better manage personal and family commitments.” Mr Thomas said this expansion demonstrates the company’s commitment to Australian manufacturing and investment in the local community.
“Manufacturing is essential to the economy and this expansion demonstrates Cook Medical’s commitment to manufacturing, innovation and jobs in Queensland,” he said.
In 2017 Cook Medical Australia exported 94 percent of its locally manufactured products to 64 countries and the expansion in production capability will increase the company’s export potential.
June 13th, 2018 | by BTP Admin
Every month new businesses join the BTP community. This month we spoke to spoke to Andre Beeson, State Manager (QLD and NT) of the Presidian Group.
What does the Presidian Group specialise in?
The Presidian Group of companies is comprised of a range of financial services companies that offer products to both the B2B and B2C markets, including finance brokerage, salary packaging, novated leasing, operational leasing, retail insurance and warranty products.
What influenced your decision to move to Brisbane Technology Park?
When looking for new office space, we found Brisbane Technology Park provided the perfect balance between the convenience of a suburban office without having to compromise on the surrounding amenity and corporate culture. Being able to benefit from the cost savings of being outside the CBD, while still having access to premium facilities and surrounded by a good community culture is a real advantage for Presidian Group.
How has the move to Brisbane Technology Park affected the Presidian team?
From an operational perspective, the move was a great success. Everything came together on time and was executed seamlessly, which meant we had no downtime during the move. At Presidian Group we’ve always had a great corporate culture, but since moving to our new office at 29 Brandl Street, the morale of the team elevated instantly. Having access to not only a brand new office, but also brand new premium facilities in the building has made a big change.
Do you have an existing relationship with any BTP occupants or do you see an opportunity for future relationships?
Our parent company has for some time held their IT disaster management systems onsite here at Brisbane Technology Park. Throughout the 2011 Brisbane floods, this was critical to the business continuing to operate. On a day to day basis our retail financial services division will benefit from cross promoting and building relationships with the wide range of companies operating within the park.
In what ways do you think being a part of the BTP community will help your company grow?
Brisbane Technology Park in Eight Mile Plains holds an excellent geographical position which really suits our business. The facilities in the park are excellent, and the public transport opportunities are great for attracting potential staff in the future, as our business continues to grow.
May 30th, 2018 | by BTP Admin
Goldenwater Mortgage Services, joined the BTP Hub community in 2015 and have since experienced significant growth. This has led them to expand within 7 Clunies Ross Court, Brisbane Technology Park. We caught up with Director Jason Fu, to hear about their recent expansion.
What services does Goldenwater Mortgage Services offer?
The Goldenwater team has expertise in residential, cash flow and commercial lending, insurance and broker mentoring.
What does the future hold for you and your business?
Goldenwater aspires to be recognised and respected as a leading finance solutions firm that shares its clients’ journeys and sets their sails for success by empowering them to navigate their financial future.
How do you think being a part of the BTP Hub has helped your recent growth?
The professional presence in the BTP Hub enables us to focus on what we do best as a business, without having to worry about tenancy issues. The modern office complex coupled with the dynamic business environment that surrounds us, instils professionalism into the minds of our staff and clients. It also improves our efficiency and productivity dramatically. Moreover, the festive gatherings organised by the BTP staff connect us with our fellow business owners and their teams, and provide great opportunities to bounce ideas off each other. It’s great fun and often results in “lightbulb” moments!
What were some hurdles or achievements Goldenwater Mortgage Services has encountered?
Having two young children whilst trying to grow the business hasn’t been a walk in the park. Yet it is wonderful for my children to see their father helping others and contributing to the community. This is a legacy for my children that I wouldn’t trade for the world. Despite the statistics and the market volatility, we have made our mark in our market, and we are now stronger than ever, and continuing to grow. Looking back on where Goldenwater’s first clients are now, it is extremely satisfying to see what our strategies and services have helped our clients achieve.
May 29th, 2018 | by BTP Admin
Late last year, Brisbane City Council announced its Global Precincts Strategic Vision which identifies major precincts in the South-East corner that contribute most significantly to trade, employment and growth. Brisbane Technology Park is on the map as a key element of the Upper Mt Gravatt and Eight Mile Plains Global Precinct.
The Brisbane City Council is investing in a coordinated approach to evolving these precincts focusing on critical infrastructure and key networks such as the Brisbane Metro and the Cross River Rail.
“As a key priority of the Brisbane 2022 New World City Action Plan, the Global Precincts vision is focused on developing the precincts with scalable industry activity, world-class business environments, and global reach,” Lord Mayor Graham Quirk said.
“By encouraging and facilitating the growth of further precincts – like the eight priority areas we have identified, with the first three focused around the Brisbane Metro – we can only strengthen Brisbane’s reputation as a top-tier global lifestyle, business and investment destination, and indeed a new world city.”
The Eight Mile Plains, Upper Mount Gravatt precinct, and more specifically Brisbane Technology Park, has been recognised for the substantial economic contribution it makes to the region and its important role in showcasing some of South-East Queensland’s most innovative and exciting businesses.
Stakeholders from across Eight Mile Plains and Upper Mt Gravatt have come together to workshop potential long-term opportunities for the area.
Two stakeholder workshops have been held since January, with the sessions facilitated by Brisbane Marketing, the city’s economic development board.
More than 20 stakeholders have participated in the workshops to discuss opportunities and the development of a pathway forward. A third stakeholder session will be held in June to consolidate the work done to date and map potential long-term opportunities.
The eight priority Global Precincts account for 37 per cent of Brisbane’s employment, more than 60 per cent of exports and 49 per cent of gross regional product.