Paying taxes is one of our primary responsibilities as citizens. Government uses revenue from taxes to build bridges, schools, hospitals, and other infrastructures. We pay taxes in the form of VAT (value added tax) for virtually everything we consume, and cryptocurrencies should not be left out. Now the big question is, does the Australian government tax cryptocurrency users?
In this blog post, we will answer some pertinent questions regarding tax payment when we get involved in cryptocurrencies.
Should I Declare Cryptocurrencies On My Tax Return
Of course, you should declare cryptocurrencies on your tax return if you have made any profit from it. Some ways to profit from cryptocurrencies include crypto trading, purchasing goods or services via cryptos, and conversion from cryptos to Australian dollar, and vice versa.
Do I Pay Taxes On Gains Made From Cryptocurrencies?
Yes, you have to. If you have involved yourself into crypto trading or any of the ways of making profits from cryptocurrencies, it is duty bound on you to pay taxes. How much should you pay? This depends on some factors like your trading strategy and your investment worth. For instance, if you are a personal crypto trader, you can expect to pay anything between 0% and 47%. Crypto-related companies are expected to pay anything between 27.5% to 30%.
What If I Don't Declare My Crypto Gains To The ATO?
When you make any crypto investment and you make profits from such investment, you are expected to declare your position to the ATO. Failure to do that is tantamount to tax evasion, and tax laws frown against that. We encourage you to always declare your crypto gains to the ATO so that the long arm of the law would not catch up with you.
Except you still live in the stone age, the chances are that you must have heard that cryptocurrencies have taken over the world. Cryptocurrencies, and indeed blockchain technology, is now the new way to facilitate payment for goods and services.
So, in this article, we will be simplifying some terms associated with the cryptocurrency space. You may have heard of terms like blockchain, smart contracts, Bitcoin, and even cryptocurrency itself. Relax, this article will handle all the explanations so that you understand what each team means.
Let's dive in!
Meanings Of Terminologies In The Crypto Space
What is Cryptocurrency?
In simple words, cryptocurrencies are a group of virtual or digital currencies that people can use to facilitate payment in the economy where they are accepted. The first cryptocurrency to hit the scene was Bitcoin in 2009. At present, there are over 1,500 cryptocurrencies in circulation.
What Is Bitcoin?
Bitcoin is the largest and the most traded cryptocurrency in the world. It was invented in 2009 by a man known as Satoshi Nakamoto using the power of blockchain. The symbol of Bitcoin is BTC. Since the birth of BTC, so many cryptocurrency enthusiasts have use the same blockchain technology to create other cryptocurrencies to provide different services.
What Is Ethereum?
Ethereum is a blockchain-based, open-source, decentralized platform used for its own native cryptocurrency, ether. It was launched in 2015 to enable distributed applications and smart contracts to be built without any downtime, fraud, interference, and control from a third-party.
What Is a Smart Contract?
At its core, a smart contract is an instruction that automatically self-executes with the terms of the agreement between buyers and sellers written into lines of code. The agreements between the buyer and seller are contained in the blockchain.
What Is Blockchain?
A blockchain is a public ledge that records all cryptocurrency transactions. Once a transaction has been recorded on blockchain, it cannot be reversed or deleted. Blockchain makes it difficult for the government to regulate or interfere with the cryptocurrency space.
Your business budget helps you avoid overspending and also puts you in control of your business. However, with COVID-19 still in full swing, the chances are that you may have abandoned your business budget just to stay afloat. You are not alone, so many businesses have had to throw their business out of the window just to survive the global pandemic.
You need to make some adjustments if you must get your business budget back on track after COVID-19. So, how do you get back your budget back on track?
In this post, we have put together top 3 tips that you should consider to get your business budget back on track after the global pandemic.
#1. Pay Attention To New Numbers
Coronavirus may have affected your business one way or the other. Whatever your situation may be, you need to make some sacrifices to help your business bounce back from the negative cash flow. You may consider reducing spending or cutting down on unnecessary expenses. Pay attention to your cash flow by tracking your income and expenses using accounting software.
