Hillier's Advisors Chartered Accountants

12/02/2026

This is Ted. Ted claimed $61,286 in tax deductions without keeping correct records, Ted's deductions got denied, he had to repay the tax with interest and received penalties for disregarding the tax laws.

Don't be like Ted.

The importance of keeping adequate records is demonstrated by this case. Not only should receipts be kept for all expenses claimed, but logbooks and diaries may be necessary to prove the wok related portion of an expense also.

https://www.accountingtimes.com.au/tax/engineer-who-claimed-60k-in-wfh-car-deductions-loses-court-fight?utm_source=newsletter&utm_campaign=Daily&utm_medium=email&utm_content=2026-02-13&utm_emailID=a25a5202d97e83f3b78786a2389c6461ddb89094c73bfdd50736d794b040d97a

08/12/2025

Pay day super, what does it mean for you?

From 1 July 2026, employers will be required to pay their superannuation liability within 7 days. This might not seem like a large change, as businesses need to pay their super each quarter as it is, however administrative burden of completing it on time, combined with the effect on cashflow is something business' should be preparing for.

Attached is an ATO fact sheet on the topic. Some key points are summarised below:
- Superannuation Guarantee is due 7 days from the payment of wages;
- Being 'due' means it has been received by the employee's fund, not that the payment has been raised. It can take a few days for payments to be processed by a clearing house and be received by the fund;
- Any late payments will automatically have interest and penalties apply by the ATO;
- Late payments attract interest, and an 'administrative uplift';
- Penalties can be applied of 25-50% of the late paid superannuation;

An example to illustrate how costly late payment can be, a business pays $100 super 7 days late. Interest is charged daily, $2 of interest. Administrative uplift of $61.20 is applied, as well as penalties of $50. So late payment of $100 super, results in additional costs of $113.20!

04/12/2025

As you’re planning work Christmas functions, taking clients out to lunch and sharing client and staff gifts, do you know the tax consequences of these expenses? What you choose and how you structure it, can significantly affect both whether you can claim tax deductions and GST credits as well as whether a Fringe Tax liability will apply.

Join Lauren Hillier, Chartered Accountant and small business specialist as she runs through some of the factors you should consider to achieve better tax outcomes.

Register now and you will also receive a free entertainment quick reference guide to download!

As you're planning work Christmas functions, client gifts and staff gifts, do you know the tax consequences of these expenses? What you choose and how you structure it, can significantly affect both whether you can claim tax deductions and GST credits as well as whether a Fringe Benefits Tax liabili...

01/12/2025

Have you noticed some changes in your Xero file?

You may have noticed that Xero is rolling out a few changes, these are being rolled out progressively so different files have access at different times.

The first is the new business dashboard, I've attached a screenshot below. This is trying to provide business owners with a quick snap shot when you open your file. All the data on this screen is customisable, so you can remove what you don't need and focus on what you do, just hit the 'customise' button in the top right or the 3 dots on the top right of any widget.

The next is AI bank reconciliations, I have attached a link below with a short demo. When you are in your bank reconciliation screen ((if you have access) in the top right should be 'auto-reconcile on/off' (screen shot attached). Turning this on will allow Xero to use AI to auto reconcile transactions, but don't be afraid to use this feature, as you can always select the 'view all reconciled' button below to see a summary of all transactions reconciled and the details, enabling you to review and edit as required.

Xero's AI is based on Open AI (behind Chat GPT) and according to Xero the AI will learn from any changes made and improve the more it is used. It can obviously be toggled on and off as you see fit.

https://xero.wistia.com/medias/ic40okdwr8

06/11/2025

After ongoing consideration, consultation and discussion the Payday Super laws have passed parliament, with a start date of 1 July 2026.

What does this mean for your business? What do you need to plan for?

✅ What’s changing

* From 1 July 2026, employers will be required to pay superannuation contributions at the same time as salary/wages are paid — rather than paying quarterly as many do now.
* Super contributions must be received by the employee’s super fund within 7 business days of the payday.
* If contributions are not received in time, the employer may be liable for the updated Superannuation Guarantee Charge (SGC) under the new rules.
* The existing small-business superannuation clearing house offered by the Australian Taxation Office (SBSCH) will be retired from 1 July 2026 and is already closed to new users from 1 October 2025.

🎯 Why this matters

* The reform is designed to reduce unpaid or late super contributions and improve retirement outcomes for employees.
* For employers, this means payroll & super systems will need adjustment → aligning timing, ensuring funds are processed promptly, and ensuring compliance. • The transition is a major step so early planning is key.
* For employees, more frequent super payments means earlier access to compounding returns and better transparency of their super contributions.

📌 What you should do now

* Review your payroll systems: Ensure your payroll software or provider can handle super payments aligned with each payday, rather than only quarterly.
* Update processes & cash-flow planning: Paying super more frequently may affect your cash-flow, especially for smaller employers.
* Communicate with staff: Let your employees know about the upcoming change – that their super will now go in on each payday, not just quarterly.
* Mark 1 July 2026 in your calendar: That’s when the “payday super” rules come into effect. The legislation is passed, so the countdown is on.

