Single Touch Payroll - applies
to all businesses from 1 July
Single Touch Payroll was introduced in 2018 and is the ATO’s new
reporting process for employee tax and superannuation information. Single
Touch Payroll will be extended to include employers with less than 20
employees from 1 July. The changeover will be gradual, and when you need
to report through Single Touch Payroll will differ depending on how many
employees you have.
Employees will be able to access their annual payment summaries/group
certificates (which are now called 'income statements') through the myGov
website. Employees will need to set up access to myGov to retrieve their
Minimum wage increase by 3%
A wage increase of 3% will apply to employees whose pay rates are derived
from the national minimum wage or a modern award. The minimum wage will
be increased around $21.60 a week, which will take the weekly minimum
wage from $719.20 to $740.80.
Threshold increases for 'large' companies
A proprietary company (i.e. a company that uses a 'Pty' after its
company name) will now be considered a 'large' company by ASIC if it
meets two of the following:
$50 million in consolidated revenue;
$25 million in consolidated gross assets; or
100 employees (including part-time
The new thresholds essentially double the existing limits. The increase
in thresholds is expected to result in around 2,200 proprietary companies
no longer being classified as 'large'. This means that those now small
companies are no longer required to comply with financial reporting and
audit obligations that come with a 'large’ company classification.
QLD State - Land Tax & Payroll Tax Changes
From 30 June 2019, land tax rates for companies and trusts with combined
landholdings of $5 million or more will increase from:
2% to 2.25% for each dollar above $5 million;
2.5% to 2.75% for each dollar above $10
This increase follows the introduction of the new higher rate of land tax
last year of 2.5% for landholdings over $10 million.
The payroll tax exemption threshold has been
raised from $1.1 million to $1.3 million effective in the assessment year
There is set to be an increase to the payroll
tax rate for large businesses (payroll above $6.5 million) - their rate
will now be 4.95%. Medium business (payroll up to $6.5 million) will
remain at 4.75%.
Discounts for regional businesses include a
reduction of 1% for medium and large regional businesses which brings the
payroll tax rate down to 3.75% and 3.95% respectively. Regional
Queensland businesses eligible from this discount must fall into the
following regional catchments: Darling Downs–Maranoa, Central Queensland,
Queensland–Outback, Cairns, Mackay–Isaac–Whitsunday, Townsville and Wide
Significant changes to your
If you are not already aware, some substantial changes to your super
commence from 1 July 2019. Here are some of the changes:
Superannuation funds will not be
unable to charge fees of more than 3% p.a. for account balances below
If your account balance is less than $6,000
or hasn’t been accessed for 16 months, then:
your superannuation account may be deemed
'inactive' and transferred to the ATO. The ATO will attempt to locate the
account owner if a superannuation account is transferred under the new
your insurance coverage (i.e. death, total
and permanent disability) provided through your superannuation fund will
need to be 'opted-in' by you, or you will lose the insurance cover.
Most superannuation funds have sent members letters and emails regarding
their inactive superannuation accounts and the effect of the changes
occurring from 1 July 2019. Those who are concerned about these issues
should contact their superannuation fund to ensure they have, or at least
maintain their level of insurance coverage and reactive their account if
Instant Asset Write-Off
Threshold increase and extension to 30 June 2020
Great news for businesses, the instant asset write-off has been increased
to $30,000 and now includes businesses with an annual turnover between
$10 million and $50 million. If you purchase an asset (new or second
hand) that costs less than $30,000 and it is used or is installed ready
for use from 7:30 pm AEDT on 2 April 2019, you can claim
a deduction for the business portion of that asset.
If you purchased an asset before 2 April 2019 then you
may have missed out on this increased asset write off threshold. However,
you might still be eligible for a lower threshold amount ($20,000, or
$25,000 depending on the date of purchase) that was in place before 2
Retirement Village Changes
The Queensland Government has passed a Bill which clarifies that the
mandatory ‘buy-back’ provisions in aged care also extend to freehold
retirement village units.
The amendments require village operators to purchase freehold units from
residents if the unit has not sold within 18 months of the termination of
the former resident’s right to occupy. This amendment follows
changes introduced to the Retirement Villages Act in
2017, which mandate the compulsory ‘buy back’ of units in leasehold
This is fantastic news for retirement village residents and will provide
them and their families with certainty regarding the sale of their unit
in the future.
to whistleblowing protections
The new whistleblower protection laws kick off from 1 July with some
welcomed enhancements to existing protections under the Corporations
Act 2001 (Cth). If you are a public company or a 'large’
proprietary company, then you will need a company whistleblower policy in
place by no later than 1 January 2020.
Other enhancements to protections include:
a broader scope of certain classes of people
who will be protected under these laws - now extending to family members
of eligible whistleblowers; and
additional whistleblowing events that fall
under the protection of the legislation - allegations of misconduct or an
improper state of affairs or circumstances about any matter covered by
financial sector laws.
Combustible cladding deadline
The Queensland State Government has extended the deadlines for compliance
with Stages 2 and 3a of the Safer Buildings Program. This program
requires certain building owners to take steps to identify potentially
combustible cladding on existing private buildings in Queensland.
Stage 2 (building
professional statement) has been extended until 31 July 2019.
Stage 3a (fire
engineer review) has been extended until 31 October 2019.
If your building is caught by this process, then Stage 2 requires you to
engage a building professional to complete the required statement
regarding the compliance of your building. Stage 3a requires you to
engage a fire engineer and notify the Queensland Building and
Construction Commission (QBCC) that you have done so.
Increase to the age pension
Did you know that the qualifying age for the age pension increases by six
months every two years? From 1 July, the new qualifying age is 66. So, if
you are born between 1 January 1954 and 30 June 1955, you can now claim
the age pension once you turn 66.
Got a question?
If you have a question about any of these changes or need to discuss how
we can help you and your business hit the ground running come 1 July
2019, then please give us a call.