#2. Reevaluate Your Emergency Fund
If your business has an emergency fund, you may need to reevaluate it. Reevaluating your business emergency fund will prepare you ahead of other emergencies. However, if you do not have any emergency fund set aside for your business, you need to establish one. The rule is to set up an emergency fund that will cover at least 6 months of your expenses.
#3. Prioritize Paying Back Debts
If you were forced to borrow funds to rejig your business during the crisis, you need to prioritize paying back the debts. Make room in your business budget for debt payment and extra loan. Additionally, try as much as possible to offset all your debts before applying for a new loan.
If you are still in doubt on how to plan your business budget after COVID-19, feel free to reach out to us for assistance.
Looking to start a new business despite the havoc caused by the coronavirus pandemic? Then you are in the right place. Still the start of the pandemic, many small businesses have closed their doors permanently due to the pandemic. However, the result was quick to point out that there is an increase in the request for people to start a new business during the pandemic.
If you are one of those striving to start a business, this post would really be helpful. Ahead, we have shared three powerful tips that would help you start a new business NOW!
Sounds good, right?
Then let's started.
#1. Determine Your “Why”
The first step in starting a new business during a pandemic is to determine why you want to start a business. Do you want to be your own Boss? Are you passionate about a specific product or service? Do you want to make a difference in your immediate community? Once you are able to identify your why, you can then figure out your potential customer's pain points.
#2. Fill a Market Need
The habits of today's consumer are continually changing. Therefore, think of how your products or services will align with their lifestyle during the pandemic. Industries like cleaning, delivery services, home improvement, fitness equipment, and behavioral health are thriving during the pandemic and the reasons are not far-fetched. Most consumers now work from home!
#3. Focus On Digital Marketing
During the coronavirus pandemic, a robust digital marketing strategy can be the game-changer that you need to get started. With little or no chance of meeting your potential clients in person, the only surefire way to network with them is through effective digital marketing.
Struggling to start a new business during the pandemic? Reach out to us for assistance!
Starting a business during or after the coronavirus pandemic might seem impossible for many, but that shouldn't be the case. While consumers spend most time at home, there are businesses you can still do to make money during or after the pandemic.
Ahead, we will highly top 3 business ideas that you can start now with little or no budget.
Let's get started.
#1. Online consulting business
If you have knowledge to pass on to others, you can start an online consulting business. From professional skills such as finance and supply chain management to lifestyle skills like dietician or music classes, you can train people in what skill that you possess.
The internet is a great tool in this regard. Online consulting is basically meant to give people useful information to improve their lives or businesses.
#2. Digital Marketing Agency
Another lucrative business to start during and after the pandemic is a digital marketing agency. The truth is that businesses are constantly on the lookout for agencies that will help them generate leads. Your digital marketing agency can offer businesses a wide range of services, including content marketing, SEO, social media, web design, as well as paid and targeted advertising.
#3. Graphic Design Firm
Graphic design is another business idea you should look into. With the right skills, you can design company logos, event graphics, and social media banners.
Struggling to start a new business during or after the pandemic? Feel free to reach out to us, and our experts will help kick-start your entrepreneurial journey.
With some parts of the world reopening after the devastating effect of the first wave of COVID-19, the chances are that you might be eager to rebuild your business. However, it is crucial to be careful when rebuilding your business as the virus is still spreading globally.
The effect of COVID-19 on the global ease of doing business remains significant. The unemployment rate has never been this high since the Great Depression. Customers are now more conscious about proximity to strangers and public gatherings. We may never witness a return to "normal" in the nearest future, for businesses in restaurants, retail, hospitality, and travel.
In today's blog post, we will take a look at 4 ways to rebuild your business after COVID-19. Without much ado, let's get started.
#1. Assess the Financial Damage
The first step to rebuilding your business is to assess the financial damage. If you've not done your financial statement recently, this is the right time to do that. Once you are done with your financial statement, compare the numbers to last year's number to determine the impact.
