Taxwise Business News - May 2025
Download the full TaxWise News Business May 2025
The May 2025 edition of TaxWise Business News delivers crucial updates for Australian small businesses on tax policy changes, compliance, record-keeping, digital tools, and upcoming deadlines.
Key Topics Covered:
- Small Business Instant Asset Write-Off: Extension of the $20,000 threshold until 30 June 2025, with a proposal for a further extension.
- Federal Election and Budget Measures:
- 20% reduction in student loans (by June 2025).
- New instant work-related tax deduction (from July 2026).
- Personal income tax cuts taking effect from July 2026 and July 2027.
- ATO Tips for Small Business:
- Importance of regular bookkeeping, cash flow management, and on-time BAS lodgment.
- Use of financial benchmarks for comparing business performance.
- Targeted ATO Areas:
- Contractor income reporting via TPAR.
- CGT issues—recent scrutiny and tips on correct claims.
- Monthly GST reporting for non-compliant businesses, and benefits of monthly reporting.
- Record-Keeping & Digital Tools:
- Digital record-keeping benefits and requirements.
- eInvoicing readiness and transition guidance.
- FBT (Fringe Benefits Tax) Updates:
- Deadlines and procedures for 2025 FBT returns.
- Changes to plug-in hybrid electric vehicle exemptions.
- New FBT thresholds and rates.
- Key Financial Dates:
- Timeline of BAS, PAYG, and other tax obligations.