Most sales staff in real estate agencies receive infrequent, large commissions when properties settle. This has serious implications for tax purposes. For example, it is not uncommon for A-REP Contractors to earn $20,000 or more in one payment when a premium property settles or several properties all settle at the same time. To be taxed at the marginal rate would mean that such a payment would normally be taxed at well over 40 cents in the dollar.
A-REP has been granted permission by the Australian Taxation Office (ATO) to deduct at flat rates of taxation with a minimum of 20%. This is a significant benefit to A-REP Contractors who earn over $40,000.00 per annum.
IMPORTANT: If you choose a flat rate higher than 20%, you must fill in a "Withholding declaration - Upwards variation form". These are available from the A-REP office. Just call us on 07 3378 0189 and we'll organise one for you.
For more information, contact A-REP on 0414 801 590.
© 2006 Astute Real Estate Personnel Pty Ltd (ABN 95 119 344 393)
