Friday, 20 October 2017

How to get the money out of your company tax free!




Is your money tied up in your company and you don't know how to get at it out Tax Free?

Too many business owners have their money tied up in their company and they don't know how to get it out TAX FREE. I am amazed when I look at the financial accounts prepared by so-called "smart accountants" and to my horror I see that the company has large imputation credits from past tax paid, a credit loan account where the business owner has actually put capital into the company over the years and is owed it back, AND to top it off, the business owner is getting paid a wage with group tax deducted!

Crazy. Here are three steps to get that money out tax free that is yours:

  1. Stop paying yourself a wage. Make it a loan repayment of monies that are owed to you anyway. It can be the same amount you are getting paid as a net wage.
  2. If your company doesn't owe you money, then simply convert your wage into a fully franked dividend if your company has unused imputation credits in its Franking Account. You still get paid the same weekly amount BUT you will also get a tax credit of 30% attached to it. Fantastic!
  3. Stop paying any other ancillary expenses that you were paying on your wage such as WorkCover, Super and Group Tax.

These are 3 simple steps you can implement TODAY and get your money out of your company TAX FREE.

Call me or email me and I will show you how.

1 comment:

  1. I read your blog and i found it very useful. The three steps you share with us to make money out tax free is very informative. Thanks for sharing this. accounting and tax services in Brisbane

    ReplyDelete

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