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Past Editions of the Bookkeepers Knowledge Base

Edition 88 - Uber

With ride-sourcing having exploded in popularity in recent years, this edition examines the tax implications of this new form of transport – from a Driver and Rider perspective. The GST and ABN issues at play necessitate an understanding of this new economy by bookkeepers.

Edition 87 - GST and Digital Products and Services
With the purchase of digital products such as the streaming or downloading of movies, apps, and e-books etc. becoming exponentially more popular, this edition examines the newly-introduced application of GST to digital products and services imported by Australian consumers. Although the new law is aimed at Australian consumers and foreign businesses, Australian business taxpayers will also be impacted including needing to take certain action to avoid paying GST on acquisitions made for business purposes. 

Edition 86 - Single Touch Payroll Overview
This edition of Bookkeepers Knowledge Base provides an overview of Single Touch Payroll which is now law! Single Touch Payroll will change the payroll reporting function forever, and is just months away from commencing. We look at the details of this new regime, and how it impacts bookkeepers.

Edition 85 - Writing-Off Bad Debts
To give a true picture of a client's financial position, debtors need to be monitored and accounted for. As a bookkeeper it's essential to have a working understanding of this area as you will likely be tasked with physically writing-off bad debts, as well as attending to the GST consequences.

Edition 84 - GST Going Concerns
From time-to-time clients may sell their business. A popular option to eliminate GST on the sale is to sell the business as a GST-free Going Concern. This edition examines in detail the Going Concern exemption from GST. What conditions must be met? How should it be accounted for?

Edition 83 - Childcare Providers
This edition focuses on Childcare Providers. Given the rapid recent growth in this sector, there is an increasing chance that as a bookkeeper you will at some point take on a client who is a Childcare Provider. As childcare arrangements, fees, funding and fundraising etc. can differ markedly between providers, the purpose of this publication is to provide coverage of the mainstream issues in this industry that will impact your work.

Edition 82 - Luxury Car Tax
This edition completes our coverage of all the taxes on the BAS by examining Luxury Car Tax. With the LCT rate set at a relatively modest level, most bookkeepers will at some point be called upon to account for this tax whether acting for the buyer or the seller.

Edition 81 - Bookkeepers and the Disaster Recovery Process
In this special edition we provide you and your clients with a special Disaster Recovery Kit to help businesses get back on their feet in the event that they are struck. Feel free to distribute this to clients who may be impacted in the future.

Edition 80 - GST and Non-profit Organisations
This edition focuses on the special GST concessions for Non-Profit Organisations (NPOs). Many bookkeepers have at least one (NPO) as a client - particularly clubs, societies and associations. As such, it's important to be across the GST concessions available.

Edition 79 - The Sharing Economy
This edition tackles the income tax and GST consequences of various sharing economy services including ride-sourcing. It’s important as a bookkeeper to have a working knowledge of this topic as supplies will have GST and record-keeping consequences.  

Edition 78 - Small Business Instant Asset Write-off
In this edition we examine the recently expanded instant asset write-off for small business. Find out which of your clients are eligible, and how to deal with this new measure from both an accounting and Activity Statement/GST perspective.

Edition 77 - Accounting for Partnerships
This edition rounds out our coverage of business structures, by examining the relevant tax and accounting issues surrounding Partnerships. At some point throughout your bookkeeping career you will be required to account for a Partnership. This edition of Bookkeepers Knowledge Base will show you how!

Edition 76 (Special Edition) - Bookkeeping Contractor Kit
Contracting carries with it a raft of issues from GST to income tax to superannuation to insurance.To be adequately across the issues that affect you as a contract bookkeeper, can make a profound difference to your overall financial position.The purpose of this Guide is to provide bookkeeping with a general awareness of the various issues affecting you as a contract bookkeeper, and enough of an insight so that you can identify the issues where you need to seek further advice.

