I saw your video! Plus, you missed a parcel. The new wave of “Flubot” SMS messages hitting Australians.

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If you have recently started receiving text messages from unknown mobile numbers, saying that they have found a video of you online, or that you have missed a parcel, then you are certainly not alone. There has been a new wave of what is known as “Flubot” malware messages being sent to Australian mobile numbers.

I started receiving 1 or 2 of these messages a day and after a bit of investigation, I found that I am certainly not alone. There seems to be a massive distribution to this attack with many people that I have spoken to also receiving the messages. In most instances the message states ‘they’ have discovered a video on the internet of the recipient, or that you missed a parcel. These messages always have a link which the message instructs you to click on.

The link that they are trying to get you to visit contains malware. If you tap/click on the link then it will attempt to infect your device with malware. This malware will usually attempt to access your contact list (for more recipients). They will also try to access sensitive data such as passwords to sites, including banking sites/apps. Some reports say that iPhones appear to be quite well protected and Android phones that have not had ‘sideload’ app stores added appear fairly safe too. However, these attacks are often updated and improved so the best defence is vigilance and not clicking on a link unless you are certain it is safe.

Voicemails too??

I was recently contacted by a friend that is also receiving voicemails advising of a missing parcel. He was then directed to visit a site for collection information. A bit of research confirms that this is a new prong in the recent “Flubot” attack.

What to do if you are infected?

If you believe that your device has been infected then it is best to seek professional IT help. The first step is to attempt to remove the virus using anti malware software. Then, install software to protect from future attacks and then as a precaution, start resetting passwords to your sites and services, but only once the device is clean. If any doubt on whether the malware remains, then a full factory reset may be the best course of action. Solvise can offer advice and services should you require them.

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Superannuation stapling – what does it mean for employees and employers?

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What’s a stapled super fund?

A stapled super fund is an existing super account that is linked or ‘stapled’ to an employee. This stapled super fund follows the employee as they change jobs.

What’s changing from 1st November 2021?

From 1st November 21 there are changes to superannuation requirements for new employees. If your new employee is eligible to choose a super fund but doesn’t, you may need to request their ‘stapled super fund’ details from the Australian Taxation Office (ATO).

This change should streamline the superannuation process for both employee and employer, by preventing new super accounts from being opened for employees each time they have a job with a new employer.

How do I request stapled super fund details?

You can log in to ATO Online Services to request stapled super fund details. It can also be done on your behalf by a registered tax practitioner.

After you’ve submitted your employee’s tax file number declaration and/or Single Touch Payroll event, you will be able to request that employee’s stapled super fund.

The below information will be required to request a stapled super fund for an employee:

  • Employee tax file number
  • Employee full name
  • Employee date of birth
  • Employee address (if TFN could not be provided)

How will I be notified?

If you are using ATO Online Services, you’ll receive the response on-screen. If the request was made on your behalf by an authorised representative, you’ll be notified of the outcome of that request. The employee will also be notified of the stapled super fund request and the details provided.

Our team at Solvise are registered BAS Agents and can provide assistance with superannuation lodgement, superannuation guarantee charge statements, reporting and stapled super requests. If you would like a helping hand with this side of your business, don’t hesitate to get in touch with us.

  • Advice given is general in nature – always speak to a registered tax practitioner about your specific circumstances.

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Who is eligible for cash business grants during the South Australian lockdown?

If your business suffers a significant loss of income as a result of South Australia’s seven day lockdown, you may be eligible for financial assistance.

Today the Marshall Liberal Government announced that emergency cash grant payments would be available to eligible businesses and sole traders.

The South Australian grants apply to businesses with a payroll of less than $10 million, with an annual turnover of $75,000 or more (in 20/21 or 19/20) and whose turnover is reduced by at least 30 percent over the 7 day lockdown period starting from 20th July 2021. There are two types of cash grants available: $3,000 cash grants for eligible small to medium sized businesses who employ staff, and $1,000 cash grants for eligible non-employing businesses.

To be eligible for the one-off $3000 cash grant a business must:

  • be located within South Australia
  • have an annual turnover of $75,000 or more in 20/21 or 19/20
  • be registered for GST
  • employ people in South Australia
  • have a payroll of less than $10 million in 19/20 (Australia wide)
  • hold a valid ABN
  • have experienced at least a 30% reduction in turnover due to restricted trading. Turnover is compared to the week prior.

To be eligible for the one-off $1000 cash grant, a non employing business must meet all of the criteria above, excluding the requirement to employ people.

Payments for businesses/sole traders deemed eligible will be made in arrears and the applications are expected to open within the next fortnight.

To register your interest in the Business Support Grant click here to visit the SA Treasury website.

Disclaimer: information and/or advice posted on our website is general in nature. It is highly recommended that you contact your business advisor, accountant or bookkeeper to discuss your specific circumstances and eligibility.

