Comments for HaydnAllbutt.com.au http://www.haydnallbutt.com.au The World through the eyes of a scientist Fri, 04 Jul 2008 13:29:05 +0000 http://wordpress.org/?v=2.3.3 Comment on Starting a Company by FastLife http://www.haydnallbutt.com.au/2008/03/28/7/#comment-18 FastLife Wed, 07 May 2008 15:07:04 +0000 http://www.haydnallbutt.com.au/2008/03/28/7/#comment-18 Hi Anne Marie, yes I get you. While I am neither an accountant or corporate lawyer, and thus it would be well worth speaking to one for more specific advice, from what I gather the income of the company you register would need to be kept completely separate from any income you may receive from the company for your own use. If you form a company it is a completely independent legal entity, thus you can't just help your self to its money, even if you were the one who registered the company. Thus there is a very clear distinction about how income from the company is taxed. Any and all revenue received by your company belongs to your company and thus is taxed at the corporate tax rate which in Australia is currently a flat rate of 30% (http://www.business.nsw.gov.au/aboutnsw/climate/A14_corp_tax_rates.htm). If your company pays for the expenses incurred by your husband in performing company business then this is a legitimate business expense incurred by the company and will be shown on your company's tax return. Only if the company pays your husband a wage for services rendered, or you receive a directors fee or some other form of payment from the company will this need to be reported in your personal tax return. It is important to keep in mind that any income received by your company minus expenses is your company's profit, not yours. You control the company, but you your selves are not the company. People use the corporate structure for this very thing. As an individual you earn an income, the government taxes it you you get what is left. If you form a company, your company earns an income, can use what ever it needs to to perform its business, then gets taxed on what ever is left at the corporate tax rate. The benefit for the owners/directors of the company is they can choose how much they get paid by the company, and therefore what their individual tax liability is. Without a company, a person just earns whatever their job gives them and has to be taxed at the individual rate for all of it. I hope that makes some sense. It is getting near to tax time, it would be worth speaking to your accountant for specifics on tax rates and how to maximise your income by legitimately proportioning your incomes between you. For example, an individual can earn up to $30,000 and pay only $0.15 in tax for the portion of the amount between $6,001 and $30,000. Similarly, if you earn more than $30,000 only the portion of your wage between $30,001 and $75,000 is taxed at $0.30 in the dollar. Thus you would have to be earning more than $75,000 for it to be worth while setting up a company to help minimise your tax purely on the grounds of income tax. A company doesn't get a tax free threshold like an individual does, so a company earning $75,000 pays more in tax than an individual does. Hi Anne Marie, yes I get you. While I am neither an accountant or corporate lawyer, and thus it would be well worth speaking to one for more specific advice, from what I gather the income of the company you register would need to be kept completely separate from any income you may receive from the company for your own use. If you form a company it is a completely independent legal entity, thus you can’t just help your self to its money, even if you were the one who registered the company. Thus there is a very clear distinction about how income from the company is taxed. Any and all revenue received by your company belongs to your company and thus is taxed at the corporate tax rate which in Australia is currently a flat rate of 30% (http://www.business.nsw.gov.au/aboutnsw/climate/A14_corp_tax_rates.htm).

If your company pays for the expenses incurred by your husband in performing company business then this is a legitimate business expense incurred by the company and will be shown on your company’s tax return.

Only if the company pays your husband a wage for services rendered, or you receive a directors fee or some other form of payment from the company will this need to be reported in your personal tax return.

It is important to keep in mind that any income received by your company minus expenses is your company’s profit, not yours. You control the company, but you your selves are not the company.

People use the corporate structure for this very thing. As an individual you earn an income, the government taxes it you you get what is left. If you form a company, your company earns an income, can use what ever it needs to to perform its business, then gets taxed on what ever is left at the corporate tax rate.

The benefit for the owners/directors of the company is they can choose how much they get paid by the company, and therefore what their individual tax liability is. Without a company, a person just earns whatever their job gives them and has to be taxed at the individual rate for all of it.

I hope that makes some sense. It is getting near to tax time, it would be worth speaking to your accountant for specifics on tax rates and how to maximise your income by legitimately proportioning your incomes between you. For example, an individual can earn up to $30,000 and pay only $0.15 in tax for the portion of the amount between $6,001 and $30,000. Similarly, if you earn more than $30,000 only the portion of your wage between $30,001 and $75,000 is taxed at $0.30 in the dollar. Thus you would have to be earning more than $75,000 for it to be worth while setting up a company to help minimise your tax purely on the grounds of income tax. A company doesn’t get a tax free threshold like an individual does, so a company earning $75,000 pays more in tax than an individual does.