Edition 75 - Credit Card Reward Schemes
It’s almost become an Australian sport to pay for expenses via credit card. Rewards Program Credit Cards are particularly popular, allowing you to earn points, rewards and other benefits when you use the card to make a purchase. On the downside, however, there is sometimes a surcharge imposed by the store at which you’re using the card. This leads to the interesting question of to what extent does the surcharge applied erode the benefit of the reward points earned from the purchase? Whether your clients are using their credit cards to meet their expenses or whether you are using your own card for your expenses, the answer to this question is important, particularly given the popularity of this payment method. From a bookkeeping standpoint, the GST treatment of the surcharge fee also needs to be dealt with.

Edition 74 - Payroll Tax
Payroll tax impacts many employers. Unless they are specifically exempt, employers are liable for payroll tax on their Australia-wide gross taxable wages. In many respects payroll tax services are somewhat outside the traditional bookkeeping service menu. However, with bookkeepers having ready access to and knowledge of client wages paid, payroll tax services are a natural fit for bookkeepers especially those who already handle client payroll. With the payroll tax laws now largely standardised across Australia, this Bookkeepers Knowledge Base aims to equip bookkeepers with the information needed to competently provide payroll tax services to clients, irrespective of the jurisdiction in which they are located.

Edition 73 - Gifts
It's quite common, especially at Christmas time, for employers to give small gifts to their employees as well as third parties such as clients, suppliers, customers, contractors etc. This BKB clarifies the rules in this area. Without an understanding of this topic, bookkeepers may incorrectly account for GST on these gifts, and also may make incorrect journal entries which can impact the way in which the accountant deals with FBT and income tax at year-end. 

Edition 72 - Taxable Payments Reporting
This edition is devoted to the new BAS service of Taxable Payments Reporting. Under this regime, do your clients need to report payments they make? If so, which payments? What’s the easiest way to compile and generate the report? This edition answers all key these questions and more!

Edition 71 - Superannuation Guarantee Charge
BAS Agents are now permitted to undertake Superannuation Guarantee Charge services, this Bookkeepers Knowledge Base examines everything from the journal entries required, to your Tax Office lodgement obligations, through to calculating how much your client has to pay... we’ve got it all covered.

Edition 70 - Terminating Client Relationships
Although clients are the lifeblood of your business, as a professional bookkeeper you will one day face the unenviable task of terminating a client relationship. This BKB addresses the many and various issues that may arise when doing so. A working knowledge of this topic is essential in respect of both complying with your obligations under the Code of Professional Conduct for BAS Agents, as well as limiting your liability in the event that a former client makes a claim against you in the future.

Edition 69 - GST Reporting Periods and Changing Periods
In this edition we examine GST tax periods. Knowledge of this topic is essential for bookkeepers dealing with the reporting of GST on the BAS. Without an understanding of the various rules, amounts could be reported in the wrong tax periods. Knowledge of the rules and the concessions available can also assist you to streamline your client’s affairs and even provide cashflow benefits to their business.

Edition 68 - Recipient Created Tax Invoices
This edition examines Recipient Created Tax Invoices (RCTI). Given that GST is the “bread and butter” of bookkeepers, a working knowledge of this area is essential as you are bound at some point to deal with this special form of invoice. As a supplier, how do you deal with an RCTI when you receive one? As a recipient, when and how can you issue an RCTI?

Edition 67 - Allowances
In this edition we examine the treatment of allowances. Whether it be misclassifying an amount as an allowance (when it’s actually a reimbursement) or applying the incorrect Payment Summary treatment, PAYG withholding, superannuation or payroll tax treatment, mistakes in this area are easy to make. This BKB addresses all of these issues for the many of you who handle payroll.

Edition 66 - Superannuation - BAS, Payroll and Accounting Treatment
With many bookkeepers now handling payroll, this edition is your one-stop-shop for all things superannuation. Whether it’s the BAS, payroll or accounting treatment of super, this edition has got it all!

