Equity Curves and Tax

[Trembling Hand]

Hi DDA,

It's my understanding that businesses which voluntarily register for GST can pay annually, as long as the annual gross is under $2 million.

Not to be taken as financial advice, speak to an accountant and get a private ruling for anything you are unsure of.

LOL

IF you are profitable beyond a miserable $2000 annually you have to pay TAX quarterly because the ATO does it automatically. As DDA points out you can ably for annual payment if you earn less than $8000. But thats it we are not talking about GST as its close to nothing for a trader. We are talking about income tax from profitable trading.

Clearly a very foreign topic to most here. Very surprising or not?

 

[tech/a]

LOL

IF you are profitable beyond a miserable $2000 annually you have to pay TAX quarterly because the ATO does it automatically. As DDA points out you can ably for annual payment if you earn less than $8000. But thats it we are not talking about GST as its close to nothing for a trader. We are talking about income tax from profitable trading.

Clearly a very foreign topic to most here. Very surprising or not?

Not if your in Company structure.
Your not in a company structure?
That I find surprising

 

[Trembling Hand]

Not if your in Company structure.
Your not in a company structure?
That I find surprising

Not what Tech?

I do trade as a company. I pay quarterly PAYG instalments.

 

[tech/a]

Not what Tech?

I do trade as a company. I pay quarterly PAYG instalments.

From wages (of your own company) yes.
Company Profit no---paid yearly

 

[Synergy]

This is from the ATO site. Would appear companies pay quarterly too.

If you are an individual:

You have to pay PAYG instalments if the ATO notifies you of an instalment rate.

As a general rule, individuals who have shown gross business or investment income of $2,000 or more in their latest income tax return will be notified of an instalment rate, unless:

- the tax payable on their most recent notice of assessment is less than $500
- their notional tax is less than $250, or
- they are entitled to the senior Australian’s tax offset or pension tax offset.

If you are a company:

Generally, companies and superannuation funds will be notified of an instalment rate if:

- their ATO instalment rate is greater than 0%, or
- their notional tax is greater than $250.

However, if the gross business and investment income is greater than $2 million, companies and superannuation funds may only have the instalment rate option available to them.