Navigate Your Company Tax With Tax App

Whether you are starting your small business or running a well-established company, there's no escaping from taxes. One thing that all business owners must be aware of is the ins and outs of company tax.

Having seasoned professionals by our side, Tax App provides expert guidance and support to businesses in navigating the complexities of company tax in Australia. 

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Company Tax Defined

Company tax, also sometimes known as corporate tax or business tax, is a tax imposed on the profits earned by a company or corporation.


Company tax, also called business or corporate tax, is a kind of tax imposed on small or large business entities operating in a company structure. This is the kind of tax set on the revenue generated by each company. In Australia, almost all businesses pay income tax.


A business structure which is a shape of a 'company,' i.e., a separate legal entity needs to submit its tax return each year and is accountable for paying company tax. In case you are a sole trader, your income tax will be paid the same way as an individual.



In layman terms, company tax is a percentage of a company's profits that must be paid to the government.


The following are the types of company forms most frequently encountered:

  • Proprietary Limited, or Pty Ltd

    This is by far the most common type of company. It can have no more than 50 non-employee shareholders. It is limited by shares, meaning it is incorporated with a share capital made up of shares taken by each initial member on incorporation. Members are liable only to the extent of any unpaid amounts on their shares. That is, their personal assets are not at risk in the event of the company being wound up.


    There are large proprietary companies and small proprietary companies. A proprietary company is judged to be large if it satisfies at least two of the following criteria: 


    ● Annual revenues of  $10 million or more

    ● Assets of $5 million or more

    ● 50 or more employees


  • Limited, or Ltd

    This is a public company which may or may not be listed on the Australian Stock Exchange. In both cases there is some ownership by the public without the restrictions placed on proprietary companies in regard to share offers.

All companies are subject to a federal tax rate of 30% on their taxable income, except for 'small or medium business' companies, which are subject to a reduced tax rate of 25%.

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For Companies Registered With Australia But Operating Outside The Country

If you're running a company registered in Australia but operating outside the country, you are still liable for company tax.



The Process Of Company Tax

Understanding the dynamics of company tax in Australia might be a little tricky; however, the underlying mechanism is relatively straightforward: businesses registered in Australia pay taxes to the government on their profits. Here's the breakdown of the process:

  • Registration with ATO

    As a business owner, the first step toward corporate tax is registering your company with the Australian Taxation Office (ATO). Using the official forms or help of a registered tax agent the Company needs to apply for a TFN and an ABN.

  • Determining Taxable Income

    Next comes finding the company's taxable income to figure out how much corporate tax the company is supposed to pay. This entails deducting expenses and permitted deductions from the business's overall revenue. Typical deductions include:

    ✔ Operating expenses (for instance, rent, salaries, utilities).

    ✔ Depreciation of assets.

    ✔ Interest on business loans.

    ✔ Research and development costs.


  • Applying the Tax Rate

    Once you get your taxable income, it is multiplied by the applicable company tax rate.

  • Paying the Tax

    Companies may have to pay taxes repeatedly during the year in the form of PAYG Instalment, which is usually lodged alongside the Business Activity Statement (BAS) at least every quarter. After the tax return is lodged, the ATO balances their tax payments against their real tax due at the end of the financial year. The company is refunded if they overpaid or have to make up the difference if underpaid.

  • Compliance and Reporting

    Businesses must keep up-to-date financial records and file yearly tax returns with the ATO. Company Tax Return forms the foundation for determining the company's tax liability and includes comprehensive information about the business's financial operations.

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Substituted accounting period (SAP)

ATO allows a substituted accounting period (SAP) if the company meets the set upon conditions. Contact us for more information.


How Tax App Helps?

We know how crucial it is to meet the deadlines for submitting tax documents to avoid penalties for late filing and the interest charged on late tax payments.


At Tax App, we prepare your company's accounts, company tax returns, and tax computations, certifying that you meet the ATO's requirements and deadlines. Having our expert accountants by your side, you get valuable advice on practical tax planning strategies that can help your business and help you save on taxes.


Additionally, our Australian tax firm offers accounting services at highly affordable pricing that suits your budget and business prerequisites.

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Tax App: Your Cost-Efficient Solution To Accounting And Taxation 

Managing finances can be challenging, especially for small businesses working day in and day out to keep operations running smoothly. At Tax App, we understand how you grapple with the prevailing financial demands of the market while adhering to Australian tax regulations simultaneously. Our packages include a range of accounting services, such as bookkeeping, financial statements, and tax returns, tailored to meet the specific requirements of your business. We offer you the best value for money when it comes to our services. Besides, we also offer:

  • Flexible Monthly Packages

    With our monthly packages, you can spread the cost of our company tax services that suit your budget. By taking advantage of our flexible monthly packages, you can manage your finances effectively, avoiding unanticipated expenses.

  • Compliance With Australian Tax Regulations

    Tax App is an Australian tax firm that employs tax agents with in-depth knowledge of Australian tax laws and regulations. Our experienced tax professionals always stay up-to-date with changing dynamics, ensuring your company follows all tax laws and regulations with accurate and timely company tax returns.

  • Tailored Solutions With Transparency

    Once you contact us for your company tax, you will witness a collaborative and transparent working environment. Our tailored approach to corporate tax follows company goals and encompasses clear and open communication to explain our clients' tax affairs and possible strategies to overcome those matters. Our seasoned staff is available 24/7 to quickly answer all your questions and concerns.

  • Addressing Legalities On-time

    We implement our company tax planning and strategies in such a way that minimises your risk of audits or any other legal disparities. If complexities arise, we provide our clients with a quick plan to address those intricacies.

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Simplify Company Tax With Tax App

Company tax is a legal requirement for all Australian entities. Not abiding by it can lead to severe consequences. However, as businesses grapple with other crucial tasks, they often forget how to deal with company tax in Australia on time, address any difficulties that may arise, and, most importantly, how to avert their business from unnecessary tax burdens.


It is where reliable tax agencies come to the rescue. If your company resides in Australia, there's no place better than a Tax App to solve your tax-related complexities easily.


Our bespoke solutions simplify all tax-related intricate tasks on your behalf. Offering a wide range of tax services, we're one of those companies that optimise your financial operations, reducing any chances of errors.


Here's what makes us your best choice:


●       We ensure precision and minimise the risk of errors in company tax calculations.

●       We save your time by automating data entry as well as simplifying tax preparation.

●       Our experts stay well-informed with varying tax regulations for real-time compliance.

●       We certify improved record-keeping, streamlining all your financial documentation.

●       It's easier to identify numerous tax-saving opportunities.

●       Strict security at Tax App protects your sensitive financial data.

●       Our effective methodologies lead to cost savings by decreasing errors and audit risk.

●       Remote access and collaboration provide you with flexibility.

●       Tailored solutions facilitate your business growth.


Never let your search history read “chartered accountant near me” again! Get in touch with us at Tax App today to learn more about how we can help your organisation stay ahead of its corporate tax effortlessly!

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