FAQ

A financial planner suggests client through a financial plan

  • How clients can grow their wealth through investments
  • Protect their wealth
  • Tax planning
  • Change the financial plan as needs change through various stages of life

How we help our clients invest
Our clients have access to platforms through which they may buy shares directly or through various types of managed funds.

Depending on client situation we suggest to our clients have alone or in combination the following types of personal insurances:

  • Income protection
  • Life Insurance
  • TPD insurance
  • Trauma insurance
  • Business expenses insurance including Keyman insurance

Besides these we have referral agreements for general insurances like Landlord insurance, Home & Contents insurance, Car/ vehicle insurance, PI and Public liability insurances.

If you believe this is incorrect, you should contact your bank to verify the income details for your accounts. The bank should notify the ATO in writing if this information is not correct.

You have 28 days to correct this information. However, if you have omitted the taxable income, you will not need to contact the ATO. They will amend your return and send you a new assessment requesting payment of the additional tax, a general interest charge and, in some cases, penalties. If you require assistance with your communication with the ATO, FinKonsel can help.

A Living Away From Home allowance is paid by employers when they require an employee to work in an area that is different to their normal workplace and the employer pays the costs to the employee for living away from home.

For example, I work and live in Melbourne and after a few months the company requires me to go to Regional NSW for a few months to do some work there. They pay me an allowance for the costs of living in regional NSW because they have requested me to work there for a time.

This is not taxable income, so I do not need to declare it in a tax return. It is an allowance paid by an employer to an employee and is not subject to tax by the employee, provided it is paid in accordance with the tax office guidelines. No expenses can be claimed against this allowance.

From 1 October 2012, the LAFHA continued to be taxed to the employer under the Fringe Benefits Tax system. However, the employer is able to reduce the Fringe Benefits Tax payable on the amount paid to the employee, for a maximum period of 12 months, provided the employee meets the following conditions:

  • maintains a home in Australia for their own personal use and enjoyment at all times whilst required to live away from home for their work; and
  • provides a declaration relating to living away from home.

If these rules are satisfied, the employer is able to reduce the taxable value of the LAFHA by:

  • The amount of the employee’s actual substantiated accommodation expenditure while living away from home; and
  • The amounts incurred by the employee for food or drink costs while living away from home, less a statutory amount if applicable.

A friend told me about an investment that he was interested in and suggested that I put some money into it as well. He says we could make a large amount of money but I think it sounds too good to be true.

You are wise to be cautious. Not all schemes are genuine and often promise large tax deductions that they say will be allowed by the tax office. It is wise to check out any investment scheme before putting your money into them.
If you invest in a risky tax scheme, you could lose some or all of your money, and you may have to pay back any refunds due to over-claimed deductions as well as interest and penalties.

Before investing in any tax scheme it is advisable to seek independent advice from a professional advisor and/or the tax office. Information and warnings about investment schemes and scams can be found on the Australian Securities and Investment Commission and the Australian Competition and Consumer Commission SCAMwatch website.

All income must be declared by each recipient on the same basis as the accounts are held. Interest from a joint account must be split 50/50. You cannot declare it all on your wife’s tax return and doing so could lead to an ATO audit.

All income must be declared. This is because the tax office needs to determine what tax rate applies to your other earnings for the year. You may be entitled to an offset to ensure that no tax is payable on your benefit.

The income will be taxable unless you have worked overseas continuously for more than 90 days and are working on a specific Australian government project or deployed overseas as a member of an Australian government agency. In these cases the income will be tax exempt.

If your overseas income is not exempt, you will need to declare the income on your Australian tax return and may be entitled to a foreign income tax offset for any foreign tax you paid on that income.

You cannot just claim $300. You must actually incur any expense before it is claimable. Whilst you may not need receipts for expenditure up to $300 you must have spent the money and it must be relevant to your employment.

In March 2012 legislation was passed and Tax Laws Amendment (2012 Measures No. 1) Bill 2012 now denies any deduction for study expenses for full-time students who are in receipt of Youth Allowance, Austudy or Abstudy. Disallowing a deduction for expenses incurred in gaining or producing a rebatable benefit recognises that taxable government assistance payments are effectively tax-free and individuals should not be able to receive an additional benefit by way of a tax deduction against their assessable income for any expenses they incur in qualifying for the payment.

The costs associated with seminars are tax deductible provided that they relate to your current income producing activities.