11 May May Newsletter 2021
We are pleased to supply you with the latest edition of Client Alert, which contains information on a number of important taxation developments up to and including 23 April 2021:
Keeping you informed about the Federal Budget and Tax Time 2021 – On Wednesday 12 May we will bring you a special Budget Extra edition of Client Alert and the latest Tax Return Checklists to assist you in dealing with your clients’ queries.
Independent resolution process for small businesses now permanent – Small businesses now have another pathway to resolve tax disputes, with the ATO making its independent review service a permanent option for eligible small businesses after a successful multi-year pilot.
ATO focus in relation to JobKeeper – The ATO has recently announced it’s keeping an eye out for areas of concern in relation to JobKeeper, including what may constitute “fraudulent behaviour”.
ATO targets contractors who under-report income – More than 158,000 businesses have now reported all their payments made to contractors in the past year, and the ATO is using sophisticated analytics to make sure the amounts have been properly declared by both payers and recipients.
Can your business claim a tax deduction for bad debts? – With many government COVID-19 economic supports ending, some businesses will find themselves owed debts that cannot be recovered. A tax deduction may be available for these bad debts, depending on the accounting method used.
ATO data-matching: residency for tax purposes – The ATO’s new data-matching program will use travel information from the Department of Home Affairs to determine whether business entities and individuals are Australian residents for tax purposes, and whether they’ve met their lodgement and registration obligations.
NSW announces tougher penalties for payroll tax avoidance – The NSW Government will introduce new legislation to increase penalties for payroll tax avoidance, as well as providing it with the ability to name taxpayers who have underpaid payroll tax on wages.
ASIC extends deadlines for financial reports and AGMs – The deadline to lodge financial reports for listed and unlisted entities will be extended by one month for entities with certain balance dates, and ASIC will extend its “no-action” period for public companies to hold their annual general meetings.
Please contact us if you wish to discuss how the points raised in Client Alert specifically affect you.
The Team at RittWatchman & Associates