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What does “fully tax deductible” really mean?

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We are coming up to the end of financial year and so as with every other year, we will start to see businesses advertising that you need to buy their product before June 30 so that you can write it off and save yourself some tax dollars. They will use phrases such as “Fully Tax Deductible” and “100% Tax Deduction” to make it sound like you would be crazy not to buy up big.

So what does that really mean?

By using those phrases they are trying to hint or suggest that you will get most, if not all of that money back at tax time. Basically, they are hoping you think that it is better to purchase that shiny new car than just give that money away to the ATO at tax time. I’ve met many people who believed this was the case and others that weren’t certain about how it affected their tax position so let dispell the myths.

For starters the government is not going to fund your end of year spending spree. For 2017/2018 most Australian businesses (those with a turnover of less than $25M) will be taxed at a company tax rate of 27.5%, so I will base my examples on that rate. The easiest way to think of it is that for every (ex GST) dollar your business earns as income, it will need to give the ATO 27.5% of that revenue and for every ex GST dollar it spends, it will reduce its income tax by 27.5% of that purchase. The other 72.5% is either retained or spent by the business itself.

So if you spend $10,000 (ex GST) on business expenses you will get a $2,750 credit on your income tax bill, meaning that you have still spent $7,250 of your businesses own money. Every time you spend money you can do this sum in your head to see what the actual cost to your business is.

Here is a good, simplified example of income and spend and the effect on your income tax;

DescriptionTotalLess GSTNet27.5% TaxNet After Tax
Income$110,000$10,000$100,000$27,500$72,500
Less Expense$44,000$4,000$40,000$11,000$29,000
Total$66,000$6,000$60,000$16,500$43,500

If we assume that the above table was a profit and loss for the month of June in your business, you could easily think that you have made $66,000 in profit whereas in reality you have made $43,500 in profit because you need to pass on $6,000 in GST and you will pay $16,500 in Income Tax for that project at tax time.

So if you believed that spending $40,000 at end of year was going to reduce your tax bill by that exact amount then you can see here that you have only reduced your tax bill by $11,000 and the business still had to fund $29,000 of that spend from its after tax revenues.

When an advertisement says “Fully Tax Deductible” they really mean that you will be able to claim the full amount to reduce your net taxable income, it will not reduce your tax bill by the full amount spent.

The moral of the story is that if you don’t need to make that purchase in the course of operating your business, or you are not willing to fund the remaining 72.5% of the purchase, then don’t spend the money and retain the funds in your bank account.

This article is designed to offer insight into how income tax works. It is not specific advice and should not be relied upon solely to make business or financial decisions. If you are unsure about Income Tax calculations then please contact your accountant for further advice that will be specific to your situation.

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House plants can make your work space healthier and happier

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You may not be aware that your office space could be damaging to your health. Studies have shown that indoor spaces can often contain volatile organic compounds (VOCs) such as acetone, benzene and formaldehyde. These types of compounds can be found in paint, furniture, printers, cleaning supplies and even dry cleaned clothes.

What are the risks?

The health effects caused by VOCs can vary depending on the compound in question, toxicity levels and length of exposure. Some examples of short-term exposure effects include eye and respiratory tract irritation, headaches and dizziness.  Long-term exposure to VOCs can have severe effects including liver and kidney damage and even damage to the central nervous system and some forms of cancer.

In addition to VOCs, indoor work spaces also run the risk of a build-up of carbon dioxide. This can lead to that all too familiar ‘stuffy’ feeling which can cause lack of concentration and drowsiness and in turn, a decrease in production/efficiency.

What can you do?

One way to remove VOCs from indoor spaces is to implement an air filtration system but these can be costly to install and run. Luckily a much cheaper and greener solution is available in the way of common house plants. Using house plants to remove VOCs can prevent some of the harmful effects of dangerous compounds such as dizziness, allergies and asthma.

office plants

Researchers at the American Chemical Society have tested 5 different species of house plants for their effectiveness at removing VOCs from the atmosphere. The plants were exposed to 8 common VOCs for several hours in a sealed chamber. Results showed that all 5 plants were capable of absorbing acetone. The dracaena shrub absorbed an impressive 94 per cent of acetone from the air. The best performing plant overall was the bromeliad which was able to absorb 80 per cent of 6 out of the 8 VOCs tested. A study by UTS group also found that house plants, particularly palms, are effective at reducing carbon dioxide levels.

A healthier and happier workplace

Adding house plants to an office/business place to purify the air is a green solution to its core. Eliminating the need for expensive air filtration systems also translates to lower energy costs and usage. Psychologists from Exeter University have also found that employees can be 15 per cent more productive when house plants are introduced to a ‘lean’ office space so the benefits are plentiful.

For more information on the study by the American Chemical Society, see the video below.

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