‘With the end of the financial year just around the corner there are some great opportunities for switched-on tradies to make the most of tax deductions. Small businesses benefit from a change in the 2019 Federal budget allowing the instant write-off of company-related purchases up to $30,000. Want to know more? Read on and see what tips our industry experts offer.
Topics like insurance, finance, taxation, leasing of equipment, brokers, and audits are usually met by tradies with rising anxiety levels. But, let’s be honest, with a glovebox full of receipts and bookwork that’s not exactly up to date, it can be hard enough just to run the jobs and keep projects on time. That’s without even thinking about all the back-end work, especially when you’ve finally decided to step out on your own. But times have changed. There’s a great bunch of businesses offering a vast range of services and advice to help not just reduce the feeling of panic that can set in when the ATO calls, but to remove it altogether. We’ve gathered a few of the best to show you, and if just the mention of the ATO, leasing, and finance has you breaking into a sweat, this could be the best info you read this year.
Calm your nerves and take advantage of what the next handful of pages have to offer…
Spitwater Depreciation With Benefits
We all want the best equipment for our business and at the same time to maximize our taxation benefits. Accelerated depreciation was introduced by the government a couple of years ago to boost investment by small business, to make small business more efficient and enhance business growth.
“An industrial pressure cleaner, vacuum cleaner, scrubber/dryer or an industrial heater are a perfect asset to maximise the benefit from accelerated depreciation if your business qualifies,” explains Milo Gajin, Branch Manager of Spitwater NSW.
“These types of machines are used in income generation by many small businesses and are well and truly under the $30,000 threshold,” Milo Gajin continued.
Accelerated depreciation allows small businesses with turnover up to $10 million to write-off 100% of any business asset purchased worth up to $30,000 in the same financial year (conditions apply). This incentive is definitely finishing on the 30th June, 2019.
“For example, if your business is a transport company which qualifies, a Spitwater hot/cold pressure cleaner is a great asset to purchase,’ Milo Gajin added, ‘It will enable you to have your fleet spotless, comply with random road-vehicle inspections and reduce your taxation liability, a perfect benefit all-round!”
To add even greater incentive to its customers, Spitwater is having an end-of-financial-year sale offering ‘Spitwater Dollars’ with every machine purchased. Spitwater Dollars can be redeemed for machine accessories and other Spitwater products.
“Contact you nearest Spitwater branch or a dealer near you for all the details!”
For more information visit www.spitwater.com.au
Are You Wasting Time Running Your Business Vehicles?
When you’re running a small business, every dollar counts and every minute matters. But you’re probably wasting a few hours a week on unnecessary admin you don’t need to do – things bigger businesses already know is much simpler (and more cost-effective) to outsource.
“We’ve come up with an online platform that puts small-business owners in the driver’s seat. You’re in control; you can choose from any make or model, add any extras, see exactly how much you’d pay each month and roll in as many operating costs as you like,” said Mark Muller, Sales Manager of ORIX Australia’s new fleet solution for small and medium businesses, ‘VOOM’.
“Instead of rolling all your running costs into one lease payment, we’ll give you a VOOM card that can be used for fuel, maintenance, emergency tyre repair, and even parking,” Muller said. “Then you still get one itemised statement each month, you’re in control of how the card is used, and you can use that data to make smarter decisions about your ongoing expenses.”
And with no more receipts or expense reports at BAS time, that means one less painful job on your to-do list as a business owner. Plus, a lot more certainty about the total operating cost of the vehicles that keep your business moving – whether it’s one car, five or more.
To take VOOM for a test drive today, visit www.voom.com.au
Mahindra Limited-Edition Black Mhawk Pikup And Tradie Packs
Mahindra has released its limited-edition black mHawk PikUp.
Aussies can expect the same grit and power Mahindra is known for, featuring a 2.2-litre turbo-diesel engine and 6-speed manual transmission. However, the limited-edition PikUp is also perfect for those special occasions, sporting an all-new classy exterior with 17-inch black rims, black alloy sports bar and black side steps. If that’s not enough to excite, throw in a custom black decal set and black flares and factory black bullbar for good measure.
Whether it’s a night out in town or working hard on the job, the Black mHawk PikUp will seriously impress, and Mahindra backs it with five years limited warranty and roadside assist. Other features include, but are not limited to, sat nav, reverse camera and ISO fix, designed for ultimate comfort. Pricing starts from just $38,990. See your local Mahindra dealer for more details while stocks last.
In addition to the release of the Black mHawk Pikup, Mahindra is also offering a great deal for all tradies. For a limited time only, customers can drive away in a 4×2 single cab S6 turbo-diesel ute from just $23,990, inclusive of general-purpose aluminium tray, Bluetooth, cruise control, a free ladder rack and tow bar. Tradies can also opt for a 4×4 single-cab S6 turbo-diesel at only $26,990 that includes a free GPA tray (worth over $2000 in retail value).
