Accountstream Tax & Business Advisors

01/11/2026

Your business can be profitable and still run out of cash.

Profit and cash flow measure different things:

📊 Profit is the amount remaining after business expenses are deducted from revenue.

💵 Cash flow is the actual movement of money into and out of your bank accounts.

The difference matters because:

- a credit sale may generate profit before the customer pays;
- purchasing stock or equipment can reduce cash immediately;
- loan principal repayments reduce cash but not accounting profit;
- borrowed money increases cash but does not create profit; and
- tax payments, dividends and owner drawings can reduce cash reserves.

To strengthen your cash position:

1️⃣ Maintain a three-to-six-month cash-flow forecast.
2️⃣ Build an appropriate emergency cash buffer.
3️⃣ Prepare for delayed payments and revenue shocks.
4️⃣ Use realistic sales forecasts.
5️⃣ Invoice promptly and follow up overdue accounts.
6️⃣ Budget expenditure and monitor actual spending.

Profit shows whether the business is commercially sustainable. Cash flow determines whether it can pay its obligations and fund future growth.

Accountstream Tax & Business Advisors can assist with cash-flow forecasting, budgeting, profitability reviews and business planning.

Contact our office if you would like greater clarity and control over your business finances.

A business needs to generate profit to remain commercially sustainable—but profit alone does not guarantee that it will have enough cash to pay its bills. Understanding the difference between profit and cash flow is essential. A business can report a healthy accounting profit while struggling to p...

25/10/2026

Foreign resident CGT rules changed from for CGT events occurring on or after 1 October 2026.

The reforms broaden the assets treated as taxable Australian real property, introduce a 365-day principal asset testing period and require ATO notification for certain transactions with an aggregated transaction value at $50 million or more.

The changes may affect foreign investors, Australian land-rich entities and purchasers acquiring property, shares or other membership interests from foreign residents.

Purchasers must also undertake appropriate due diligence and cannot simply rely on a vendor declaration where it could reasonably be concluded that the declaration is false.

If you are planning a transaction involving a foreign resident or an entity holding Australian property, obtain advice before signing or settlement.

General information only.

Australia’s foreign resident capital gains tax rules have been expanded, increasing the tax and compliance obligations associated with Australian property and land-rich entities. The changes apply to CGT events occurring on or after 1 October 2026 and focus on three main areas: broadening the mean...

18/10/2026

**Strong sales do not always mean a financially healthy business.**

A business may be growing its revenue while costs rise faster, cash reserves decline or debt repayments become increasingly difficult to manage.

Five important financial metrics every small business should monitor are:

1️⃣ **Revenue growth** – Is income increasing, declining or affected by seasonal trends?

2️⃣ **Operating expenses** – Are wages, rent, suppliers and overheads increasing faster than revenue?

3️⃣ **Cash flow and cash runway** – Does the business have enough available cash to meet payroll, suppliers, tax and loan commitments?

4️⃣ **Debt and serviceability** – Can the business comfortably meet its principal and interest repayments?

5️⃣ **Gross and net profit margins** – How much of each sales dollar is actually retained after direct costs and overheads?

Xero and MYOB can provide access to these figures, but the real value comes from interpreting the results and taking action early.

Regular management reporting, cash-flow forecasting and margin analysis can help identify warning signs before they develop into larger problems.

Accountstream Tax & Business Advisors can help you understand the numbers behind your business and use them to make more informed decisions.

Contact our office if you would like to discuss management reporting, cash-flow forecasting or business planning.

Do you know how to track the financial health of your business? We highlight 5 key metrics you should be tracking and managing to keep your finances on course.

11/10/2026

Living overseas does not automatically end your Australian tax residency.

The ATO considers more than the number of days spent overseas, including your family, home, employment, financial ties, living arrangements and return visits to Australia.

Recent court decisions confirm there is no automatic two-year rule. Even a lengthy overseas stay may not establish non-residency if you retain substantial connections with Australia.

If you are moving overseas or returning to Australia, obtain tax advice based on your circumstances.

General information only.

Determining whether someone is an Australian resident for tax purposes involves more than counting the days spent in Australia. The ATO’s Taxation Ruling TR 2023/1 explains the current residency tests and reflects important court decisions, including Harding, Pike, Addy and the more recent Quy lit...

05/10/2026

If you’re only looking back at historic numbers, you limit the insights you’ll gain. Forecasting highlights your future threats and opportunities – and creates a proactive strategy for the future of your business.

27/09/2026

Cryptoassets are not exempt from tax, so it’s important to know the basics: namely, how they are taxed, and what (if anything) you need to report to the tax authorities.

13/09/2026

Eligible Australian companies can carry 2026–27 tax losses back against tax paid in the previous two years. Learn about eligibility, refunds and franking-account risks.

Australian companies experiencing a downturn or investing in business growth may now be able to convert current-year tax losses into an immediate cash-flow benefit. For income years commencing on or after 1 July 2026, eligible corporate tax entities can choose to carry back a current-year tax loss a...

16/08/2026

Division 296 tax is now in effect from 1 July 2026 — and SMSF members with large super balances should start planning now.

The new rules reduce superannuation tax concessions for individuals with higher Total Superannuation Balances (TSB).

Key points include:

• $3 million LSBT — an additional 15% tax may apply to the relevant proportion of taxable superannuation earnings attributable to balances above this threshold.
• $10 million VLSBT — a further 10% tax may apply to the relevant proportion attributable to balances above $10 million.
• Division 296 is assessed to the individual member, based on their TSB across all superannuation interests — not simply the total value of the SMSF.
• The legislated rules broadly apply to realised earnings rather than unrealised capital gains.
• For the first year, 2026–27, the relevant TSB test is based on the member's balance at 30 June 2027.
• SMSFs may also have access to an important transitional CGT cost-base adjustment election for assets held at 30 June 2026.

The new Division 296 tax applies from the 2026–27 income year and reduces the concessional tax treatment of superannuation earnings for individuals with large total superannuation balances. Division 296 applies to the individual member, rather than to the SMSF as a whole. Accordingly, each member....

02/08/2026

The ATO has released its Decision Impact Statement following the High Court’s decision in Commissioner of Taxation v Bendel [2026] HCA 18.

The key point is that where a private company beneficiary simply leaves an unpaid present entitlement (UPE) outstanding and does nothing further, the ATO will not treat that inaction alone as the company making a loan to the trust under section 109D.

However, this is not a blanket exemption for all UPEs.

The legal form of each arrangement remains important. Division 7A may still apply where a UPE is converted, satisfied, replaced, or otherwise dealt with in a way that creates a loan or financial accommodation.

Private groups should review:

• trust distribution resolutions
• corporate beneficiary UPE balances
• trust deed provisions
• accounting and beneficiary ledgers
• existing Division 7A loan agreements
• prior-year positions and amendment opportunities

Existing complying Division 7A loans should not be automatically unwound, as they may represent separate legal arrangements with ongoing obligations.

We can review your current or historical UPE arrangements and advise how the Bendel decision may affect your Division 7A position.

Contact our office to discuss your circumstances.



General information only. Professional advice should be obtained before changing an existing arrangement.

The ATO has released its Decision Impact Statement following the High Court’s decision in Commissioner of Taxation v Bendel. The decision is relevant to private groups that use discretionary trusts and private companies as beneficiaries, particularly where trust income has been distributed to a co...

18/07/2026

From 1 July 2026, thousands more businesses—including accounting and professional services firms—are now regulated under Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) laws.