Guidelines for banking in Australia

Australia is huge country having an assorted range of regional, city, state and international banks and financial institutions Mainly it has got four banks the Commonwealth Bank of Australia, the Australian and New Zealand banking group (ANZ), the National Australia Bank (NAB) and Westpac.  The Maquarie Bank looks after serious investor. There are other community banks like St. George that are popular as they are flexible and innovative.  Then there are also Industry based Credit Unions that are an alternative to the major banks. They have the advantage that you don’t have to be the member of the industry to join these banks.

In Australia electronic banking is very popular. All the banks have online banking facilities. It provides great comfort to the customers as the customers can access all information of their account online only. You can also take advantage of transferring money, pay bills and more. The banks facilities provided by the credit unions have less sophisticated and less established electronic banking facilities.

To lure more customers to their bank, there are many new schemes so that new immigrants open their account in that bank and for this provide a range of special services for newcomers. Bank like AMR also offers expert third party help in many functions like tax, asset protection and estate planning. If you want to open an account in Australia before reaching there it is possible to do so. In this you have to go to the branch of the bank in the country where you live, and providing 100 points of ID

The services provided by the bank are of diverse nature. They are almost the same as provided in any developed country like the short-term wholesale finance, and securities underwriting and placement. There are certain specialist banks giving help in resource and industry development.

If a foreign bank that wants to conduct banking business in Australia may operate either through an authorized branch or an authorized locally-incorporated subsidiary. Those banks who are authorized foreign bank subsidiaries can take on full range of banking business in Australia, however there is a rider to it and it is that they cannot take less A$250,000 from the public and so they cannot be involved in retail banking.

If a foreign bank that does not wish to conduct banking business in Australia but wishes to have an Australian representative office to provide liaison services to Australian customers in relation to its offshore banking services must obtain consent from APRA. It will also be required by APRA to register with ASIC as carrying on business in Australia.

Basically the services provided by the banks in Australia are at par with any other international standard bank. They will provide all the amenities and services that a  customer needs.

Lucrative Business Opportunities in Australia

Australia is a country where many people are migrating to settle down. They want to go and stay there and run some type of business. The question that arises is that which type of business does a person wants to do in Australia. The business that you want to do there should be a profitable one. You should try to pick-up such business that will give good result. If the business does not give enough profit, then it is no use running the business.

In Australia there are some excellent opportunities for those who want to do business. If you are starting a new business it I will be best of you start on a small scale. Starting a large scale business in new country is not advisable as you are now aware of all the norms of that country. A simple business opportunity in Australia will help you grow it into a large business. In Australia, before starting the business you should be aware of the government rules. You should comply with these rules and invest time, effort, and money. There are numerous business opportunities and you can even select an established business, or start a business from scratch, or even enlist in a business endeavour sponsored by a big company.

It has been found out through research that business opportunities under the food category are the most popular one. You can find cafes and restaurants are plenty and they are present in almost all cities of Australia. If you are in any way related to food beverage industry you have excellent business opportunity there.

Another business idea in Australia is retail. In this, you can start a business in home products or garden products. They are very popular and if you strive to make it attractive you will be successful in this business. There can be numerous opportunities to make new home product that will improve the lifestyle. It will be a successful in this country.

If you do not have large financial resources, then you should try to start some home run business. There are plenty of opportunities for such business as well. Such business can be conducted from home only.  You can make some creative items and sell them at artifacts shops. Such items are very popular with the tourists visiting the country. You can start in small scale and then slowly take it to a higher scale.
You will find that once you know the rules and regulation of Australian government you can easily start a business and work hard to make it a success. 

Registered Migration Agent’s Eases Australia’s Visa Application Process

Getting a visa is easy for few and at same time tedious process for others. For most of us ordinary beings, applying for an Australian visa means a lot of paperwork, hassles, tedious procedures and processes at embassies and endless waiting. To ease this, the Australian government has authorized migration agents to work in behalf of clients who want their visa for Australia in a bit relaxed manner. A Registered Migration Agent basically helps you lodge your visa application.

Since October 2006, registered migration agents are available in and outside Australia who certify copies of original documents pertaining to visa applications. They will suggest best visa according to your need and preference of travel and also tell you regarding the documents to be submitted.

People now days urgently needs to get to Australia but simply cannot carve a schedule to arrange things; a migration agent is your best choice. People believe that they are not eligible for an Australian visa and thus give up their hopes too soon. When we contact a good Migration agent then we notice that few things remained hidden and unknown to us. Most of us only know the familiar types of visa, but what we didn't know is that the Australian visa system also has alternative visas that apply to even the most complex cases.