All Mahindra PikUp vehicles have Eaton differential locking as standard. Whatever the trade, customers can expect the Mahindra PikUp to handle any task, with a braked towing capacity of up to 2.5 tonnes, while maintaining a payload of 1 tonne, with excellent fuel economy.
For more information visit www.mahindra.com.au or www.facebook.com/mahindraaus
Why You Should Give A Damn About Tax Audit Insurance
Small businesses are in the sights of the ATO, and the chances of an audit occurring are a reality. Your business might be a one-man band or a tribe of 10, but no matter how big or small, your tradie business can still be audited. It’s a process which can be time-consuming, stressful and expensive, potentially costing thousands of dollars.
But fear not, there’s affordable insurance for that!
Tax Audit insurance is designed to protect your hip pocket if you are audited. It doesn’t matter how squeaky clean your books are or tidy your receipts may be, it’s hiring a professional to assist with providing the required documents to satisfy the ATO when the real costs kick in.
This is when your policy comes into play, covering the cost of the associated professional fees and other expenses incurred during the audit. How long does the audit take? How long is a piece of string?
A n d t h o s e h o u r l y accountants’ fees can quickly add up. Without Tax Audit insurance, you could be forking out your hard-earned business, or even personal, savings to foot the bill.
While you can’t stop or predict an audit from the taxman, investing in the right Tax Audit insurance can minimise your audit costs and stress levels. $10,000 cover starts at $163, a small price to pay for peace of mind.
For more information visit http://BizCover.com.auto compare, insure and save on your tradie insurance.
Finlease 5 Quick Facts You Need To Know About Vehicle And Equipment Finance
Mark O’Donoghue, CEO and founder of Finlease offers some advice:
1) Automatic finance approvals up to $150,000 and up to $500,000 on replacements is a game changer.
Many financiers have switched to ‘behavioural’ credit assessment instead of looking at historic financial information to approve transactions. If a company has been in existence for two years, has a clean credit history and the principal is a property owner, approvals are automatic for up to $150,000 on additional vehicles and selected plant, and up to $500,000 where it is a replacement requirement. The interest rates are just as good as for normal ‘fully assessed’ transactions.
2) Be aware of the $30,000 instant write-off opportunities.
All companies with the turnover of less than $50 million p/a can claim a 100% write-off for new vehicles and equipment with a purchase price of $30,000 or less (excluding GST) where that equipment was acquired from April 2, 2019, until 30 June, 2020.
Remember these write-of fs are claimable on individual assets (not simply the total invoice value where there are mul tiple assets being purchased), so if you are buying four items at $28,000 each, all four items apply to this 100% write off opportunity.
3) Used equipment is as easy to finance as new equipment.
Quality used vehicles and equipment (which is often substantially cheaper than new gear) can have finance arranged just as easily as new equipment and so presents as an excellent alternative to new equipment.
4) Spreading your equipment debt across several financiers provides many bonuses.
A broad spread of banks looking to do business with you drives greater competition between financiers, lower interest rates, often better approval conditions and a broader base of competitive lenders to assist in financing future growth.
5) Using a broker makes the entire process easy.
All of the above and more can be done for you through a capable equipment finance broker. If they do their job well, they should be guiding and looking after you for the next 20 years. Not only should they be getting you the best outcome, but they should also always be available on mobile, including weekends and after hours, and meet you onsite where and when you need them.
It’s no wonder over 60% of business owners use brokers for the majority of their vehicle and equipment financing needs, and this percentage is increasing every year.
For more information visit www.finlease.com.au
The Kincrome Tools For Life Apprenticeship Program has been specifically designed for the trade apprentice starting out, or an apprentice wanting to upgrade their tool kit before finishing their course.
The program aims to provide apprentices with professional, high-quality, competitively priced, comprehensive kits ensuring the apprentice has the tools needed to start their apprenticeship and provide a tool platform that they can build on throughout their apprenticeship and their continued career.
With over 20 kit options to choose from, including the competitive Evolution Series, the premium Contour Series and the new Contour Black Series, there are many kit options to select from, ranging from tool chests and workshops to large trolley models.
To support the apprentices even further each Tools For Life Apprentice tool kit has exclusive apprentice-only bonus offers providing apprentices with huge tool bonuses via online redemption.
To make purchasing your new Kincrome apprentice tool kit even easier, Kincrome now offers a Tool Payment program allowing apprentices to pay off their new tool kit in easy weekly instalments. You can ‘buy now, pay later’!
For more information visit http://Kincrome.com.au for further details. Alternatively, Apprentices may also be eligible for government-provided trade-support loans. Contact http://www.australianapprenticeships.gov. au/trade-support-loans