Canadian Chamber of Commerce’s Post

💡 Three Reasons Why You're Completely Stupid If You Don't Minimise Your Tax in Australia! 💡 Minimizing your tax is crucial, and here’s why: First, Australia has one of the highest income tax rates globally, heavily relying on income tax. Second, the more money you keep in your pocket, the more you can invest to grow your wealth, support your family, and enjoy life. Third, the government collects taxes on many other things like alcohol, fuel, and GST, so even if you reduce your income tax, you’ll still contribute to the economy. Spend wisely and get something in return. Reducing your income tax maximizes your financial potential and ensures you benefit from your hard-earned money. For more tax tips and financial strategies, follow this page. 🚨 Disclaimer: This content is for general informational purposes only and does not constitute specific financial or tax advice. Always consult with a qualified advisor to ensure the strategies apply to your unique circumstances.

Starting July 1, 2024, all 13.6 million Australian taxpayers will benefit from a tax cut. This means that most taxpayers will pay less tax each payday and keep more of their earnings. The individual income tax rates and thresholds will change, providing a welcome relief for many.   To estimate your annual tax cut, you can use the tax cut calculator . This tool is particularly useful as you approach your end-of-financial-year reviews or explore new opportunities. By understanding how much more you’ll take home, you can make better financial decisions for your future.   These changes aim to ease the tax burden and enhance financial well-being for Australians. Make sure to take advantage of the tax cut calculator to see how much you’ll benefit and plan accordingly for the coming financial year.   Click here to use the tax cut calculator: https://lnkd.in/gWGMUwzp  

🔍 Adam Smith's "The Wealth of Nations," published in 1776, laid down fundamental principles of proper tax policy known as the four canons of taxation: • Equity: Taxes should be proportional to income, following the ability-to-pay principle. Most countries have achieved this by applying tax rate percentages. • Certainty: Taxation should be transparent, ensuring clarity on amounts, deadlines, and payment methods. This is a tricky area where we have now put so many different types of direct and indirect taxes. • Convenience: Both timing and payment methods should be user-friendly for taxpayers. Tax automation cannot be avoided any more by any countries. • Economy: The cost of tax collection should be minimized to allocate funds efficiently. This is related to tax consciousness and the responsibility of the country and people towards each other. Understanding and applying these canons can lead to fairer, more efficient tax systems. #TaxPolicy #EconomicPrinciples #AdamSmith #accfintax

TAX THE RICH they say. "Make them pay their fair share" they say. History shows that philosophy is wrong. For the top 1% of income earners, the higher the tax rate, the LOWER the share of taxes they end up paying. I'll put in perspective: When the highest tax rate was 70%, the rich paid less than 20% of the tax burden. With today’s tax rate of 37%, the top 1% pay almost 50% of all income taxes. How could this be? When tax rates increase: - deductions and shelters become highly attractive (tax-free money increases) - economic and taxable income activity offshore increases to lower-tax countries (ask Ireland about this) - penalizes investment & innovation, which slows growth Interesting to see what happens in this election cycle regarding taxes. History tells us that if we think increasing taxes on the rich will lead to more dollars being paid out of their share, we're wrong. For the reasons above, if this does indeed happen- expect the US economy to underperform.

Have you ever thought about how tax systems can reduce the wealth gap between the rich and the poor? Imagine a tax structure where the rate increases as your income does. Welcome to progressive taxes, crafted to create a fairer playing field. Progressive taxes are a taxation system where the tax rate increases as the taxable amount increases. This means that higher-income individuals and households pay a larger percentage of their income in taxes compared to lower-income earners. The goal of progressive taxes is to reduce income inequality by ensuring that those who have the ability to pay more contribute a fairer share to government revenues. Examples include income taxes with graduated rates and estate taxes. Advocates argue that progressive taxes promote social equity and provide essential public services, while critics contend they can discourage investment and economic growth. What do you think? Connect with us today by scheduling a 20-minute tax consultation with one of our tax and wealth advisors - https://shorturl.at/8bCoV. Let us know your thoughts! #ProgressiveTax #FairTaxation #EconomicEquity #IncomeEquality #TaxJustice #TaxFairness #WealthRedistribution #FiscalPolicy #TaxReform #SocialEquity #EconomicJustice #TaxSystem #IncomeTax #GraduatedTax #WealthGap #TaxPolicy #EconomicFairness #TaxResponsibility #EquitableTaxation

For those who've enjoyed the high-yield interest rates this past year, do not forget what that means for you this tax season. Enjoyed sharing my thoughts with Bloomberg in this article. Suzanne Woolley - as always, thanks for raising the awareness and a great article! #taxplanning #interestrates #wealthmanagement #financialplanning

Have you ever thought about how tax systems can reduce the wealth gap between the rich and the poor? Imagine a tax structure where the rate increases as your income does. Welcome to progressive taxes, crafted to create a fairer playing field. Progressive taxes are a taxation system where the tax rate increases as the taxable amount increases. This means that higher-income individuals and households pay a larger percentage of their income in taxes compared to lower-income earners. The goal of progressive taxes is to reduce income inequality by ensuring that those who have the ability to pay more contribute a fairer share to government revenues. Examples include income taxes with graduated rates and estate taxes. Advocates argue that progressive taxes promote social equity and provide essential public services, while critics contend they can discourage investment and economic growth. What do you think? Connect with us today by scheduling a 20-minute tax consultation with one of our tax and wealth advisors - https://shorturl.at/8bCoV. Let us know your thoughts! #ProgressiveTax #FairTaxation #EconomicEquity #IncomeEquality #TaxJustice #TaxFairness #WealthRedistribution #FiscalPolicy #TaxReform #SocialEquity #EconomicJustice #TaxSystem #IncomeTax #GraduatedTax #WealthGap #TaxPolicy #EconomicFairness #TaxResponsibility #EquitableTaxation

𝗜𝗻𝘃𝗲𝘀𝘁𝗶𝗻𝗴 𝗶𝗻 𝘆𝗼𝘂𝗿 𝗺𝗼𝘁𝗵𝗲𝗿’𝘀 𝗻𝗮𝗺𝗲 𝗰𝗮𝗻 𝗹𝗼𝘄𝗲𝗿 𝘁𝗮𝘅 𝗼𝘂𝘁𝗴𝗼. 𝗕𝘂𝘁 𝗯𝗲 𝘄𝗮𝗿𝘆 𝗼𝗳 𝟮 𝘁𝗵𝗶𝗻𝗴𝘀. 𝗜𝘁 𝗰𝗮𝗻 𝗯𝗲 If your parent falls in a lower tax bracket or has no taxable income, investing in an SIP in their name can be a smart move. It will minimise your tax outgo.   Good option for… It can be especially helpful for those in the highest tax bracket. There are risks, though ➡️𝗟𝗲𝘁’𝘀 𝗹𝗼𝗼𝗸 𝗮𝘁 𝘁𝗵𝗲 𝟮 𝘁𝘆𝗽𝗲𝘀 𝗼𝗳 𝗿𝗶𝘀𝗸𝘀. 1️⃣ 𝗥𝗶𝘀𝗸 𝗼𝗳 𝗶𝗻𝗰𝗼𝗺𝗲 𝗰𝗹𝘂𝗯𝗯𝗶𝗻𝗴 If your mother returns the invested money later, the tax authorities may view it as a form of income clubbing. This means the money gets added to your income and is taxed. 2️⃣ 𝗦𝗲𝗰𝗼𝗻𝗱 𝗿𝗶𝘀𝗸 𝗶𝘀 𝘁𝗼 𝗱𝗼 𝘄𝗶𝘁𝗵 𝗲𝘀𝘁𝗮𝘁𝗲 𝗽𝗹𝗮𝗻𝗻𝗶𝗻𝗴 ➡️Click on the link to find out why your siblings may stake a claim to the money that you gifted your parents: vro.in/s200994 #investing #mutualfunds

It’s tax time for the Senate Economics Committee! 🕰 With 3 critical reforms before us right now. We kick off this week on multinational tax integrity, with measures limiting the use of debt deductions to avoid tax. Next, we look at our super reforms for balances above $3M. PRRT revisions to ensure the gas industry pays more tax sooner, and landmark penalties for tax exploitation scheme promoters, are next on the Committee’s tax dance card. Together this legislation aims to ensure integrity, transparency and responsibility in our tax system, and boost the budget bottom line. We’re also looking forward to the new tax package legislation! And over the coming quarter, we review Digital ID, Reserve Bank reforms, the Super objective and Help to Buy housing measures. It’s go, go, go for the Government’s economic reforms, and if you’d like to follow along, you can go to: https://lnkd.in/dkXjNk6k Jim Chalmers, Stephen Jones, Katy Gallagher, Andrew Leigh MP #auspol #taxtransparency #multinationals #taxreform

I'm sure you've heard of Higher or Additional Tax Rates or the reduction of various allowances (Capital Gains or Dividends) but what about a 60% Tax Trap? Anyone earning over £100k per annum should be wary of this. Income between £100k and £125k has an effective tax rate of 60%. It is one way to increase the amount income is taxed without increasing the percentage you see. This method is somewhat similar to Fiscal Drag. Freezing tax thresholds increases people's taxable income without nominal tax rates increasing. This results in additional revenue for the Government. This phenomenon is called 'fiscal drag', as more taxpayers are 'dragged' into paying tax, or into paying tax at a higher rate. There are ways, with proper financial planning, that these types of taxes can be reduced or avoided completely. Whether income is redirected or the use of other assets which incur more favourable tax. There are options and you should be speaking with a professional about it. #taxtrap #financialplanning #incometax