Sememster 2 business test

Domain Name

the address of a website on the internet

Australian Taxation Office (ATO)

the government body in charge of administering and collecting tax for the federal government

Progressive tax rate

the rate of tax increases with the amount they earn

Pay as you go (PAYG) withholding

• Taken from an employee’s salary or wage directly

• Imposed on the employee

Goods and services tax (GST)

• A broad-based tax of 10 per cent on the supply of most goods and services consumed in Australia

• Imposed on all consumers

• Businesses are only required to register for GST if they earn $75 000 or more in a financial year.

Fringe benefits tax (FBT)

• Tax on the provision of a benefit to an employee — such as a car for private use, or a low-interest loan — in place of a wage or salary

• Imposed on the employer

Stamp duty

• Placed on documents that give evidence to transactions, such as the purchase of property

• Imposed on the individual or business

Land tax

• Annually levied on the owner of the land

4.2 Key legal requirements — registration, taxation and government regulations

Legal and government regulations:

Business name registration

Registering a domain name

Taxation Compliance

Income tax

Other federal and state taxes

Business activity statement

Local Government legal requirements

Zoning regulations

Health services

Occupational Health and Safety Act 2004 (Vic)

In Victoria, the Occupational Health and Safety Act 2004 (Vic) is the principal legislation covering occupational health and safety.

Worksafe Victoria

This government agency aims to reduce workplace injuries and support injured workers.

code of practice

a written set of guidelines that are intended to help businesses achieve the standards set by the government .

anti-competitive practices from the Competition and Consumer Act 2010 (Cwlth)

Cartels,

Misuse of market power

Exclusive dealing

Resale price maintenance

Mergers and acquisitions

Cartels

The Act prohibits businesses from making agreements with competitors to fix prices, rig bids, share markets or restrict outputs.

Misuse of market power

the Act prohibits businesses with a substantial degree of market power from engaging in conduct that has the purpose, or has or is likely to have the effect, of substantially lessening competition in a market.

Exclusive dealing

this occurs when one business trading with another imposes restrictions on the other’s freedom to deal with other businesses.

Resale price maintenance

This occurs if a supplier sets the prices at which retailers will sell their products.Suppliers can recommend a retail price for the sale of their goods, but it is illegal to attempt to force a retailer to sell at that price.

Mergers and acquisitions

The Act prohibits any merger or acquisition that would have the effect, or be likely to have the effect, of competition being substantially lessened.

misleading practices that are illegal under the Competition and Consumer Act:

Misleading or deceptive conduct

Unconscionable conduct.

Unfair contract terms

False or misleading representations regarding goods or services. 

Offering gifts and prizes in connection with the supply of goods and services and then not providing them.

Pyramid schemes

Referral selling

Unconscionable conduct.

Unconscionable conduct is when a business acts in a way that is excessively unfair or dishonest, taking advantage of a customer or another business who is in a vulnerable position.

Bait advertising.

it involves advertising products at reduced prices without a reasonable supply for customers to buy. A business attempts to attract customers by advertising some products at lower prices. When the advertised products quickly run out, customers are directed (or switched) to higher priced items.

Pyramid schemes.

An illegal business model that generates money solely by recruiting new members who pay fees, rather than by selling a legitimate good or service. It is designed to collapse, causing most participants to lose money.

Referral selling

An illegal practice where a business lures a customer into buying a product by promising them a benefit (like a discount or rebate) if they successfully refer new customers to the seller. It is deceptive because the promised benefit is often unlikely or impossible to achieve.

Freelancers

can be any type of independent worker who charges businesses or individuals for work on a per-job basis.

Bookkeepers

Bookkeepers assist a business in keeping and processing a business’s financial records

Recruiters

Human resource and recruitment professionals are often used by businesses to find the right staff, often charging a fee based on the salary of the person employed.

Sales professionals

Sales professionals are trained and experienced in finding and persuading people to consume a product.

Marketing consultants

Marketing consultants are responsible for raising awareness of a business’s products and brand with their target markets.

Choosing the right bank account

Bank fees

Interest rates

Overdraft facility

Credit cards

Convenience and support