FFX 0.00% 20.0¢ firefinch limited

WW letter, page-283

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    What is interesting though is Note 13 on the Half Year Financials:
    http://www.asx.com.au/asxpdf/20170316/pdf/43gvgvmbwb23ph.pdf

    Payments to:
    WW - Azalea Consulting Pty Ltd
    KJ - Wavecap Holdings Pty Ltd
    HB - Milagro Ventures Pty Ltd
    BN - Grainger Consulting Pty Ltd

    My tax accounting is a little rusty, but doesn't the PSI tax laws state that if someone is providing services on a non-employee basis, they must pass certain rules like:

    -https://www.ato.gov.au/business/personal-services-income/working-out-if-the-psi-rules-apply/
    -https://www.ato.gov.au/uploadedFiles/Content/MEI/downloads/Working_out_if_the_PSI_rules_apply.pdf

    Rules are:
    For the PSI being tested, you must be:
    ■ paid to produce a specific result
    ■ required to provide the equipment or tools, and
    ■ required to have mistakes fixed at your own expense.


    Then go look at the recent Half Yearly Report, Note 3:
    Computer Fees - $1,867-
    General Office Exp - $2,177-
    Printing/stationary - $7,561-
    Telephone - $879-
    Travel/Accom' - $61,932-

    If these people are all being paid through private entities you would think that it is clear that they fail the PSI tests... i assume at least.

    Considering that the above 4 make up the entire work force of BGS and are all providing their services through PTY LTD structures, why would BGS need expenditure in the above areas of; Comp Fees, General Office Exp, Printing/Stationary, Telephone, Travel/Accom.

    @The Guatemalan
    Your thoughts?


    ***i am not a tax accountant and anything i say should be taken with a grain of salt***
    Last edited by Andyrooooooo: 16/03/17
 
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