]]> Comment on Starting a Company by Anne Marie Curle http://www.haydnallbutt.com.au/2008/03/28/7/#comment-17 Anne Marie Curle Wed, 07 May 2008 06:22:55 +0000 http://www.haydnallbutt.com.au/2008/03/28/7/#comment-17 Thanks for the insight into the ASIC site, I am contemplating starting a company (upgrading from a Family Partnership) but the one thing I am a bit confused about is Tax. My husband will be the director and operator, looks like I will be the secretary but the question I have is, come tax time, how do we determine my husbands & my "income" for personal tax returns, would this just be based on the profit from the company. He won't be paid a wage as such it will still continue that he gets paid by the company he does work for, pays out money (petrol, tolls etc - he is a courier) from this income and then whatever is left over I assume is profit, which would be classed as his (and my) income ??? Hope this makes sense, I want clarification before I go further so if someone has some advice that would be good Thanks for the insight into the ASIC site, I am contemplating starting a company (upgrading from a Family Partnership) but the one thing I am a bit confused about is Tax. My husband will be the director and operator, looks like I will be the secretary but the question I have is, come tax time, how do we determine my husbands & my “income” for personal tax returns, would this just be based on the profit from the company. He won’t be paid a wage as such it will still continue that he gets paid by the company he does work for, pays out money (petrol, tolls etc - he is a courier) from this income and then whatever is left over I assume is profit, which would be classed as his (and my) income ??? Hope this makes sense, I want clarification before I go further so if someone has some advice that would be good

]]> Comment on Blog open for Business by Gregory Brine http://www.haydnallbutt.com.au/2008/03/27/blog-open-for-business/#comment-15 Gregory Brine Fri, 04 Apr 2008 11:01:46 +0000 http://www.haydnallbutt.com.au/2008/03/27/blog-open-for-business/#comment-15 Hey Haydn, Thanks for that. Lots to do, like my own template. The gallery I used the NextGen plugin: http://alexrabe.boelinger.com/wordpress-plugins/nextgen-gallery/ Recommend the examples page he has for implementing it. Greg P.S. Nice back linking strategy Hey Haydn,

Thanks for that. Lots to do, like my own template. The gallery I used the NextGen plugin:

http://alexrabe.boelinger.com/wordpress-plugins/nextgen-gallery/

Recommend the examples page he has for implementing it.

Greg

P.S. Nice back linking strategy

]]> Comment on Starting a Company by FastLife http://www.haydnallbutt.com.au/2008/03/28/7/#comment-14 FastLife Mon, 31 Mar 2008 07:48:57 +0000 http://www.haydnallbutt.com.au/2008/03/28/7/#comment-14 Thanks Brad. Yes I was lucky on the afternoon I went in. There was no one ahead of me so I was called straight up. Gave them my form, handed over my dollars and they gave me my certificate of registration. All done in about 10 minutes. Going in in person was definitely much easier than posting the application! Thanks Brad. Yes I was lucky on the afternoon I went in. There was no one ahead of me so I was called straight up. Gave them my form, handed over my dollars and they gave me my certificate of registration. All done in about 10 minutes. Going in in person was definitely much easier than posting the application!

]]> Comment on Starting a Company by Brad http://www.haydnallbutt.com.au/2008/03/28/7/#comment-13 Brad Mon, 31 Mar 2008 07:13:18 +0000 http://www.haydnallbutt.com.au/2008/03/28/7/#comment-13 Nice summary of the ASIC site! I'm currently in the process of registering my second Company and paying CASH at the ASIC office is definitely the quickest way. (I say quick, however I recall a 1.5 hour wait in the line with 3 other people! At least it avoids dealing with Australia Post delays...) Just remember to send your annual tax statements to the ATO (even if its a Nil balance) thus avoiding further dealings with government departments! Nice summary of the ASIC site!
I’m currently in the process of registering my second Company and paying CASH at the ASIC office is definitely the quickest way. (I say quick, however I recall a 1.5 hour wait in the line with 3 other people! At least it avoids dealing with Australia Post delays…)
Just remember to send your annual tax statements to the ATO (even if its a Nil balance) thus avoiding further dealings with government departments!

