knp Swings into Action

Above: knp Solutions directors, Michael Same and Andrew Freeman, with knp FS financial planner, Ben Hall, at the recent Mt Scopus Memorial College Golf Day.

Below: knp Director, Norman Same, has been elected onto the Hockey Australia Board.

Hockey Australia said the following in its press release:

'Norman has played hockey for over 44 years, playing State League for 14 years. He was a member of the TEM premiership side in 1987. He has held a variety of positions at club level including President, Treasurer and Secretary and he has also previously held positions with his local Athletics club.
With his extensive hockey and business experience, Norman will be able to make a significant contribution to the Board of Hockey Australia'

(photo courtesy of Ernest LI, shot at the 2009 International Masters' Hockey Tournament Australia V England  http://www.fotop.net/ernestli/Actions/IMHT_Day_8_0083?full=1)




knp News

Company Dividend Reform

Company dividends have traditionally been paid out of profits made as required by Section 254T of the Corporations Act 2001 (the Act). Recent amendments to take effect includes passing the 3 tiered ‘solvency test’ for dividends declared. This helps to address the inflexibility of the profits test and bring the Australian law in line with international standards.

knp Newsdesk

Houses V Units - Where's the Growth

The most often quoted phrase in discussions about which residential property type performs best is “land appreciates in value while buildings depreciate”.  This conventional wisdom is deserving of some weight, but a more fundamental consideration in understanding why the value of any particular item or asset increases in value is simply demand and supply. 

ATO issues Warning: Default Assessments for Non-Lodgers

knp has received the following notification from the ATO:

'On 2 December 2010, we are sending default assessment warning letters to clients of some tax agents, asking them to lodge their overdue income tax returns by 13 January 2011.
We have previously sent reminders about these overdue returns and we have evidence that these clients earned taxable income in the relevant financial years.
If the overdue returns are not lodged by 13 January 2011, these clients can expect default assessments to issue based on the taxable income stated in the letter.' source: http://ato.gov.au/taxprofessionals/content.asp?doc=/content/00263417.htm

Trust Entitlements & Loans: Tax Office Issues Guidance

The Tax Office has released its keenly awaited guidance on the tax treatment of trust entitlements and loans. The guidance, known as a practice statement, explains how the Tax Office will apply its ruling on when a private company with an unpaid present entitlement makes a loan to the trust estate which generated the entitlement. The Commissioner of Taxation said he was aware of the importance of this issue to businesses, particularly small businesses, which use a trust structure.

Tax Office Highlights Common PAYG Errors

The Tax Office has been calling selected business operators in the $2 million to $100 million annual turnover range to discuss instances where the pay-as-you-go (PAYG) instalment amount received for the quarter under review is significantly different to the PAYG instalment amount received in a previous quarter. 


Further Articles of Interest

:: Increasing Adjustments in BAS as Debts Remain Unpaid
:: Subsidy Paid for Loss-Making Contracts Assessable as Income
:: Declaration of Trust over Land Sold, No Personal Tax Liability
:: Employing your Spouse? Ensure there is an "Employment Relationship"
:: Self-Education Expenses for Youth Allowance Recipient Deductible
:: SMSFs & Private Companies Investing in Trusts: Tax Office Warning


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knp Classifieds

knp's business is to develop your business

For over 30 years knp has lived by its motto of building wealth and lifestyle together by successfully connecting clients with clients, and clients with associates and affiliates as a means of creating opportunities and stimulating client's business ventures.

By fostering relationships built on trust with its clients, knp has been able to assist many clients who were either seeking the material or the services that other clients could provide - thereby connecting people and businesses with a mutually beneficial result.

We are now taking it a step further by providing a forum, in our Classifieds page, that can be used by our clients and associates to facilitate new business.

If you wish to make use of our business Classifieds, whether it is to place an ad or to respond to one, please contact our office on (03) 9824 8111 or email sdunn@knp.com.au.