Year end is just around the corner and it’s the time of the year again when private individuals and business owners need to compute their tax due with the assistance of a Melbourne accountant.
As you may have already know, the services of a Melbourne accountant is not only limited to the planning and preparation of taxes, as they are also experts in providing sound business advice. If you are planning to sit down with your Melbourne accountant anytime soon, it is best that you know some valuable tax tips that you can discuss and explore with him/her:
Currently, all businesses can immediately write off new assets that are acquired at $ 1,000 or less. In addition, any asset that is well above this value should be depreciated over time. However, for year 2012 and 2013, this limit was changed to $ 6, 500. Take time to discuss this detail with your Melbourne accountant and determine how you can possibly maximise these deductions.
Small businesses are also allowed to immediately deduct the first $ 5,000 of used or new motor vehicle or van, which is purchased from 1 July 2012.
Tax planning is one of the important functions of a Melbourne accountant. He/she can help you make strategic decisions in order to minimise your tax liabilities. For instance, if you are contemplating o purchasing a specific item which costs more than $ 1,000 but is less than $ 6,500, you can completely write them off starting 2013, rather than asking your Melbourne accountant to depreciate it over several years.