]]> Comment on About this Blog by FastLife http://www.haydnallbutt.com.au/about/#comment-12 FastLife Sun, 30 Mar 2008 21:37:04 +0000 http://www.haydnallbutt.com.au/about/#comment-12 Hi Jarrad. No I hadn't seen the Max Whisson designs, I like the wind condenser. Those would be brilliant in high humidity places, I would say like Sydney, but Sydney is actually a bit sheltered and doesn't get that much wind. The solar desal ideas are good but need too much surface area. I am trying to keep a desal unit to not much more than ~35m2 land surface area. Hi Jarrad. No I hadn’t seen the Max Whisson designs, I like the wind condenser. Those would be brilliant in high humidity places, I would say like Sydney, but Sydney is actually a bit sheltered and doesn’t get that much wind. The solar desal ideas are good but need too much surface area. I am trying to keep a desal unit to not much more than ~35m2 land surface area.

]]> Comment on About this Blog by Jarrad http://www.haydnallbutt.com.au/about/#comment-11 Jarrad Fri, 28 Mar 2008 23:36:46 +0000 http://www.haydnallbutt.com.au/about/#comment-11 I like your ideas. Particularly the concept of zero growth. For any sustainability solution to work, it must involve zero population growth. You can't grow for ever. Also for your AEReS project, have you considered something like the "Whisson Windmill" ?. It produces water from wind. By condensing water from the air. The designer, Max Whisson, also has designs for solar desalination. Some links are shown below: http://peswiki.com/index.php/Directory:Max_Whisson%27s_Gust_Water_Trap_Apparatus http://www.theaustralian.news.com.au/story/0,20867,21123007-12272,00.html http://www.abc.net.au/austory/content/2007/s1930187.htm http://www.maxwaterdesal.com/introduction.htm http://www.zulenet.com/electriceco/atmospheric_water_generators.html I like your ideas. Particularly the concept of zero growth. For any sustainability solution to work, it must involve zero population growth. You can’t grow for ever.

Also for your AEReS project, have you considered something like the “Whisson Windmill” ?. It produces water from wind. By condensing water from the air. The designer, Max Whisson, also has designs for solar desalination.

Some links are shown below:
http://peswiki.com/index.php/Directory:Max_Whisson%27s_Gust_Water_Trap_Apparatus
http://www.theaustralian.news.com.au/story/0,20867,21123007-12272,00.html
http://www.abc.net.au/austory/content/2007/s1930187.htm
http://www.maxwaterdesal.com/introduction.htm
http://www.zulenet.com/electriceco/atmospheric_water_generators.html

]]> Comment on Ziggurat by Rohsaan McInnes http://www.haydnallbutt.com.au/ziggurat/#comment-9 Rohsaan McInnes Thu, 27 Mar 2008 07:11:19 +0000 http://www.haydnallbutt.com.au/ziggurat/#comment-9 Hi, I just thought I'd write a comment to fill up a bit of space for ya! Hi, I just thought I’d write a comment to fill up a bit of space for ya!

]]> Comment on About this Blog by Rohsaan McInnes http://www.haydnallbutt.com.au/about/#comment-8 Rohsaan McInnes Thu, 27 Mar 2008 07:05:22 +0000 http://www.haydnallbutt.com.au/about/#comment-8 I like people with vision. My plan so far is as follows: Step 1 - Write book. Step 2 - Get lots of money. After reading your plan, I am a little embarrassed by my plan's lack of depth. I will be reviewing it in due course. :-) I like people with vision.
My plan so far is as follows:

Step 1 - Write book.
Step 2 - Get lots of money.

After reading your plan, I am a little embarrassed by my plan’s lack of depth. I will be reviewing it in due course. :-)

]]> Comment on About this Blog by Nigel Goodman http://www.haydnallbutt.com.au/about/#comment-7 Nigel Goodman Thu, 27 Mar 2008 03:27:02 +0000 http://www.haydnallbutt.com.au/about/#comment-7 Hi Haydn, COMMENDABLE effort! Good luck with Aeres- have you got any thoughts about how to reverse the process? Will you get water from the sea? How do you get the soil ready? Good luck, Nigel Hi Haydn,
COMMENDABLE effort!
Good luck with Aeres- have you got any thoughts about how to reverse the process? Will you get water from the sea? How do you get the soil ready?
Good luck,
Nigel

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