Due date for contributions: 28 October 2004, 28 January 2005, 28 APril 2005, and 28 July 2005.
From 1 July 2003, contributions are to be made quarterly and employers are to notify employees within 30 days of making a contribution.  Penalties apply at the rate of $3,300 per employee.

Superannuation contributions

Age based limits - deductions
Under 35	$13,934
35 to 49	$38,702
Over 50	$95,980

Self employed deduction formula
Up to $5,000	amount of contribution
Over $5,000	$5,000 plus 75% of excess
Subject to age based limits

Reasonable benefit limits

Lump sum RBL	$619,223
Pension RBL	$1,238,440

Eligible termination payment

Post June 83 component
Age	Taxed element*	Untaxed element*
Under 55	20%	30%

Redundancy or early retirement

Tax free amount = $6,914 + 3,097 years of service
The balance of a redundancy or early retirement payment is taxed as an ETP.

Fringe Benefits Tax

Rate 2004/05	48.5%
Fringe benefits gross-up factor 2004/05	2.129189
Return and payment due**	30 May 2004
Benchmark interest rate 2004/05	7.05%
Instalment threshold	$3,000
Reportable fringe benefits threshold (per employee)	$1,000

*  If employer was entitled to an input tax credit for the benefits provided - otherwise the rate of 1.9417 will apply
**  Instalment payments are due with quarterly Business Activity Statements

Motor vehicle statutory formula

kms per annum	FBT Value %
less than 15,000	26
15,000 to 24,999	20
25,000 to 40,000	11
more than 40,000	7

Goods and Services Tax

Tax rate^	10%
Annual turnover* threshold for registration**	$50,000
Annual turnover* threshold for accrual accounting	$1,000,000
Annual turnover* threshold for monthly payments	$20,000,000
^  Calculated as 1/11th of the GST inclusive value
*  Annual turnover includes taxable and GST free supplies connected with Australia
** ($100,000 for non-profit organisations)

Business Activity Statements (BAS)

BAS's are required to be lodged by taxpayers to report and pay their tax obligations, including:

• GST
• Pay As You Go Withholding
• Pay As You Go Instalments
• FBT instalments

Quarterly activity statements are generally due on the 28th day after end of September, January, March and June.
Monthly activity statements are due on the 21st day after the end of each month.

Withholding Tax

Fully franked dividends	Nil
Unfranked dividends	30% (15%-25% if tax treaty)
Interest	10%
Royalties	30% (10%-25% if tax treaty)
Remittance	via PAYG system
N.B. Lower withholding tax rates apply to dividends and royalties paid to certain residents of USA, UK or Canada.

Capital allowances

Asset acquired	Rate
pre 21/9/1999	accelerated
post 21/9/1999	effective life
less than $1,000	37.5% if pooled*

• Different rates apply to Simplified Tax System taxpayers
• Business establishment and equity raising costs are deductible over 5 years
• Building write-off 2.5% per annum if construction started before 22 August 1984 or after 15 September 1987

* 18.75 for first year in pool

Motor vehicle business deductions

Alternatives available for expense claims for individuals:
(i)  Up to 5,00 kilometres business use

Non-rotary (cc)	Rotary (cc)	Per km rates
0-1600	0-800	51c
1601-2600	801-1300	61c
2601+	1301+	62c

(ii)  Over 5,000 km 1/3 total expenses or 12% of cost of car or per km rate limited to 5,000 kms
(iii)  Regardless of distance log book method
Motor vehicle depreciation cost limit $57,009

Stamp duty

Transfer of Shares for All States
Securities	Duty Payable
Quoted	Nil
Unquoted	60 cents for ever $100 (nil in Victoria, WA and Tasmania)

Transfer of Property - Maximum Stamp Duty Rates
State	Consideration	($) Duty Payable
NSW	Over 1,000,001	$40,490 + 5.5% for every $100 excess
ACT	Over 1,000,001	$49,250 + 6.75% for excess over $1m
VIC*	Over 870,001	5.5%
QLD^	Over 500,001	$15,975 + 3.75% for excess over $500,000
SA	Over 500,001	$24,330 + 5.5% for excess over $500,000
WA	Over 500,001	$24,405 + 6.3% for excess over $500,000
TAS	Over 225,001	$6,550 + 4% for excess over $255,000
* Applies to transfer of real property only
^ For residential property value over $500,000 stamp duty is $11,250 plus 3.75% of the excess