Now question is how to find a reliable agent who can guide you through the process comfortably. Don’t worry, surf through internet to find the agents in your own country in case you don’t know the name. The Office of the MARA website has a list of all agents with a valid registration. Go to 'Find an Agent' and search by Personal Details (Family Name, Business Name etc) or Location Details (Postcode, Country etc).

The Office of the MARA website also provides information on choosing a migration agent, costs to use an agent, expectations from an agent, option to make a complaint about an agent, the things Office of the MARA can and cannot do for you, information on sanctioned and lapsed agents.

The enhanced and customer friendly service of these Registered Migration Agents like helping you fill out your forms and submit the application for you, creates a warm impression on the customers. This process helps in cutting down a lot of time and energy for busy as well as any other local person too.

History of Australian Personal Income Taxes

Taxation system of Australia needs no introduction. Many schemes prevail in field of Personal taxation in this country which mitigates all the associated risks. The 1915 federal income tax was levied on individual taxpayers at progressive rates in Australia. A moderately high income threshold exempted most wage and salary earners.

The rates of tax imposed ranged from 3 to 25 per cent. The Pay-As-You-Earn (PAYE) system, where employers deduct tax from employees’ pay, was introduced by the South Australian government in 1942. This system allowed income tax collection from wage earners in lower income groups, which had been impracticable without a system of taxation at source. The PAYE system was more convenient for taxpayers, created a more even flow of revenue for government. Individuals in the top income earnings accounted for the vast majority of personal income tax paid.

Thereafter the scope of the personal income tax was progressively broadened such that by the early 1980s the share of personal income tax paid by the top income group had fallen to around half, a level that has since been broadly maintained. This lead to reduction in marginal tax rates applying at higher levels of income.

Australia’s top marginal tax rate has decreased over the past 50 years from over 75% in the 1950s to 46.5% as of 2006 and even further reduced in last few years. Notwithstanding the increase in the proportion of personal income tax paid by lower income people, Australia’s average effective tax rate on the income of a range of household types is in the lowest eight out of the 30 OECD countries.

From its origins, the basic tax unit in Australia for income tax purposes has been the individual, although, as is the case today, the early income tax systems did recognize family circumstances with a series of deductions and credits for taxpayers supporting dependants. More recently there has been a greater focus on the overall impact of taxation and benefits on household incomes, particularly families.

In 1945 a ‘Social Services Contribution’ was introduced, which theorized a part of income tax revenue for social welfare. The primary motivation was to make increases in income tax more attractive, rather than as a means to separate out social security contributions from general taxation. In the early 1950s, income taxes and social services taxes were merged allowing a simplification of the income tax return.

Since then, no specific tax levied to pay for social security benefits in Australia, unlike most other OECD countries.

Steps To Setup Self Managed Super Funds In Australia

Self Managed Super Funds in Australia (SMSF) is a fund designed for few, not everyone. No doubt, it gives you greater control over your investments and a wider choice of assets in which to invest. But the sole purpose of an SMSF is to set up the fund, solely to pay retirement benefits to members and you cannot use assets in the fund for your current enjoyment.

You need to have minimum of $200,000 in super, otherwise the administrative costs would probably make the venture uneconomical. In addition to establishment costs, you can expect to spend some $1000 to $1500 a year on running your fund. Apart from the cost, you also need the skills and time to manage SMSF.
The first thing you need to do is consult your legal financial accountant and prepare a trust deed, which sets out the details of the trustees, how they are appointed, their powers and the conditions for contributions and benefit payments.

All SMSFs must have trustees above 18 years of age. As a trustee, few responsibilities include filing an annual Australia tax return, lodging member contributions statements and appointing an approved auditor to complete the annual audit.

The next step is to elect to be regulated by the Superannuation Industry (Supervision) Act (SISA) in order to receive concessional tax conduct.

As trustees, you have 60 days to lodge your election with the Tax Office. You do this by completing an application form to register for the new tax system superannuation entity. This can be done online at the Australian Business Register or by contacting personally. On submitting this form, you will be issued with a tax file number and an Australian business number.

Next step is to prepare an investment strategy, with the help of legal financial advisor, that takes into account risk, return, diversification, liquidity, cash flow, asset allocation and the ability to discharge existing and prospective liabilities.

The fourth step is to open a bank account in the name of the fund to keep your superannuation fund assets separate from your personal assets.

Harsh penalties can apply if you break the requirements set out in the legislation, such as failing to meet the sole purpose test of saving for your retirement or the fund borrowing money to invest. You also need to make important decisions about how to structure and run your fund.