Ever tried to do some research on the ato.gov.au website about Capital Gains Tax?
It's complicated and sends you around in circles!
This video helps to explain what capital gains tax is (selling an asset such as shares or property) and how to calculate (selling price less purchase price) and how to pay tax on it.
Selling Price = Proceeds
Purchase Price = Cost Base
MAIN RESIDENCE EXEMPTION - selling your own home
The next video in the series explains more about the Main residence exemption: see that here. The main residence exemption applies to a house that has ONLY been your place of residence, when you have no other houses. Partial exemptions can apply in certain circumstances, including when you have 2 properties, or if you earn an income from it.
The main residence exemption will also apply for a period of 6 years after you move out. If you want to move from one main residence to the next, you can have a 6 month overlap where both properties...
Do you have trouble with cashflow in your business?
Is it seasonal income, or lumpy income that you are dealt with month after month, quarter after quarter?
When the money doesn't come in - you stress out. When the money does come in you try and figure out who needs it the most (and you as the business owner are usually at the bottom of the list!)
Profit First is a solution to help you smooth out the lumpiness and make better decisions about your money.
By allocating all of your income each week to a different bank account set up for a different purpose (eg having a tax account, and a wages account, money for bills and money for paying the owner), it gives you clarity over how much money you can afford to pay out for each. If you allocate 50% of your income each week to operating expenses, you may not have enough money to pay towards paying taxes.
This is not a very common way of making decisions about your business. But it certainly does make a lot...
If you work as a bookkeeper or are a part of the business and doing the bookkeeping in a small business it can feel really lonely. If you don't have anyone to help you and guide you, check your work, or give you a place to look for an answer, then it can be all-consuming. Or - even worse, a place to avoid.
Avoiding your bookkeeping because you are not sure what you are doing is a coping strategy. But going and finding the right person to support you can be another.
BizSkills in Your Pocket is designed to be your support person - to help you with your research (handy links and templates) plus videos that you can watch and follow along with, that can help you with your data entry. At Northwest Accountancy we can be your expert on call, to help you and guide you through whenever you are doing your bookkeeping. As all training is presented virtually - you don't need to be where our office is to take advantage of this service.
Each video/ session is no more...