Following the recent tribunal ruling in New South Wales of Thomas and Naaz Pty Ltd v Chief Commissioner of State Revenue, State Revenue Authorities across Australia have indicated that they intend on increasing investigations into payroll tax non-compliance by General Practitioners (GP). Whilst Revenue Authorities may be targeting GP clinics, these laws also apply to other businesses that engage contractors, including professional consultants and trades people. Why are GP clinics being targeted GPs can operate under a variety of different business models. The structure considered in Thomas and Naaz Pty Ltd is a common example. It involves GPs working under a service agreement with a medical practice. In this instance, the medical practice engages receptionists, nurses, and other support staff. The medical...

The Federal Treasurer Dr Jim Chalmers presented his first federal budget on Tuesday 25th October 2022. We outline some key points below: Superannuation Eligibility for downsizer contributions to superannuation will expand to those aged 55+ years (reduced from 60 years). This will allow more people to make an additional non-concessional contribution of up to $300,000 per contributor from proceeds of selling their main residence (on top of the existing contribution caps). Other eligibility criteria will apply Proposed measures relating to self-managed super fund (SMSF) residency changes (delayed) and SMSF audits (won’t proceed)...

Legislation has been passed to amend the provisions of the Competition and Consumer Act 2010 (Cth) and the Australian Consumer Law (ACL) to enhance protections for individuals and small businesses against unfair contractual terms. An unfair contract term is a clause which causes a significant imbalance between the parties to a standard form contract, is not reasonably necessary to protect the legitimate interests of the party imposing it and causes a detriment to the other party if relied upon. Whilst protections against unfair terms already exist under the ACL, prior to these amendments there were no financial penalties imposed on the party that relied on them. Practically speaking, this meant an aggrieved party would have to apply to the Courts to have the unfair...

What is crowd-sourced funding? Crowd-sourced funding (CSF) allows companies to raise funds through an online intermediary, from a large number of investors without the need to comply with capital raising and governance requirements imposed on public companies.  Problem solved by crowd-sourced funding Crowd-sourced funding laws were developed to assist smaller companies in accessing capital from investors in a more cost effective way.   In the past, private companies had to rely on raising funds from high net worth individuals, venture capitalist and angel investors. There was also capacity to raise funds under a small scale '20/12/2 rule’ which is limited to $2 million from 20 investors over a 12 month period. This exemption still exist, but before these reforms were in place the situation...

The Federal Treasurer Dr Jim Chalmers presented his first federal budget on Tuesday 25th October 2022. We outline some key points below: Superannuation Eligibility for downsizer contributions to superannuation will expand to those aged 55+ years (reduced from 60 years). This will allow more people to make an additional non-concessional contribution of up to $300,000 per contributor from proceeds of selling their main residence (on top of the existing contribution caps). Other eligibility criteria will apply Proposed measures relating to self-managed super fund (SMSF) residency changes (delayed) and SMSF audits (won’t proceed)...