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Mastin Harris Accountants / Uncategorised
October 27, 2025 In Uncategorised

Accessing Super Early – When It’s Legit, and When It’s Not

Accessing your super early might seem tempting during tough times, but the rules are strict, and mistakes can be costly.

✅ Legitimate Reasons for Early Access

  1. Severe Financial Hardship:
    • On Centrelink/DVA for 26 weeks
    • Can’t meet immediate living expenses
  2. Compassionate Grounds (requires ATO approval):
    • Preventing home foreclosure
    • Paying for medical treatment for serious illness
    • Managing severe chronic pain

🚫 Red Flags and ATO Crackdown

The ATO has warned about dodgy operators — including medical/dental providers who promise to help you access super for cosmetic procedures.

  • Don’t ever give your MyGov login to a third party
  • Don’t allow others to apply on your behalf
  • False claims = heavy penalties

✅ Takeaway

Early super access is possible in specific cases — but it must follow the rules to avoid tax consequences or legal trouble.

👉 Need help with a compassionate release application? We’ll help you navigate the ATO process safely and correctly.

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October 20, 2025 In Uncategorised

Unit Pricing Reforms – What Grocery Businesses Need to Watch

The Federal Government has just wrapped up consultation on the Retail Grocery Industry (Unit Pricing) Code of Conduct, and the changes could significantly affect suppliers and retailers alike.

🛒 Why It Matters

Unit pricing — think “$/100g” or “$/litre” — helps customers compare value. But in the face of shrinkflation, consumer watchdogs say it’s time for a refresh.

📋 Proposed Changes

  • Shrinkflation alerts: Call out when packs shrink but prices don’t
  • Clearer, larger unit prices in-store and online
  • Wider coverage: Rules may expand beyond major supermarkets
  • Standardised units to avoid confusion (“per roll” vs “per sheet”)
  • Civil penalties for non-compliance 

🏷️ Business Impacts

  • Suppliers may face scrutiny over pack size changes
  • Retailers may need to upgrade shelf tags and e-commerce displays
  • But there’s also an opportunity to lead on transparency and build brand trust

✅ Takeaway

The rules aren’t final yet, but decisions are expected soon. If you sell into grocery or household goods, get ready.

👉 Want help modelling potential costs or compliance updates? Let’s talk strategy now — before the rules change.

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October 13, 2025 In Uncategorised

ATO Interest Charges Are Now Non-Deductible — What Can You Do?

From 1 July 2025, the ATO’s general interest charge (GIC) and shortfall interest charge (SIC) are no longer tax-deductible — for any taxpayer, and for all tax years.

With GIC sitting at 11.17%, this now makes ATO debt one of the most expensive forms of finance — and you get no tax offset to soften the blow .

💡 Solution: Refinance with a Bank

  • Business loans used to repay GST, PAYG, or income tax may still qualify for interest deductions
  • Individual tax debts tied to business income (e.g. sole traders) may be deductible
  • But for individuals with tax debts from wages or investment income, interest won’t be deductible

🔍 Example

Sam, a sole trader, borrows $30,000 to pay tax debts.

  • $20k from business activity → interest deductible
  • $10k from wages → interest not deductible→ Only ⅔ of interest is claimable.

⚠️ Be Careful: Director or beneficiary loans to pay company/trust tax debts are 

not deductible to the individual

✅ Takeaway

If you’re carrying ATO debt, consider external refinancing — it may offer better rates and a tax deduction, but only in the right circumstances.

👉 Unsure if you can deduct interest? We can help assess your situation and structure your finance the right way.

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October 6, 2025 In Uncategorised

Trust Resolutions – Why Timing and Documentation Matter

A recent Tribunal decision has highlighted how poor timing and weak documentation can unravel even the best-laid trust strategies. The case of Goldenville Family Trust v Commissioner of Taxation [2025] shows just how high the stakes can be.

📅 The Issue: Late or Undocumented Resolutions

The trustee tried to distribute trust income to a non-resident to reduce tax. But the Tribunal found the distribution resolutions invalid — they weren’t documented properly by 30 June.

Even though documents were signed and dated “30 June”, the Tribunal ruled they were likely prepared months later, once the financials were ready. The result? The income was taxed to default resident beneficiaries at higher rates .

🔁 Similar Risks: Division 7A Loans

If you’re using loan set-offs involving dividends, the ATO also requires proof of:

  • When the dividend was declared, and
  • When the parties agreed to the set-off

Miss these steps, and you could trigger a deemed unfranked dividend.

📝 Takeaway

To keep your tax planning airtight:

  • Make real decisions by the deadline
  • Capture contemporaneous evidence (e.g. meeting notes, timestamped emails)
  • Finalise paperwork as soon as possible, ensuring it reflects the actual decision

👉 Need help with year-end trust resolutions or Division 7A planning? Reach out early so we can ensure you’re protected.

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September 29, 2025 In Uncategorised

Big Ideas from the Productivity Commission – Could These Boost Australia’s Economy?

The Productivity Commission has released its interim report on ways to create a more dynamic and resilient economy. It’s early days, but there are some big ideas on the table.

💼 Corporate Tax Reform

The Commission recommends a two-tier tax system:

  • 20% tax rate for businesses earning under $1 billion
  • 30% tax rate remains for larger entities
  • Introduction of a 5% cashflow tax to encourage investment, with full deductions for capital expenditure upfront 

🧾 Cutting Red Tape

  • Highlighted delays like 9-year wind farm approvals and 31-step approval for café openings.
  • Recommends streamlining regulation, adopting pro-growth policies, and holding public servants more accountable for outcomes.