If you’d like assistance in reviewing your payroll & superannuation setup (or checking readiness for these changes), we’re here to help! Just send a message and we can arrange a review.

20/10/2025

For any late night Xero users, there is a global outage across all Amazon web services (including Xero). It’s been down since this evening and there is no estimated restoration time.

Xero status can always be accessed here:

13/09/2025

Is your bookkeeper properly qualified and registered? As accountant, we need to be tax agents. But it’s not as commonly known that bookkeepers must be BAS agents in certain circumstances. Registration as a Tax or BAS agent can be confirmed by searching the TPB registers.

A BAS service is a 'tax agent service' that relates to:

31/08/2025

We are proud to be part of the TradieWives network providing support to businesses in various Trade based industries.

As a TradieWives directory partner, we are excited to be also partnering with Finlease to host a networking event for members of the TradieWives community.

Spots are limited, so get in quick if you would like to join us for an afternoon of networking, mingling and laughter at Bartholomew's on September 10, from 4pm - 8pm.

Tickets are free, so grab your spot at the link below! If you cannot make it, and would like to network with some like minded TradieWives make sure you head over to their Facebook group and become a member!

Join us for a relaxed evening of mingling and laughter at the Newcastle Social Hour, where good vibes are guaranteed!

28/08/2025

How do you pay your super?

As a business, all employee super (which if you are anything except a sole trader includes the owner's super) must be paid using a clearing house. This enables the ATO to track the accrual of superannuation obligations (via Single Touch Payroll) and the subsequent payment (via a clearing house) so that they can monitor that payment obligations are being met.

Currently, the ATO provides a Small Business Clearing house service (ATO SBCH). You submit your super via the ATO business portal and may payment to the ATO, who then disburses the funds to the listed superannuation funds.

From 1 October 2025, the ATO SBCH will no longer be allowing new users. If you anticipate needing to pay super in the near future, you may choose to setup the clearing house just in case before this date.

From 1 July 2026, the ATO SBCH will be closed permanently. If you are currently using the clearing house you will need to consider other options by this date.

Other options include:
- Xero offers automatic superannuation. If you are a Xero customer, you may need to upgrade your file to obtain access. It is a very easy to use and functional system as it records the super owing from your recorded payroll.
- Other software providers (MYOB, Quickbooks etc) offer similar options if you use these for your accounting records.
- There are a number of other clearing houses are available. QuickSuper is a commonly used one, and many funds provide their own clearing house.

The main difference between the clearing house available in your software and external clearing houses is that when using an external clearing house you need to calculate the super owing, report it and pay. Where is within your software (eg Xero) it takes the records already recorded from your payroll, making it easier to ensure you obligations are met.

If you need help finding the option that is best for your business, we would be happy to help!

13/07/2025

The ATO is cracking down on superannuation payments, so here are a few key things to know!

✅Make sure superannuation is calculated correctly. If you use an online software option, this should happen automatically if it is setup correctly. From 1 July 2025 the rate is 12%.
✅Make sure superannuation is applied to the correct payments, not all payments have superannuation applied. Examples include overtime (in certain circumstances), some allowances, workers compensation, expense reimbursements, leave loading and some termination payments.
✅Make sure your superannuation is being calculated correctly for minor's, with super not being payable if they work less than 30 hours per week.
✅Make sure your superannuation payments are lodged using a valid clearing house. The ATO currently offer a Small Business Clearing House, but it terminates at 30 June 2026. There are a number of other options available. If a clearing house is not used, the ATO may not recognise the payment and penalise the employer.
✅Make sure you superannuation payments are made on time. June Quarter super is due by 28 July 2025. Late payments need to be submitted to the ATO on a Superannuation Guarantee Charge Statement, with interest and admin charges applying. Late payments are also not eligible to claim a tax deduction.

These small mistakes can be costly, so make sure you superannuation is up to date today! Please reach out if you need assistance in bringing your superannuation up to date, or ensuring that your systems are adequate.

02/07/2025

Commencing yesterday, interest paid to the ATO is no longer tax deductible. Not only is the rate very high (currently 10.78%), this removal of a tax benefit makes it even less cost effective.

You can look to refinance debt into business loans, personal loans or drawing down on mortgages. Seek advice before you do so however, to ensure you preserve the tax deductibility of the interest.

In many cases, it can be difficult to obtain finance while you have outstanding ATO debt. There are however lenders out there that will consider lending (as long as other serviceability and security measures are met), especially where the ATO debt will be paid out on settlement of the finance.

In some instances this cannot be avoided, in which case you should consider your options including considering whether the business should continue operating.

02/07/2025

Our team is growing!

Are you an experienced Bookkeeper looking for autonomous client focused role?