APL Accounting News September 2014
Instant asset write off and super guarantee rule changes
With the repeal of the mining tax, unfortunately now we are back to the old rules for small business depreciation. The amendments reverse the changes made by the previous government that enabled small businesses to deduct assets costing less than $6,500 from 1 July 2012. From 1 January 2014 (Yes, this is going 9 months backwards) small businesses will only be able to claim an immediate deduction for assets costing less than $1,000.
The $5,000 immediate deduction for motor vehicles aquired by small businesses has also been removed from 1 January 2014.
These rule will reduce the amount Veterinary Practices can write off as an immediate deduction when buying items such as equipment. This is an unfortunate loss of a tax break.
The government has announced that the super guarantee rate will remain at the current rate of 9.5% until the 1 July 2021 when it will increase by 0.5% until it reaches 12% from 1 July 2025.
APL Client Day in Sydney a Huge Success
We held our first APL client day in Sydney on the 28th of August, and what a huge success. The feedback has been great:
Friday was a very very valuable day for me – lots of practical ideas. I was able to my pin business partner down on the weekend (he was thrilled!) going through everything and we made some changes as of Sept 1 – bit scary but also exciting! Staff are all quite ok with our changes so far. Now just have to see if our surgeries drop off due to increased prices. Huddle #1 also happened on Monday, hopefully they carried it on today without me…
Yes, everyone went home with a FULL YEAR’s worth of strategic planning. And everyone really liked our ‘from the horses mouth’ interviews, where we did question and answer sessions with best performers in dentistry, wage control, efficiency, GOGS, cytology and repeat visits.
Thank you so much to those who attended and to those who were generous enough to contribute their ideas. Our mission is to increase the profitability of the Veterinary profession and you guys are now playing a key role in this.
The next Client day is on the 1st November on the Gold Coast. This promises to be just as successful with double the number of people attending. For those of you who have not booked yet, there is still time to change your mind, we guarantee that you will not be dissapointed!!
APL Accountants at AVBA conference
We will be at the AVBA conference from the 11th to the 13th September in Melbourne. The AVBA has once again kindly invited us to do a 1 day workshop to help veterinary business owners understand their financials and measure their practice performance – as you know we love doing this stuff and already do all this for you.
If you are there, please come over to say hello, we love seeing you. We will have an APL Accountants and Bee Free Software shared stand at the exhibition, so you are likely to find us there during the breaks.
Bottom of the pack – check your venue
Zack is a dog who is a couch potato and has an unusual life experience. His owners who were once exciting vets have now become boring accountants. They used to bring him into the exciting vet practice every day, now they bring him into a boring accounting office every day. This gives him a unique dog’s eye view on both professions.
Make sure you get the Venue right for the APL client days. Unfortunately I was unable to attend, not because the APL client base would have minded my presence, as I’m sure that all of you would appreciate my presence and input. But rather because it was in Sydney, and neither Virgin airlines nor the Pullman Hotel were prepared to pander to my canine needs.
However, there was a benefit in staying at the APL headoffice. We had an unusual visitor! Yes, on the day of the APL client day, my friend Kevin the Koala came to visit us at the office. He sat on the tree 2 meters away from the office door for about an hour and gave some serious thought about getting his tax done! After all, if a Koala is to get their tax done, where better than at a Veterinary Accountant – we have no local competition in this area!
After an hour, he obviously changed his mind, giving some thought to the fact that his business is on a cash only basis and that the tax office would find it rather difficult to track him down he decided that he would rather not lodge a tax return. With this, he climbed down the tree and ran off down the road. But luckily we managed to take a photo, which will now appear on the ATO’s ‘most wanted’ list:
Please Note: Many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances.