On 28 November 2022 the Treasury Laws Amendment (2022 Measures No. 2) Bill 2022 was passed.

This passes many of the October Budget announcements. Below is a summary of the newly legislated measures.

Expanding eligibility for downsizer contributions

The age limit for eligibility to access downsizer contributions has been lowered from 60 to 55 years of age. Downsizer contributions allow individuals to contribute up to $300,000 from the proceeds of their home into a complying superannuation account. This will apply from 1 January 2023.

Keep an eye out for our upcoming newsletter on downsizer contributions.

Removing the self-education expenses threshold

The $250 non-deductible threshold for certain self-education expenses has been removed. Going forward, all eligible self-education expenses will be tax deductible from the first dollar incurred. This applies to self-education expenses incurred from 1 January 2023.

Sharing economy reporting regime

The Taxable Payment Reporting System (TPRS) will be expanded to apply to certain transactions made through an electronic platform. The operators of the electronic platforms will be required to report these transactions to the Australian Taxation Office (ATO). This will apply to platforms such as Uber, Doordash, Airtasker and Fiverr.

Assisting businesses to meet their record keeping obligations

The aim of this new measure is to move away from the Australian Taxation Office (ATO) imposing administrative penalties without educating taxpayers. Rather than imposing penalties to businesses who fail to keep adequate records, the business may be directed to undergo education as an alternative to the administrative penalty.

Increased tribunal powers for small business tax decisions

The aim of this measure is to provide small business entities with a cheaper, faster and simpler way to appeal a decision by the Administrative Appeals Tribunal (AAT) without needing to apply to the court.

For more information you can visit the Treasury Website.

As always, do not hesitate to contact us.

Kind regards,

SaabTeece