Edition 65 - Accounting For Vouchers
As well as selling their products and services outright, many of your business clients will use vouchers as part of their business, the most common form being promotional or gift vouchers (particularly popular around Christmas time!). Given their wide use, a working knowledge of this area is essential particularly considering that special GST rules can apply to the supply of vouchers as compared to other supplies. This BKB will: outline the meaning of voucher for the purposes of the special rules that apply in the GST Act; provide guidelines on the treatment of vouchers to which the special rules in the GST Act apply; explain the implications on the supply and redemption of vouchers depending on whether the special rules apply and; provide a case study of the journal entries required.

Edition 64 - Accounting for Commercial Residential Properties
Classifying property correctly where it is leased, sold or acquired is crucial from a bookkeeping standpoint. Correct classification ensures the correct GST treatment is applied to the supply, and also ensures that the GST credits are claimed correctly. Continuing our property-related series, this BKB focuses on commercial residential properties, featuring everything from hotels to school accommodation to caravan parks, all the way through to marinas. From time to time as a bookkeeper you will be called upon to account for this style of property on behalf of your clients.

Edition 63 - Accounting for Residential Rental Properties
As a bookkeeper you will often be called upon to account for your clients’ property interests – whether the property is owned by the business itself or in a personal capacity; whether they rent out part of the family home or, at the other end of the spectrum, have an investment property portfolio. This edition provides a comprehensive coverage of your role when accounting for residential rental properties.

Edition 62 - Record Keeping
Whether under the terms of engagement with your client or under the Professional Code of Conduct, an increasing number of bookkeepers can at least in part be held responsible for the record keeping practices of their clients. This Bookkeepers Knowledge Base focuses on the complex topic of record keeping with an emphasis on the importance of good record keeping, BAS Agent responsibilities, GST, CGT, FBT and Superannuation.

Edition 61 - Paid Parental Leave (PPL)
The Paid Parental Leave (PPL) system is now operational. Although entirely Government-funded, the scheme will have a significant impact on many employers, necessitating various changes to payroll systems not to mention additional record keeping and reporting requirements.

Edition 60 - GST Working For You
GST is a topic which impacts virtually all businesses. This edition offers bookkeepers practical guidance on how you can make the GST system work for you and your clients including in the areas of accounting methods, reporting cycles, business sales, cash flow, grouping, imports, registration, and SBEs.

Edition 59 - Dealing with the Tax Office
Aside from client dealings, as a bookkeeper the Tax Office is likely your most frequent interaction/point of contact. This edition offers you some insight on dealing with the Tax Office, including who can deal with the Tax Office, proof of identity, lodgement, phone contact, and further resources.

Edition 58 - Clarity on BAS Agent Laws
Bookkeepers can no longer provide BAS services to the general public for a fee without being registered with the Tax Practitioners Board. For those who have registered, you face ongoing obligations and responsibilities in your capacity as a BAS Agent. This edition is a must-read for both registered and unregistered bookkeepers.

Edition 57 - GST and Invoices - New Rules Now Apply
GST and invoices lie at the heart of a bookkeeper’s day-to-day work. Without invoices, GST cannot be claimed, and therefore a business will be out-of-pocket. This edition recaps the rules in this area, including an important change designed to streamline the system.

Edition 56 - Superannuation, PAYG Withholding, Payroll Tax and Work Cover - Employee and Contractor Issues
Knowing who is an independent contractor and who is an employee is important as it impacts on a wide variety of payments and obligations such as superannuation, withholding tax, Work Cover and payroll tax. This edition provides a one-stop-shop for the tricky rules in this area.

Edition 55 - Fair Work for Bookkeepers
This edition explains how the new Federal Workplace system impacts your clients and even you in your bookkeeping business. Everything from leave to payslips has been impacted by the new system.

