Latest News
ATO warning regarding private use of work vehicles and FBT
Employers that supply work vehicles to their employees need to check how the work vehicles are used and whether any exemptions apply to determine if they attract fringe benefits tax (‘FBT’). FBT generally applies when a work vehicle is made available for private use, even if it is not actually used. Private use includes any […]
Tips to help sole trader clients
The ATO is seeing sole traders make mistakes in the following areas: not reporting all income — this includes income earned outside their business (like a ‘side hustle’), cash jobs, or payments in-kind/barter deals; overclaiming expenses — this includes claiming the portion of an expense related to personal use, or overstating the cost of goods […]
Correctly dealing with rental property repairs
Taxpayers who have had work done on their rental property should ensure the expense is categorised correctly to avoid errors when completing their tax return. A deduction for ‘repairs and maintenance’ expenses can be claimed for work done to remedy, or prevent defects, damage or deterioration from using the property to earn income. These expenses […]
Reminder of September Quarter Superannuation Guarantee (‘SG’)
Employers are reminded that employee super contributions for the quarter ending 30 September 2025 must be received by the relevant super funds by Tuesday, 28 October 2025. If the correct amount of SG is not paid by an employer on time, they will be liable to pay the SG charge, which (as noted above) includes […]
Employees incorrectly treated as independent contractors
The ATO is warning businesses that if they incorrectly treat an employee as an independent contractor, then they risk receiving penalties and charges, including: PAYG withholding penalty for failing to deduct tax from worker payments and send it to the ATO; Super guarantee charge (‘SGC’), which is more than the super that would have been […]
PAYGW reminders for activity statement lodgments
The ATO will be sending certain employers a reminder to lodge their activity statements. The reminder will include the amounts the ATO has on record for them, such as: PAYG withheld amounts reported through Single Touch Payroll; and any other pre-filled amounts, including GST instalments and PAYG instalments (instalment amount option). The ATO’s reminders are […]
ATO’s three focus areas this tax time
The ATO will be taking a close look this ‘tax time’ at the following common errors made by taxpayers: Work related expenses: Taxpayers using the ‘revised fixed rate method’ of calculating a working from home deduction must have comprehensive records to substantiate their claims, including records that show the actual number of hours they worked […]
End of financial year obligations for employers
The ATO reminds employers they need to keep on top of their payroll governance. This includes: using their tax and super software to record the amounts they pay; withholding the right amount of tax; and calculating superannuation guarantee (‘SG’) correctly. As 30 June gets closer, employers should check their reporting obligations, along with any upcoming […]
Getting trust distributions right
As trustees prepare for year-end distributions, they should do the following: review the relevant trust deed to ensure they are making decisions consistent with the terms of the deed; consider who the intended beneficiaries are and their entitlement to income and capital under the trust deed; notify beneficiaries of their entitlements, so that the beneficiaries […]
Support available for businesses experiencing difficulties
By paying their tax bill in full and on time, taxpayers can avoid paying the general interest charge (‘GIC’), which is currently 11.34%, and which accrues daily for any overdue debts. The ATO advises taxpayers that, if their business is dealing with financial difficulties, there are some options to help make their tax bill “less […]
Minimum yearly repayments on Division 7A loans
To avoid an unfranked dividend under the Division 7A rules, loans from a private company to its shareholders or their associates must be either repaid in full or be covered by a ‘Division 7A complying loan agreement’ before the company’s lodgment day. Complying loan agreements require minimum yearly repayments (‘MYRs’) comprising of interest and principal […]
ATO issues notice of crypto assets data-matching program
The ATO has advised that it will acquire account identification and transaction data from crypto designated service providers for the 2024 to 2026 income years. This data will include the following: client identification details (names, addresses, dates of birth, phone numbers, social media accounts and email addresses); and transaction details (bank account details, wallet addresses, […]