Foreign Owned Subsidiaries

Logica understands the complexities of accounting for foreign-owned subsidiaries. It’s a complex world of compliance requirements, withholding tax and transfer pricing.

We have the expertise to support you through the startup and operational phases.

What we do

Startup phase

  • Choosing a business structure - analysing the available options
  • Establishing a business structure - incorporation or registration, referring Australian directors, acting as the Australian registered office for ASIC purposes
  • Applying for relevant registrations - Australian Business Number (ABN), Tax file number (TFN), PAYG withholding, Goods and Services Tax (GST
  • Other applications - substituted accounting period for tax and ASIC reporting to align with parent company
  • Tax advice for ex-pat employees - living away from home allowances, exempt fringe benefits entitlements, temporary visa concessions
  • Employer obligation advice - workers compensation, superannuation, payroll tax, fringe benefits tax, annual reporting requirements
  • Thin capitalisation and transfer pricing advice

Operational phase

  • Outsourced accounting functions - monthly management accounts, inter-company reconciliation receivables, payables and loans, monthly bank reconciliations, providing information in a format consistent with the parent company
  • Outsourced payroll services- new employee forms, tax file number declarations, remittance of tax withheld, payments using electronic transfer including superannuation, payroll tax and workers compensation
  • Bookkeeping - payments, invoicing, banking and document storage
  • Business activity statement (BAS) preparation - reconciling with annual tax returns, ensuring compliance with GST legislation
  • Annual financial statements preparation as required for audit or in the format required by the parent company
  • Fringe benefits tax return preparation
  • PAYG withholding reconciliation if paying interest, royalties or unframed dividends to offshore entities
  • Review and filing of annual company statements with ASIC
  • Audit if required or obtain an exemption through ASIC