Terminology

Click on the letters below to quickly find the term you’re searching for:

A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z

A

ABN

Australian business number. This is a business identifier which serves as a GST registration number and is used for other purposes such as the PAYG system.

ACCC

Australian Competition and Consumer Commission. This body had special responsibilities for monitoring GST-related price increases.

ANTS

A New Tax System. This is the government’s name for a package of tax measures, including GST, WET, PAYG system, which generally came into force on 1st July 2000.

ATO

Australian Taxation Office. The GST system is administered by the Commissioner of Taxation through ATO.

Attribution

This is the process of working out what GST and input tax credits belong to each tax credits belong to each tax period. The way that this is done will vary according to whether you have a cash or accruals basis of accounting.

B

Business Activity Statement (BAS)

This is a two-page form which is used as the return for GST and various other taxes, such as wine equalisation tax, luxury car tax, FBT instalments, income tax withholding and instalments, and deferred company tax instalments.

C

CGT

CGT is a tax you pay on any capital gains you make. This must be included on your annual income tax return.

Company Tax

Companies are treated like individuals, and as such, they are required to pay tax on their taxable income, usually at the rate of 30%.

Council rates

Council rates are a form of property tax. Councils use property values as the basis for calculating how much each property owner pays in rates.

F

FBT

FBT is a tax paid by employers for fringe benefits provided to employees. A fringe benefit may be defined as a form of ‘payment’ to an employee, although not in the form of salary or wages.

G

Gambling Supply

Special rules for calculating GST apply if you make gambling supplies. These include supplying ticket in lotteries or raffles, or accepting bets on races, games, sporting events or any other events.

GST

GST is a tax on most goods sold and services provided in Australia. It is set at a rate of 10% and paid by registered businesses, and usually passed onto the consumer in the supply chain.

GST Benefit

The anti-avoidance provisions can only apply if the avoider gets a GST benefit form a scheme. A GST benefit means any reduction in the net tax payable and also includes timing advantage.

GST Disadvantage

Under the anti-avoidance rules, compensating adjustments may be made in favour of “losers” suffering a GST disadvantage from the relevant scheme. A disadvantage is the mirror image of a GST benefit.

GST Exclusive Market Value

This means 10/11ths of the GST inclusive market value.

GST-Free

This means on GST is payable on it. However, any GST that has been paid at earlier stages can be claimed as an input tax credit. The main GST-free supplies are exports, sales of businesses, international travel, health, food, education, child care, certain farm subdivisions and certain activities of charities and religions.

GST Inclusive Market Value

This means the market value without any reduction for GST or luxury car tax.

L

Land tax

Land tax is a state tax that NSW land owners must pay annually – with ownership of the land, and hence a requirement to pay the tax, being recorded/classified as at 31 December (midnight).

P

PAYG

PAYG withholding is an employer’s legal obligation to withhold amounts from payments made to employees for income tax purposes. An employer must register for PAYG withholding.

Payroll Tax

The Payroll Tax is a specific tax which is paid to states and territories by employers, not by employees. The tax is not deducted from the worker’s pay. The Australian Government itself requires only one tax to be withheld from paychecks: the PAYG (or pay-as-you-go) tax, which includes medicare levies.

S

Stamp duty

Stamp duty is a form of tax that is levied on documents. Historically, a physical stamp had to be attached to or impressed upon the document to denote that stamp duty had been paid before the document became legally effective. More modern versions of the tax no longer require a physical stamp.

W

Water rates

The prices we pay for our water supply and it is guided by local councils and water cooperation.

If you like more information or assistance regarding any legal or accounting related matters, complete and submit the Express Enquiry form on the top right hand side of this page and we will contact you to discuss your enquiry or call us on 1300 QUINNS (1300 784 667) or on +61 2 9223 9166 to arrange an appointment.