Mortgage Duty - Maximum Stamp Duty Rates
State	Amount Secured ($)	Duty Payable
NSW	Over 16,000	$5 + 0.4% for excess over $16,000
VIC	Abolished from 1 July 2004
QLD	0.4%
SA	Over 6,000	$10 + 0.45% for excess over $6,000
TAS	Over 10,000	$25 + 0.35% for excess over 6,000
WA	0.4%

Payroll Tax

	NSW	VIC	QLD	SA	TAS	WA	NT	ACT
Threshold ('000)	600	550	850	504	1010	750	600	1250
Rate on Excess	6%	5.25%	4.75%	5.5%	6.1%	6%	6.2%	6.85%

Resident individuals tax
Taxable Income ($)	Tax Payable ($)
0-6,000	0
6,001 - 21,600	17% of amount over 6,000
21,601 - 58,000	2.652 + 30% of amount over 21,600
58,001 - 70,000	13,572 + 42% of amount over 58,000
70,001 and over	18,612 + 47% of amount over 70,000
Add 1.5% Medicare Levy (except for low income earners).
Add 1% Medicare levy surcharge for high-income earners without private patient hospital cover

Non-resident individuals
Taxable Income ($)	Tax Payable ($)
0 - 21,6000	29%
21,601 - 58,000	6,264 + 30% of amount over 21,600
58,001 - 70,000	17,184 + 42% of amount over 58,000
70,001 and over	22,224 + 47% of amount over 70,000

Maternity payment - the new improved baby bonus

One off lump sum of $3,000 on the birth of each child (or adoption before 26 weeks of age) occurring after 1 July 2004.  Paid to mother.  No means test.
Increases to $4,000 (1 July 2005) and $5,000 (1 July 2008).

PAYG quarterly instalments

Due dates: 28 October, 28 February, 28 April, 28 July.
Instalments only payable if individual taxpayer has received instalment rate notice from the Commissioner.



Capital Gains Tax

Exemption/Discounts
Discount on capital gains for indiviuals and trusts*	50%
Discount on capital gains for superannuation funds*	33.3%
Net asset threshold for small business exemptions	$5,000,000
Retirement exemption on capital gains	$500,000
Indexation frozen from 30/9/1999	123.4
* Assets must have been held for at least 12 months.  Other limitations apply.  Other small business concessions may also apply.

Company Tax
Tax Rate 30%

Pay As You Go (PAYG) Instalments	1st	2nd	3rd	4th
Due dates for 30 June balance	28/10/04	28/2/05	28/4/05	28/7/05

 

• instalments only payable if taxpayer has received instalment rate notice from the Commissioner
• options available for calculating instalments and number of instalments payable each yar according to Commissioner's guidelines
• due dates are 21 days after each quarter end for companies paying GST monthly
• companies with substituted accounting periodcds pay PAYG instalments on 28th day after each quarter end.

Any balance of tax payable is due on lodgement of the comany tax return.

Simplified dividend imputation

Shareholders rebate	Franked credit attached
Franking account credit/debit	Tax paid basis
Franking account deficit tax (FDT)	Deficit amount
N.B. Inter-corporate dividend rebate has not been available since 1 July 2003

Superannuation funds

Tax rate	15%
Tax rate non-arms length income & private company dividends	47%
Surcharge	13.5%

Where members adjusted taxable income (taxable income plus superannuation contributions) exceeds $121,075.
Surcharge is levied where adjusted taxable income exceeds $99,710 on a sliding scale from 0% until adjusted taxable income exceeds $121,075 when the surcharge is 13.5%.

Important Due Dates

Quarterly IAS & BAS	Super Contributions	BAS
28/07/04	28/07/04	21/07/05
28/10/04	28/10/04	23/08/04
28/02/05	28/02/05	21/09/04
28/04/05	28/04/05	21/10/04
		22/11/04
Payment Summaries		21/12/04
14/07/04		21/01/05
		21/02/05
Super Guarantee Shortfall		21/03/05
14/08/04		21/04/05
		21/05/05
		21/05/05
FBT Return	Superannuation Surcharge
30/05/05	15/09/04
	15/12/04