Private health insurance and Medicare levy

ATO clarifies private health insurance position

Following the Federal Budget, the ATO has now confirmed that a tax rebate / offset can be claimed in the 2011/2012 income year for private health insurance premiums that are prepaid by 30 June 2012. Read more…

End of year tax planning tips

Collins Hume's end of financial year planning tips
With the 2012 Financial Year coming to an end, we look at many of the items you may encounter as part of your financial year-end deliberations

Prepayments - if your turnover is under $2M, consider any prepayments prior to 30 June 2012.

Cash is King! - update your financial records to 30 June 2012 so you can discuss with us the possible variation of your PAYG instalment due by 28 July 2012.

The 2012 Federal government's budget introduced some items to which you may need to give consideration prior to 30 June 2012. These include:  Read more…

Surf the Wave to Success 2012

Collins Hume's International Business Development Conference in 2012
Surf the Wave to Success conference for business owners, to be held in the beautiful Telo Islands off the coast of Western Sumatra in October, promises to be a world-class event!

With personalised tuition from Peter Fowler, one of Australia's premier Business Strategists and nationally recognised Young Business Leader, attendees will undergo workshops to allow them to identify areas of business improvement and provide great strategies that can be implemented immediately to achieve results when they return.

Conference sessions, run in daily workshops at the end of each day, ensure you get in daily surfs whilst still learning proven strategies to improve your business. Attendees will be provided with full conference materials and industry-specific market research and benchmarking reports.

Peter says, "We have fully booked a luxury boutique resort on a privately owned island and have exclusive use of all facilities. The resort's three speed boats deliver attendees to any one of the 40-plus surf breaks in the Telo Islands group with all skill levels catered for."

As well as exclusive use of Resort Latitude Zero for the conference, attendees receive exclusive, complimentary conference merchandise. The five-star service includes three chef-prepared meals every day. For business owners the trip is tax deductible! Click here to find all the information you need to organise your place. For a preview of Resort Latitude Zero and the island, visit

2011 conference attendee Nick Breen-Kurucsev of Public Image Productions said, "Surf the Wave to Success made me realise we constantly need to work on improving our business and not get bogged down on day to day activities. I have heaps of ideas to implement. Everything about this event is awesome… even the surf!"

Don't wait till it's too late!
Places are limited for 7 and 11-day packages and will book up fast. To book or for more information email or phone 02 6686 3000.

Building and Construction

New ATO reporting requirements for building and construction industry
Builders get on the front foot now to meet your new ATO reporting obligations with confidence

Businesses operating primarily in the building and construction industry that make payments to contractors for building and construction services will be required to report these payments to the ATO from the year starting 1 July 2012. Your first 'Taxable Payments Annual Report' is due 21 July 2013 for payments made in the 2012-13 financial year. Read more…

Changes to Trustee Resolutions

New obligations for trustees of discretionary trusts

Until recently the ATO has generally allowed trustees of discretionary trusts until 31 August to document resolutions of income distributions for the year ended 30 June

However following the decision in Colonial First State Investments v FC of T 2011 ATC 20-235, the ATO now take the strict view that trustees must resolve to distribute the current year's income on or before 30 June.

The ATO has advised that it will be running an education campaign to ensure trustees are aware of this requirement.  They have also indicated that they will be actively reviewing compliance with this requirement in future years.

Within the first few weeks of July 2012 the ATO is intending to request a significant number of trustees provide a copy of their resolution of distribution for the year ended 30 June 2012 to confirm that it was made prior to 30 June.

If the resolution is not made by 30 June the trustee may be assessed on all income of the trust and be liable for tax at the top marginal tax rate of 46.5%.

Collins Hume are keen to help you ensure you meet your obligations as a trustee.  If you are a trustee of a discretionary trust and Collins Hume client, we will be in touch with you prior to 30 June.  Meantime we invite you to call us on 02 6686 3000 if you have any questions or would like further advice in this regard.