Increase to the minimum wage
Australia’s minimum wage increased by 2.4 per cent, raising the National Minimum Wage to $672.70 per week or $17.70 per hour. The increase only applies to employees that receive their pay rates from the National Minimum Wage; a Modern Award or a Registered Agreement (in some cases).
Superstream deadline extension
Initially, small businesses were given until the end of June to become compliant with the ATO’s SuperStream system. This deadline has since been extended to 28 October 2016. SuperStream requires employers to make super contributions for their employees electronically in a standard data set. The extension provides small businesses with another four months to make the changes and ensure they are compliant by 28 October.
No CGT liability for changing business structure
Eligible small businesses can now change the legal structure of their business without incurring a capital gains tax (CGT) liability due to the Tax Laws Amendment (Small Business Restructure Roll-over) Bill 2016. Announced in the 2015 federal budget, the bill was passed by the federal parliament earlier this year. Small business owners will have access to an optional rollover provision when they transfer active business assets to other entities as part of a genuine business restructure of an ongoing business. This rollover provides greater flexibility for small businesses to change the legal structure of their business by allowing them to defer gains or losses that would otherwise be realised when business assets are transferred from one entity to another.
If you have any questions please do not hesitate to contact our office on (03) 9728 1448.