Suite 2, 227- 229 The Entrance
Road, The Entrance
NSW, Australia 2261
P. (02) 4332 2799 F. (02) 4332 1033
Find us on the map
 |
What's Happening at DSR in November? In this issue:  Are you entitled to a GST refund? Buying a business ... more than just a sale price Property & tax implications The ups and downs of Christmas marketing Claiming unpaid wages from previous employers Fair Work Information Statement Going forward with Banklink 2012 land tax thresholds Recommendations Important Dates About DSR |
|
Welcome Note |
 |
 |
Are you entitled to a GST refund? If your customers prepay you for your services and are not entitled to a refund if they ultimately don’t take up the service, then a new court case opens the way for a potential GST benefit. A large number of businesses, particularly those in the services sector, receive prepayments from customers for future services - in some cases these are deposits and in others, part or full payment for the anticipated service. Often the contract terms provide that there is no refund of the prepayment if, ultimately, the customer does not take up the service. If the customer does not ultimately take up the service, what is the GST position on the prepayment? Read on... |
| Buying a business ... more than just a sale price If you thought reaching an agreement on price was difficult, wait until you get to the fine details of buying or selling a business.
So you’ve reached an agreement on price. But, there are differences between the parties on how the sale price should be apportioned across different assets.
A solution that’s sometimes proposed is to simply show the sale price on the contract and let both sides manage their own apportionment but this depends on what assets you are buying. Try and avoid this trap. Read on...
|
 |
|
 |
Property and potential tax implications |
| The ups and downs of Christmas marketing The Christmas decorations started going up in shops just after Father’s Day in September. If it gets any earlier we’ll be experiencing Christmas in July.
As many client focused businesses know, Christmas has a psychology of its own. Christmas, and the embedded message of gift giving (code for ‘spending’), is stretching well beyond the traditional Christmas months.
For retailers, the earlier they can get consumers into the Christmas spirit the more likely it is that they will ‘spend up’ in preparation – both in gifts and fixing up the home ready for entertaining. Sales and packaging also help impulse buying because “it was on sale.”
As a consumer, with all of the Christmas lights, decorations and advertising around the shops it’s hard not to think about Christmas.
While we won’t deny the retailers any opportunity they can get, what happens to all the other businesses?
For many, Christmas is a slow-down period. The longer the Christmas period stretches, the more sluggish sales become in the last quarter of the calendar year. Customers influenced by the Christmas spirit delay decisions or put of purchases “until the New Year.”
If you’re in this market take a close look at what you can do to pull sales forward before the New Year and the poor cash flow months of February and March. This might be a special offer or packaging, or payment plans to lock things in. Even if the sales don’t eventuate this year, some clever and targeted marketing will give you a good base to start off in the New Year.
|
 |
 |
Claiming unpaid wages from previous employers Following an audit or investigation on a business by the Fair Work Ombudsman, there may be outstanding wages or entitlements that are due to employees including past employees. If your former employer has been unable to contact you, they have to pay this money to the Commonwealth in trust. To find out whether you have unpaid wages or entitlements from a former employer you can search the Fair Work Ombudsman database. To find out more visit the Fair Work Ombudsman website |
| Fair work statement & new employees Did you know all employers covered by the national workplace relations system have an obligation to give each new employee a Fair Work Information Statement before, or as soon as possible after, the employee starts employment. To get your copy click here |
 |
 |
BankLink - Make the Change |
| 2012 Land Tax Threshold For the 2012 land tax year, the land tax threshold has been determined to be $396,000. The premium land tax threshold for the 2012 land tax year is $2,421,000. |
|
Recommendations |
|
 |
Important Dates 21 November - Instalment Activity Statement - 1-31 October 2011 |
|
About Davis Stewart Rowland Davis Stewart Rowland is a three partner firm located at The Entrance on the NSW Central Coast. With over 50 years experience we have an in-depth knowledge of what the business owner and investor needs to embark and stay on the path of growth and wealth creation. We have a unique appreciation of the issues business owners and investors face, which makes us an integral part of our client's advisory team. Our comprehensive approach includes:
Whatever your needs we can help find a solution. |
 |