Edition 54 - The Tax Treatment of Trading Stock
In this edition we look at the tax treatment of trading stock. While bookkeepers do not directly deal with the tax aspects of trading stock, it is important you understand the effect that trading stock has on client affairs, particularly issues such as donated stock, stock taken for personal use, the treatment of lay-bys

Edition 53 - Government Grants and Charges – GST and the BAS
Whether GST applies to Government grants and charges is a confusing and multi-faceted area. With most of your clients having Government dealings at some point, this edition resolves the uncertainty in this area, and also looks at the BAS treatment of these amounts.

Edition 52 - Managing Your Debtors
Cash flow is the lifeblood of every business – including yours. This edition outlines the recourse you have as a bookkeeper when clients have not paid. We then conclude by providing some practical tips on how to manage your debtors.

Edition 51 - Reportable Employer Super Contributions
The Tax Office has changed the reporting rules for employer superannuation contributions. For the many bookkeepers who handle superannuation and payroll for their clients, this edition acquaints you with these changes and recaps Superannuation Guarantee.

Edition 50 - GST and Second-Hand Goods
Special rules apply to the claiming and remitting of GST in relation to second-hand goods. For those of you with clients who deal with second-hand goods, this edition is a must-read.

Edition 48 - Business Activity Statement (Part 2)
With most bookkeepers intimately involved in BAS preparation, this edition completes a two-part series on the BAS, this time focussing on the non-GST labels such as FBT, luxury car tax, fuel tax credits, PAYG and more.

Edition 47 - Business Activity Statement
With most bookkeepers either completing client BAS or at least involved in the preparation, this edition examines all things BAS with a particular focus on the GST-related labels.

Edition 46 - The Margin Scheme
In order to minimise GST, many of your clients who sell property will be involved in transactions which invoke the margin scheme. When can it be used? How should it be recorded on an Activity Statement? This edition answers these questions and many more.

Edition 45 - Minor Benefits
In day-to-day work, few bookkeepers are untouched by FBT generally and exemptions from FBT in particular. This edition recaps the accounting and tax aspects of FBT, before moving on to examine the minor benefits exemption.

Edition 44 - Valuing Your Bookkeeping Business
If you run your own bookkeeping business, you have an asset which has value! This edition examines how bookkeeping businesses such as yours are valued, and offers some tips on how to prepare your business for sale and thus maximise your return.

Edition 43 - Termination of Employment Payments
With an increasing number of bookkeepers now handling payroll, this edition looks at the tax, bookkeeping and reporting implications of Employment Termination Payments.

Edition 42 - GST and Security Deposits
Following a series of conflicting court rulings, there is much confusion surrounding the issue of when GST is payable on the payment and subsequent forfeiture of a security deposit. This edition clears up that confusion.

Edition 41 - The New Small Business Concessions
Many clients will be small business taxpayers. As such, it is imperative that you as their bookkeeper have a working knowledge of the GST, income tax, CGT, PAYG, FBT and other concessions available under the Small Business Concession system.

Edition 40 - Disposing of a Motor Vehicle - GST and Luxury Car Tax
In this second of a two-part article series, we complete our analysis of the disposal of capital assets by examining the GST and luxury car tax issues surrounding the trade-in and disposal of motor vehicles.

Edition 39 - GST and the Disposal of Capital Assets
Disposing of capital assets is a regular part of business. This edition closely examines the GST implications of such disposals, which bookkeepers must be aware of given many are involved in completing client Activity Statements.

Edition 38 - Fuel Tax Credits
With fuel tax credits now widely available, many of your clients will have an entitlement in this area. As these amounts are only claimable through Activity Statements, a working knowledge of this area is essential.

Edition 37 - GST Adjustments and Mistakes
Whether resulting from a change in creditable usage, or a mistake, GST adjustments and corrections often need to be performed by bookkeepers. This edition tells you all you need to know.