✅ Takeaway

While these are only draft recommendations, they point to a possible shift in how tax and red tape are handled nationally.

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September 22, 2025 In Uncategorised

Superannuation Deadlines & the Next Wave of Reform

Super guarantee (SG) contributions increased to 12% from 1 July 2025 — and employers need to be across their responsibilities to stay compliant.

🗓️ SG Due Dates Still Matter

  • SG must be received into the employee’s fund by 28 days after quarter-end:
    • 28 Oct / 28 Jan / 28 Apr / 28 Jul
  • If using the ATO Small Business Super Clearing House (SBSCH), funds must be received by the SBSCH by the due date.

⚠️ Missed payments, even by a day, trigger the super guarantee charge (SGC) — no tax deduction + penalties .

💡 Planning Ahead: ‘Payday Super’ in 2026

From 1 July 2026, SG contributions are set to move to per-pay-cycle payments (payday super). This means:

  • More frequent SG payments
  • SBSCH will be retired, and employers will need to switch to commercial clearing houses

✅ For Employees

Check your payslips against your super fund’s contribution records. If payments are missing, speak to your employer — and if unresolved, the ATO can help.

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September 15, 2025 In Uncategorised

Student Debt Slashed by 20% – Here’s What It Means for You

In a major win for over 3 million Australians, the Government has passed legislation to reduce existing student loan debt by 20%, with changes also to repayment thresholds.

📉 Automatic 20% HELP Loan Reduction

No action is required — the 20% reduction will be applied automatically to:

  • HELP loans (HECS-HELP, FEE-HELP, OS-HELP, etc.)
  • VET Student Loans
  • Australian Apprenticeship Support Loans
  • Student Start-up Loans & Financial Supplement Scheme

The reduction applies based on your 1 June 2025 balance (pre-indexation). If you already paid your loan off after that date, you may receive a credit refund from the ATO if no other debts are outstanding .

💰 New Repayment Threshold: More Cash in Your Pocket

From 1 July 2025, repayments will only be required if you earn above $67,000 (up from $56,156).

  • Only income above this threshold will be used to calculate repayments.
  • Voluntary repayments remain available.

✅ Takeaway

This is a real financial relief — more take-home income for many, and for some, a significant debt cut.

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September 8, 2025 In Uncategorised

RBA Cuts Interest Rates to 3.60% – What It Means for You

On 12 August 2025, the Reserve Bank of Australia (RBA) delivered a widely anticipated rate cut to 3.60%, the third drop this year. This move signals a shift toward renewed monetary easing.

📉 Why the Cut?

  • Inflation under control: 2.1% headline, 2.4–2.7% trimmed mean
  • Low GDP growth and slight rise in unemployment
  • RBA aiming to support growth without triggering overheating 

💵 Who Benefits?

  • Mortgage holders: On a $600,000 loan, monthly repayments drop by ~$89
  • Refinancers: Canstar reports potential savings of ~$272/month
  • Homebuyers: Sentiment may rise, though property inflation risk lingers
  • Markets: Financial stocks dipped slightly as profit margins narrow

✅ Takeaway

If you’ve been waiting for a good time to refinance, consolidate, or purchase — this may be it.

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September 1, 2025 In Uncategorised

Superannuation 2025/26 – What Employers and Individuals Must Know

From 1 July 2025, the super guarantee (SG) rate rose to 12% — the final step in a long-planned increase. Here’s what it means for you.

For Employers

  • Payroll updates: Check software is applying 12% SG correctly.
  • Employment contracts: Watch out for “salary inclusive of super” packages. Without renegotiation, take-home pay may drop.
  • Cash flow: Budget for the higher contributions.

For Individuals

  • Contribution caps: Concessional cap stays at $30,000; non-concessional at $120,000.
  • Eligibility expanded: Non-concessional contributions allowed for balances under $2m.
  • Threshold updates: Transfer balance cap now $2m; CGT and untaxed plan caps also lifted.

Key Tip

Missing or late SG payments attract heavy penalties — including loss of deductions and interest charges.

👉 Want peace of mind on super compliance? We can review your payroll and contracts to make sure you’re covered.

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August 25, 2025 In Uncategorised

Buying a Luxury Car? Don’t Get Stung by Tax Rules

Luxury cars are more popular than ever, but when it comes to tax, the shine can wear off quickly.

Depreciation & GST Limits

For 2025/26, the luxury car limit is $69,674. Any cost above this means reduced GST credits and capped depreciation.

Luxury Car Tax (LCT)

Cars with an LCT value above:

  • $91,387 (fuel-efficient – now redefined as ≤ 3.5L/100km), or
  • $80,567 (all other cars)

…are hit with a 33% tax on the amount above the threshold.

Exceptions That Save You Money

  • Vehicles designed to carry 1 tonne+ or 9+ passengers are exempt.
  • Some dual cab utes may also escape the cap, depending on load design.

Key Tip

Always run the numbers before committing. Sometimes a “cheaper” vehicle offers a far better after-tax outcome than a luxury one.

👉 Thinking of upgrading your vehicle? Talk to us first — we’ll help you crunch the numbers and avoid unexpected tax costs.

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