From the 2017/18 financial year, a lower company tax rate of 27.5% (previously 30%) applies for qualifying Companies.
How do you qualify?
- Turnover of less than $25 million (increased to $50m for the 2018/19 year)
- 80% or less of assessable income is passive income (eg rent, dividend, interest)
Check the rate of income tax that is calculated in the 2017/18 company tax return is correct, before you sign off on it.
If your tax return has already been lodged and the rate applied was incorrect, amend it. Speak to your Tax Agent, or call us!
If the rate was too high and too much tax was paid, you will get a tax refund. Happiness!
Remember that it is your responsibility that the information contained in your tax return is correct, even though it was prepared by your Tax Agent.