ABN applications
Changes to ABN application process The ATO has made changes to the Australian Business Number (ABN) application process to help safeguard its integrity. The recent changes focus on: identifying people going through the application process multiple times confirming entitlement and helping people understand their obligations where there may be some doubt ensuring only those who […]
Latest ATO benchmarks released
ATO has released updated benchmark data from 1.5M small businesses around Australia To “help small businesses across the country . . . gauge the strength of their business and keep an eye on their competition”. Updated benchmarks for more than 100 industries are now available for the following categories: Accommodation and food Building and construction […]
New GST withholding rules
Common errors with new GST withholding rules The ATO has noticed some common errors made in activity statements since the introduction of “GST at settlement” on 1 July 2018. These new laws require purchasers to withhold GST on settlement (and pay it to the ATO directly) generally when buying ‘new residential premises’ from developers. In […]
Six FBT issues
FBT issues on the ATO’s radar The ATO has updated their What attracts our attention list with six items that specifically relate to fringe benefits tax (‘FBT’), as follows: Failing to report motor vehicle fringe benefits, incorrectly applying exemptions for vehicles or incorrectly claiming reductions for these benefits. Incorrectly calculating car parking fringe benefits due to: […]
ATO cash economy
Continued focus on the cash economy ATO Assistant Commissioner Peter Holt has announced that, in the 2019/20 financial year, the ATO will be visiting a further 10,000 small businesses across the country. He further said that businesses that advertise as ‘cash only’ and businesses that are operating outside of the ATO’s performance benchmarks for their […]
Employer warning re leave loading and OTE
ATO warning regarding annual leave loading and OTE The ATO has warned employers that it considers that annual leave loading should normally be part of ordinary time earnings (‘OTE’) for superannuation guarantee (‘SG’) purposes, unless it is referrable to a “lost opportunity to work overtime”. Therefore, if employers have self-assessed on the basis that their […]
Latest ATO scam warning
Tax scammer alert The ATO has again warned taxpayers to be alert for scammers impersonating the ATO, as it appears they have changed tactics in 2019. Specifically, the ATO is seeing the emergence of a new tactic where: “scammers are using an ATO number to send fraudulent SMS messages to taxpayers asking them to click […]
Other Federal Budget changes
Other announced changes Increased refunds for eligible primary producers and tourism operators The Government will provide further relief to farmers and tourism operators by amending the luxury car tax refund arrangements. For vehicles acquired on or after 1 July 2019, eligible primary producers and tourism operators will be able to apply for a refund of […]
Single Touch Payroll Update Mar-19
Understanding STP obligations Single Touch Payroll (‘STP’) is a Government initiative aimed at cutting red tape for employers and improving visibility of compliance with business obligations such as: salary and wages and similar payments; Pay As You Go (‘PAYG’) withholding; and certain superannuation related information; by requiring ‘real time’ reporting of payroll information directly to […]
Division 293 assessments
Additional tax on concessional contributions The ATO has been issuing ‘Additional tax on concessional contributions (Division 293) assessments’ with respect to liabilities relating to the 2018 income year. Division 293 imposes an additional 15% tax on certain concessional (i.e. taxable) superannuation contributions. It applies to individuals with income and concessional superannuation contributions exceeding the relevant […]