Edition 36 - PAYG Withholding
For the many bookkeepers who handle payroll, this edition closely examines the many issues surrounding PAYG withholding. From which payments should you withhold? When to report? What’s a variation? These and many other questions are answered.

Edition 35 - PAYG Instalments
Virtually all of your business clients will pay tax via PAYG instalments. As such, it is essential that bookkeepers have an understanding of this area. Whether calculating PAYG instalment amounts, recording PAYG instalment amounts on BAS, or varying the instalment rate, this edition has it all.

Edition 34 - Cash Flow Forecast
Lack of cash flow is common business killer. As a bookkeeper, you are in an excellent position to prepare cash flow forecasts; performing a vital role for your clients, and also adding to your own menu of services. This edition tells you all you need to know.

Edition 33 - Salary Sacrifice
Salary Sacrifice arrangements have grown in popularity over time and bookkeepers are often required to account for payrolls which feature such arrangements. From accounting entries, PAYG withholding, Superannuation Guarantee through to FBT, this edition tells bookkeepers all they need to know.

Edition 32 - Accounting for Trusts
A number of your clients will operate through a trust structure. In addition to providing you with some fundamentals, this edition examines the important peculiarities of accounting for trusts as well as associated GST and income tax issues.

Edition 31 - Superannuation
For the many bookkeepers who handle client payroll and record keeping, this edition examines all matters superannuation, including special issues with respect to contractors and workers compensation.

Edition 30 - Wine Equalisation Tax
Wine Equalisation Tax is a little-understood area. This edition provides you with some fundamentals to assist you in relating WET to your client’s business, and also features a comprehensive case study.

Edition 28 - GST: Miscellaneous Supplies
Whether it’s second-hand goods, reimbursements, vouchers or agency arrangements, this edition looks at the GST treatment of some less common supplies.

Edition 27 - GST Accounting Methods and Changing Methods
This edition looks in depth at the criteria for determining whether the cash or accruals method of GST accounting should apply and then provides a step-by-step methodology for dealing with GST and BAS issues surrounding a change of basis from cash to accruals, or vice-versa.

Edition 26 - GST: Input Taxed Supplies
Often a source of confusion, this edition takes a close look at input taxed supplies. Financial supplies, mixed supplies and apportionment, the de minimus rule, reduced input tax credits, residential and commercial premises are all put under the microscope.

Edition 25 - GST Attribution & Consideration
As a bookkeeper, knowing which period GST (payable and claimable) relates to is crucial. This edition looks at the intricacies of attribution across a variety of payment methods so that you know exactly how to treat every transaction.

Edition 24 - GST-free Supplies
Whether it’s in the area of food, health, education, exports, property etc. many supplies are GST-free. This edition is a one-stop-shop for GST-free supplies; featuring BAS treatment, a ready reckoner and various checklists.

Edition 23 - Financing Motor Vehicles
There are various ways to finance and account for the acquisition of a motor vehicle. This edition looks at the common methods your clients will use and the associated accounting, GST, income tax and luxury car tax implications of each method.

Edition 22 - Accounting for Companies
Whether for asset protection or other reasons, some of your clients will operate through company structures. This edition examines the peculiarities of company accounting as well as associated GST and income tax issues.

Edition 21 - Self-Managed Super Funds (SMSF) - The Bookkeeper's Role
With SMSFs growing in popularity, this edition contains detailed advice on the bookkeeping issues you will face in accounting for SMSFs. Additionally, it also contains a pro forma chart of accounts which bookkeepers can use when setting up SMSFs in their accounting software packages.

Edition 20 - Record-Keeping for Entertainment
Most businesses will incur some type of expenditure during a year on food, drink, amusement or other entertainment. This edition provides an introduction for bookkeepers to the intricacies of entertainment and some handy tables setting out the type of expenditure, and its FBT, GST and income tax treatment.

Edition 19 - Accounting for Non-Typical Sales
This edition looks at the accounting, GST and income tax treatment of less common transactions such as lay-by sales, barter transactions and retentions.