#2. Review Your Business Plan
Your business plans may have worked 100% fine during the pre-COVID era, but certainly after COVID-19, it is necessary to fine-tune your business plans to reflect today's reality.
#3. Consider Whether You’ll Need Funding to Recover
It is likely that you would need some forms of funding after COVID-19, unless your business generated enough money going into COVID-19. There are several options to consider when seeking for funding, including:
- Business lines of credit
- Accounts receivable financing
- Merchant cash advances
- Small business loans
- Small business term loans from banks, credit unions and online lenders
- Business credit cards
- Vendor tradelines
Are you currently facing any challenges rebuilding your business? Let us know in the comments and we would like to be of help!
From social distancing, limited capacities, mandatory use of nose masks, and staggered work schedules, the post COVID-19 era appears to be very difficult for both employees and customers. With cases of infected persons on the rise on a daily basis in different parts of the world, it is critical to communicate and follow these safety protocols.
Businesses, whether startups or giants, are faced with new customer expectations and how to push for every stakeholder to respect the rules. In this article, we will be sharing a few tips on how to manage your customer expectations during the post COVID-19 era.
#1. Contactless Payments
During the post COVID-19 era, customers would like to make contactless payments. Customers would not want to touch screens, keypads, not to talk of handling cash. They also want to interact less with your staff members. As such, you need to be prepared to deploy technology to receive payments from your customers.
#2. Social Distancing
Even after the pandemic, people would still comply with the social distancing rule. If customers must visit your office, you need to re-configure your office to respect social distancing.
#3. Improved customer service
In the post COVID-19 era, customers would demand for improved customer service. Therefore, it is crucial for you to deliver improved customer service. Improved customer service would not only attract them to keep coming back, they will become loyal customers.
What customer expectations do you think will be at the front burner in the post COVID-19 era? Let us know in the comment box.
No doubt the COVID-19 pandemic has taken a toll on businesses in Australia, and indeed, the rest of the world. According to a BDC survey, more than 73% of companies were already feeling the heat of the pandemic as of mid-March 2020.
The truth is that in times of crisis, cash flow is usually a challenge for most businesses. Creating a cash flow forecast and a detailed continuity plan can facilitate recovery and help you sustain your business post COVID-19.
In this post, we will take a look at the 5 steps necessary to sustain your business after COVID-19.
#1. Start With Health And Security
Coronavirus is a human problem; as such, it is essential to take steps to protect yourself and your employees first. The following are some important questions to ask:
Answers to the questions will keep your employees safe in the post COVID-19 era.
#2. Prepare a communication plan
The communication plan of your business should target the following:
Craft a clear message and use technology to send your messages.
#3. Evaluate Capacity And Resources
For the survival of your business, you need to go beyond managing your employees, suppliers, and customers.
As demand dips globally, you need to align your staff to production. You also need to consider a new temporary wage for your employees to maintain your workforce.
In addition, you may want to consider right-sizing recurring expenses in the short term.
Okay, that's it. There is light at the end of the tunnel if you follow through with these tips. Your business would definitely rebound post-COVID.
Still don't know where to start from? You can shoot us a message and we would greatly be of immense assistance
Today the RBA met for the first time in 2021 and have decided to leave the cash rate unchanged at 0.10%.
Our central bank will have been encouraged by recent better than expected unemployment and CPI numbers. It will also be keeping a close eye on rising house prices, lending growth, the continued impact of COVID-19 on our major trading partners, the Australian dollar and its effect on exporters and the looming reduction to government support packages.
Rates are at a record low and lenders continue to offer very competitive rates. We can answer your questions and look at your circumstances to make sure you're prepared for what could be coming next. This could mean refinancing or approaching your lender for a better rate. Because we do this type of work every day, we have a pretty good idea what lenders can do to win or keep your business.
We're here to help if you have any questions. Please don't hesitate to give us a call.
Kervin and Team
PH : 08 9370 5515