This article provides an overview on how you can use the Tax Reconciliation Report generated from Simple Invest 360, in preparing your Annual Trust Tax Return.
Refer to Tax Labels for Trusts, on how to attach and change tax labels to accounts processed for the current financial year.
Note
Lodging Tax Returns electronically is not currently available in Simple Invest 360. The function has been added to the Wishlist and is a top priority of the Product Team.
Items 5 to 15 – Income excluding foreign Income
Applies to Transactions posted to Income accounts
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
5C |
Gross payments where ABN not quoted - Primary |
Tax label is Gross Payments where ABN not Quoted & secondary label is Primary |
5D |
Gross payments where ABN not quoted – Non-Primary |
Tax label is Gross Payments where ABN not Quoted, plus amounts from tax adjustments to label 6T |
5B |
Gross payments subject to foreign resident withholding (excluding capital gains) |
Tax label is Gross Payments subject to foreign resident withholding, plus amounts from tax adjustments to label 6U |
5E |
Assessable government industry payments - Primary |
Tax label is Assessable government industry payments & secondary label is Primary |
5F |
Assessable government industry payments – Non-Primary |
Tax label is Assessable government industry payments |
5G |
Other business income - Primary |
Tax label is Other business income & secondary label is Primary |
5H |
Other business income - Non-Primary |
Tax label is Other business income |
Applies to Transactions posted to Expense accounts
Primary | ||
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
5C |
Contractor, sub-contractor and commission expenses - Primary |
Tax label is contractor, sub-contractor and commission expenses & secondary label is Primary |
5D |
Superannuation expenses - Primary |
Tax label is Superannuation Expenses & secondary label is primary |
5E |
Cost of sales - Primary |
Tax label is Cost of sales & secondary label is Primary |
5F |
Bad debts - Primary |
Tax label is Bad debts & secondary label is Primary |
5G |
Lease expenses - Primary |
Tax label is lease expenses & secondary label is Primary |
5H |
Rent expenses - Primary |
Tax label set to one of the "Rental Expenses - " & secondary label is Business & Primary |
5I |
Total interest expenses - Primary |
Tax label is Interest expenses & secondary label is Business & Primary |
5J |
Total royalty expenses - Primary |
Tax label is Royalty expenses & secondary label is Primary |
5K |
Depreciation expenses - Primary |
Tax label is Depreciation Expenses & secondary label is Business & Primary |
5L |
Motor vehicle expenses - Primary |
Tax label is Motor Vehicle Expenses & secondary label is Primary |
5M |
Repairs and maintenance - Primary |
Tax label is Repairs and maintenance & secondary label is Primary |
5N |
All other expenses – Primary |
Tax label is Other Expenses, Staff expenses, office charges & secondary label is Primary. Also applied when tax label is Other Deductions and secondary label is Business and Primary. |
Non-Primary | ||
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
5P |
Foreign resident withholding expenses (excluding capital gains) – Non-Primary |
Tax label is Foreign Resident withholding expenses |
5C |
Contractor, sub-contractor and commission expenses - Non-Primary |
Tax label is contractor, sub-contractor and commission expenses |
5D |
Superannuation expenses – Non-Primary |
Tax label is Superannuation Expenses |
5E |
Cost of sales – Non-Primary |
Tax label is Cost of sales |
5F |
Bad debts – Non-Primary |
Tax label is Bad debts |
5G |
Lease expenses – Non-Primary |
Tax label is lease expenses |
5H |
Rent expenses – Non-Primary |
Tax label set to one of the "Rental Expenses - " & secondary label set to Business |
5I |
Total interest expenses – Non-Primary |
Tax label is Interest expenses & secondary label is Business |
5J |
Total royalty expenses – Non-Primary |
Tax label is Royalty expenses |
5K |
Depreciation expenses – Non-Primary |
Tax label is Depreciation Expenses & secondary label is Business |
5L |
Motor vehicle expenses – Non-Primary |
Tax label is Motor Vehicle Expenses |
5M |
Repairs and maintenance – Non-Primary |
Tax label is Repairs and maintenance |
5N |
All other expenses – Non-Primary |
Tax label set to Other Expenses, Staff expenses, office charge Also applied when tax label is Other Deductions and secondary label is Business. |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
6T |
Tax withheld where ABN not quoted |
Manual adjustments under Add section when Calculating Taxable Income. |
6U |
Credit for tax withheld – foreign resident withholding (excluding capital gains) |
Manual adjustments under Add section when Calculating Taxable Income. |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
7W |
Credit for interest on early payments – amount of interest |
Manual adjustments under Add section when Calculating Taxable Income. |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
8B |
Distribution from partnerships, |
Non-Primary Production Income amounts from 24000 - Private dividends and other excessive non-arms length income, more details |
8R |
Share of net income from trusts, less capital gains, foreign income and franked distributions |
Non-Primary Production Income amounts in 23800 - Distributions Received, more details |
8T |
Deductions relating to amounts shown at B and R |
Sum of transactions to Expense accounts where tax label is Deductions relating to Australian investment income not Quoted & secondary label is Deductions relating to Partnership and Trust |
8F |
Franked distributions from trusts |
Franked amounts including franking credits from 23800 - Distributions Received, more details |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
9F | Gross rent |
Sum of transactions to 28000 - Property Income. Income accounts with tax label "Other Rental Income." |
9G | Interest deductions | Sum of transactions to Expense accounts where tax label is Rental Expenses - Interest on Loans & where the secondary label is not Business |
9X | Capital works deductions |
Sum of transactions to Expense accounts where tax label is "Capital Works Expenditure" plus capital works deductions SMSF tax adjustment type amounts. Where the tax label is “Rental Expenses - Capital Allowance” will also go to label 9X. |