Edition 18 - Guide to Depreciation
Updated 24 August 2012. Whether preparing depreciation schedules for your clients or recording depreciation in the management accounts, as a bookkeeper you can’t avoid the topic of depreciation. This edition looks at the different rules that apply for different types of taxpayers.

Edition 17 - Accounting for Leases
Many clients will lease assets rather than purchasing them outright. This edition provides bookkeepers with a comprehensive guide to the practical leasing issues you will encounter.

Edition 16 - Dealing With Payroll
An increasing number of bookkeepers are dealing with payroll. In the course of doing so, PAYG instalments and withholding, ETPs, labour-hire arrangements, personal services income (PSI), leave, allowances as well as reporting are all issues that are likely to arise. This edition is a one-stop payroll shop!

Edition 15 - Accounting for Insurance
Insurance has become an increasingly difficult area to account for, in part due to the different styles of product that are now available, and as well as the GST complexities. This issue clarifies the important bookkeeping issues you will encounter, as well as all matters BAS.

Edition 14 - Accounting for Non-Profit Organisations
Bookkeepers are often asked to take on roles in clubs and associations that are considered not-for-profit entities. This edition examines the accounting and income tax issues which may impact your bookkeeping role.

Edition 13 - Accounting for the Sale of a Business
The sale of a business carries with it a significant number of issues from an accounting, income tax and GST standpoint. This edition examines these issues with emphasis on the accounting entries which bookkeepers may need to undertake.

Edition 12 - Property Transactions & GST
Property development and investments are commonplace amongst many business taxpayers. As such, bookkeepers require a working knowledge of how GST applies to the many different types of property dealings including sales, development, rental, subdivision and any combination of these.

Edition 11 - Accounting for Interest & Borrowings
Many business purchases are financed using credit. As such, bookkeepers must possess a working knowledge of how to deal with issues surrounding interest and borrowings. This edition takes a comprehensive look at the issues in this area, including practical issues with respect to the books of account.

Edition 10 - Changes in Creditable Usage
An adjustment is required to be made on a BAS where there has been a change in creditable purpose compared to its original intended use. This edition examines: all the important bookkeeping issues that arise in this area.

Edition 09 - Accounting for Shares
With Australia leading the world in share ownership on a per head basis, increasingly share transactions and other financial securities are featuring in the day-to-day work of a bookkeeper. This edition considers the many issues in this area, including BAS and GST matters.

Edition 08 - Accounting for Primary Producers
The term ‘primary producer’ is broadly defined, and therefore may include more of your clients than you realise. This edition examines exactly what constitutes a primary production business as well as the many tax incentives available for these taxpayers.

Edition 07 - GST Imports & Exports (Part 2)
In this second of a two-part series, this edition covers imported goods that are not subject to the GST deferral scheme, as well as how GST is accounted for in relation to exported goods.

Edition 06 - GST Imports & Exports (Part 1)
In this second of a two-part series, this edition examines how GST applies to imports. We consider when an import attracts GST, how you can defer GST for your clients, as well as how to deal with the BAS.

Edition 04 - Asset Disposal
This edition takes an in-depth look at asset disposals (balancing adjustments). Deductible balancing adjustments, assessable balancing adjustments and balancing adjustment offsets on the purchase of other assets are all covered.

Edition 02 - Accounting for Hire Purchases
Updated as at 3rd July 2012. Some of your clients will acquire assets via hire purchase. This edition considers the important bookkeeping issues in this area including the recording the H.P. liability, recording repayments and interest, early payout, as well as the GST and BAS treatment.

Edition 01 - Fringe Benefits Tax & GST
This edition considers the interaction of FBT and GST, including when a fringe benefit is subject to GST, grossing up a fringe benefit to account for GST and much more. We then top it off with in-depth case studies, tailored for bookkeepers.