Compliance: What’s changing on 1 July?

•  Company tax rate reduces to 26% for base rate entities
• $150k instant asset write-off scheduled to reduce back to $1,000 for small business entities and will no longer be available for entities with aggregated annual turnover of $10m or more, although accelerated depreciation rules apply to certain entities until 30 June 2021
• Cents per km rate for work-related car expenses increase to 72 cents
• Expected reforms to allow 66 and 67 years olds to make voluntary superannuation contributions without satisfying the work test. This reform is not yet law.
• Age limit for making superannuation contributions to your spouse increases from 69-74. This reform is not yet law.
• For those 67 and under, reforms will enable you to use the ‘bring forward rule’ to make up to three years of non-concessional contributions. That is, you can make non-concessional contributions of up to $300,000 from the 2020-21 financial year.

For more information on the Government stimulus packages, review the articles below:

• 11 Key steps you need to take now for your business
• The JobKeeper Payment: What you need to know
• The Stimulus Package: What you need to know