Additional COVID-related grant programs declared NANE
These are the additional grant programs administered by states and territories are eligible as non-assessable non-exempt income.
- Business Cost Assistance Program Round Four – Construction (Victoria);
- Business Cost Assistance Program Round Two – Top Up (Victoria);
- Business Cost Assistance Program Round Three (Victoria);
- Business Cost Assistance Program Round Four (Victoria);
- Business Cost Assistance Program Round Five (Victoria);
- Commercial Landlord Hardship Fund 3 (Victoria);
- Impacted Public Event Support Program Round Two (Victoria);
- Licensed Hospitality Venue Fund Top-Up Payments (Victoria);
- Live Performance Support Program (Presenters) Round Two (Victoria);
- Live Performance Support Program (Suppliers) Round Two (Victoria); and
- HOMEFRONT 3 (Australian Capital Territory).
20% deduction for digital take-up expenditure
The Government recently released draft legislation to provide small business with a 120% deduction for expenditure incurred for the purposes of their digital operations.
The “bonus’” component of the deductions is capped at $20,000 per income year.
To be eligible for the bonus deduction, expenditure must be incurred wholly or substantially for the purposes of an entity’s digital operations or digitizing the entity’s operations. Such expenditure may include, but is not limited to, business expenditure on:
- Digital enabling items.
- Digital media and marketing.
- E-commerce.
20% deduction for external training expenditure
The government has also released draft legislation that small business will allow to deduct 20% addition to an existing available deduction for eligible expenditure incurred on external training for employees i.e 120% in all, it will apply to eligible expenditure incurred from 29 March 2022 until 30 June 2024.
Generally, small businesses will be able to claim the bonus deduction in the income year in which the expenditure is incurred.
Grants for Small Business accessing professional advice which includes Accountants
The Victorian Government Small Business Specialist Advice Pathways Program is now available to clients of Qualified accountant who belongs to one of the following professional bodies at the declared membership classification.
- CPA Australia.
- CA ANZ.
- Institute of Public Accountants.
Super Annuation
Total super assets $3.3 trillion at June 2022
APRA has released its Quarterly Superannuation Performance publication for the June 2022 quarter reporting total super assets of $3.313 trillion at the end of the June 2022 quarter (down 4.4% for the quarter, and 0.5% for the year). Total assets in MySuper were down 4.7% for the quarter, and 1.9% for the year, to $885bn. Self-managed super fund (SMSF) assets were up 3% for the year to $869bn. For the year ending 30 June 2022, contributions totalled $147bn (up 15.2%), while benefit payments totalled $86bn (down 9.5%).
Financial Planning
Financial adviser professional standards consultation
Following the Government’s election commitment to revisit the education requirements for existing financial advisers, specifically those who have significant on-the-job experience, Treasury has released a consultation paper seeking industry’s views on how to best implement the commitment.
The paper proposes options to streamline the core knowledge areas for degrees and to simplify the degree approval process and professional year. It also seeks feedback on how education standards for new entrants could be improved, allowing financial advice to continue to develop into a career of choice.
Submissions are due by 16 September 2022.
The IPA will be making a further submission on the education and professional standards and welcomes member input to ipaadvocacy@publicaccountants.org.au.
Source: IPA Australia
