Bike Sales and Finance – Call – Aussie Motorbike Loans on 1300 288644. When looking at buying a bike, see what changes the Government is bringing in that may effect your cash flow.
Bike Sales – Loan News
Tax – Notification of superannuation paid by employers.
From July 1, 2013, employers must advise employees of the date that they last paid their superannuation contributions. You need to check your pay advice to make sure these entitlements are being paid to you. While not putting money directly into your pocket, the benefit is there in the future. Bike sales do become influenced by the cash flow that goes around.
Net medical expenses tax offset being phased out. In changes proposed in the 2013 federal budget, the government plans to phase out the net medical expenses tax offset. Only those taxpayers who claim the medical tax expenses offset in 2012/13 can continue to be eligible for 2013/14 (pending having net expenses above the relevant thresholds). The offset will continue to be available for out-of-pocket medical expenses relating to disability aids, attendant or aged care until July 1, 2019. This won’t help bike sales as the government is reducing the benefits as explained.
No more cheques for tax refunds. When you submit your 2012/13 income tax return, you will need to enter your bank account details, including your BSB and account number. This will need to be done via the electronic lodgement service when a refund is expected. Bike sales and finance work in a similar way. Direct debit is the way most financiers have you pay your loan repayments.
Super guarantee contributions increase – After no changes for several years, the superannuation guarantee contributions (SGC) is being increased over the next decade commencing with a 0.25 per cent increase in the 2013–14 (to 9.25% of ordinary time earnings) and 2014–15 financial years, followed by 0.5 per cent rises each financial year until the SGC reaches 12 per cent in 2019–20. Again bike sales should not decrease which is good for most.
The age limit of 70 is being abolished for those entitled to have superannuation guarantee contributions paid on their behalf.
Allocated pension drawdown relief no longer available. This change shouldn’t effect the sale of a bike.
Over the last few years, the minimum amounts required to be drawn from allocated pensions were halved as a result of superannuation fund balances getting hammered during the GFC. This relief is no longer available for the 2013-14 year and beyond, with the minimum draw down being 4 per cent for those under age 65, increasing to 14 per cent for those aged 95 and over.
Baby bonus – The baby bonus will be scrapped altogether in March 2014. But before then, from July 1, 2013 the baby bonus payment for second and subsequent children will be reduced to $3000. Yes – let’s reassess paying tax payer money for a small segment of the market place.
Private health insurance rebate – The private health insurance rebate will no longer be paid from July, 1 2013, on any lifetime health cover loading applied to the cost of a private health insurance policy. Bike sales sees this as a negative on which the Government wants to go.
Super contribution limits lifted for those over 60 – The concessional contributions limit will be lifted to $35,000 for all individuals aged 60 and over. From July 1, 2014, the new limit will apply for those aged 50 and over.
Bike sales and finance – call Aussie Motorbike Loans – 1300 288644.