9H | Other rental deductions |
Sum of transactions to Expense accounts where the tax label set to one of the "Rental Expenses - " except the Rental Expenses - Interest on Loans. No secondary label should be applied. Expense accounts with tax label "Depreciation expenses" and no Secondary label applied will also go to label 9H. Where the tax label is “Rental Expenses - Body corporate fees” and no Secondary label applied will also go to label 9H. |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
10Q | Forestry managed investment scheme income |
Sum of transactions to Income accounts where the tax label is Forestry Managed Investment Scheme Income Includes manual adjustments under Add section when Calculating Taxable Income. |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
11J | Gross interest – including Australian Government loan interest |
Sum of transactions to 25000 - Interest Received |
11I | TFN amounts withheld from gross interest |
Sum of transactions to 25000 - Interest Received |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
12K | Unfranked amount | Unfranked amounts in 23900 - Dividends Received and 24000 - Private dividends and other excessive non-arms length income, more details |
12L | Franked amount |
Franked amounts in 23900 - Dividends Received and 24000 - Private dividends and other excessive non-arms length income, more details |
12M | Franking credit |
Franking credit amounts in 23900 - Dividends Received and 24000 - Private dividends and other excessive non-arms length income, more details |
12N | TFN amounts withheld from dividends |
TFN amounts withheld in 23900 - Dividends Received and 24000 - Private dividends and other excessive non-arms length income, more details |
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
14 | Exempt Income | Sum of transactions to Income accounts where the tax label is Other non-assessable Income |
14O | Other Australian Income | Sum of transactions to income accounts where the tax label is Other Australian Income & secondary label is not "Non-assessable" |
Items 16 to 21 – Deductions
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
16P | Deductions relating to Australian investment income | Sum of transactions to Expense accounts where the tax label is Deductions relating to Australian investment income. |
16R | Deductions relating to Franked distributions |
LIC deduction amounts in 23900 - Dividends Received and 24000 - Private dividends and other excessive non-arms length income, more details Plus sum of transactions to Expense accounts with tax label Deductions relating to Australian investment income & secondary label set to Deductions relating to Franked Dividends.
Expense accounts where the tax label is "Other deductions" and the secondary label is "Deduction relating to franked dividends" |
17D | Forestry managed investment scheme deduction |
Sum of transactions to Expense accounts where the tax label is Forestry managed investment scheme deductions Includes manual adjustments under Less section when Calculating Taxable Income. |
18Q | Other Deductions | Sum of transactions to Expense accounts where the tax label is Other Deductions or Amortisation Expenses & when the secondary label is not "Non-deductible", "Deduction relating to franked dividends", "Business" and "Primary". |
Items 22 to 28 – Foreign Income
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
21 | Capital gains |
Net capital gains calculation can be reconciled using the capital gains reconciliation report |
23B | Gross Foreign Income |
Sum of transactions to Income accounts where the tax label is Other non-assessable Income. Foreign Income amounts in the 23800 - Distributions Received, 23900 - Dividends Received, 24000 - Private dividends and other excessive non-arms length income, 27000 - Partnership Distributions Received, and 28000 - Property Income, more details labels |
23V | Net foreign Income |
Net Foreign Income in the 23800 - Distributions Received, 23900 - Dividends Received, 24000 - Private dividends and other excessive non-arms length income, 27000 - Partnership Distributions Received, and 28000 - Property Income, more details labels.
Also includes linked income and expense accounts of foreign properties (77300 and 77350) |
23Z | Foreign Income tax offset |
Foreign Income tax offset amounts in the 23800 - Distributions Received, 23900 - Dividends Received, 24000 - Private dividends and other excessive non-arms length income, 27000 - Partnership Distributions Received, and 28000 - Property Income, more details labels |
23D | Australian franking credits from NZ franking company |
Australian franking credits from NZ franking company amounts in the 23800 - Distributions Received, 23900 - Dividends Received, 24000 - Private dividends and other excessive non-arms length income, and 27000 - Partnership Distributions Received, more details labels |
28G | Landcare and Water Facility Tax Offset | Manual adjustments under Tax adjustment section when Calculating Taxable Income. |
Items 33 to 36 - Key financial information
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
33F | All Current Assets | Sum of transactions to Asset and Investment accounts with tax label set to "Current Asset" |
34G | Total Assets | Sum of transactions to Asset and Investment accounts with tax label set to "Current Asset" + "Non-current Assets" |
35I | All Current Liabilities | Sum of transactions to Asset and Investment accounts with tax label set to "Current Liabilities" |
36J | Total Liabilities | Sum of transactions to Asset and Investment account with tax label set to "Current Liabilities" + "Non-current liabilities" |
Items 37 to 56 - Business and professional items
Tax Return Label |
Item |
Simple Invest 360 Tax Labels |
52F | National Rental Affordability Tax Offset entitlement | Manual adjustments under Tax Adjustment section when Calculating Taxable Income. |
53G | Other refundable tax offsets | Manual adjustments under Tax Adjustment section when Calculating Taxable Income. |
54H | Early-stage Venture Capital Limited Partnership Tax Offset | Manual adjustments under Tax Adjustment section when Calculating Taxable Income. |
54I | Early Stage Investor Tax Offset | Manual adjustments under Tax Adjustment section when Calculating Taxable Income. |