Prism Accounting

27/02/2024

Did you get an unexpected tax bill from the ATO for Division 293 tax, just when you thought you had everything sorted with your income tax return? You are not alone! With tax lodgment deadlines fast approaching, Division 293 assessments are beginning to roll out, catching many doctors off guard.

Elena Bytch of Prism Accounting explains everything you need to know about Division 293 Tax as a doctor.

Did you receive an unexpected additional tax bill from the ATO for Division 293 tax after you lodged your income tax return? You are not alone! Division 293 ...

04/02/2024

Are you about to start in private practice as a newly fellowed doctor or an experienced medical practitioner transitioning from the public hospital system to become an independent consultant?

Elena Bytch of Prism Accounting explains the essential steps you need to take when you start in private practice to effectively manage your finances and tax.

Are you about to start in private practice as a newly fellowed doctor or an experienced medical practitioner transitioning from the public hospital system to...

10/01/2024

Are you planning to set up your own Medical Practice soon? This article by Elena Bytch discusses key considerations for starting your practice from scratch.

Key considerations for starting a medical practice from scratch include: 1. Choosing the Optimal Business Structure; 2. Choosing the Practice Premises; 3. Lease or Buy; 4. Practice Fitout; 5. Financing Options; 6. Technology and IT Infrastructure; 7. Human Resources.

06/03/2023

How can Australian doctors pay less tax? With strict anti-avoidance tax rules applying to income derived from personal services, medical professionals with high income have to pay almost half of their earnings to the Tax Office.

Elena Bytch of Prism Accounting talks about some highly effective but perfectly legal tax strategies for doctors that provide tax minimisation opportunities in addition to other benefits.

How can Australian doctors pay less tax? With strict anti-avoidance tax rules applying to income derived from personal services, medical professionals with h...

16/11/2022

Can a medical practitioner who passed the PSI tests split their income from personal services through a company or trust?

As income you earn as a medical practitioner is derived from your personal knowledge, efforts and skills, it is classified as personal services income and is subject to PSI Rules. However, if you pass one of the PSI Tests, you are considered to be running a Personal Services Business and the restriction of the PSI Rules do not apply to you.

For many doctors in private practice, passing PSI Tests is not difficult. Does it mean they can use a company or a trust structure to split their personal services income to other persons or entities to pay less tax?

Can a medical practitioner who passed the PSI tests split their income from personal services through a company or trust?As income you earn as a medical prac...

17/10/2022

Sole Trader, Partnership, Company or Trust? What structure is best for your medical practice?
Like for any business, choosing a structure for medical practices, first of all, requires understanding of the fundamental differences, the advantages and disadvantages of each structure.
We have summarised the key features of the most common business structures used for structuring medical practices.

Structuring medical practices can be done in a variety of way. Depending on your specific needs, structures can range from a simple sole trader entity to complex groups involving combinations of different entity types.

15/07/2022

Thomas and Naaz Pty Ltd has lost its appeal against earlier NCAT decision that the medical practices were liable to pay close to $800,000 in Payroll Tax in respect of payment made to doctors practising under service agreements.

Thomas and Naaz Pty Ltd appeal was dismissed. The decision confirms that medical practices may be liable for payroll tax for payment to doctors practising under service agreements.

01/07/2022

30/06/2022

We have summarised key tax and super changes coming into effect from 1 July that are likely to impact your medical practice.

From 1 July 2022, several key tax and super changes that are likely to impact your medical practice will come into effect.