Get ready for e-Audits
The ATO is finally catching up with the times by using computer assisted verification techniques to conduct audits, a process they are calling e-Audits. The process for selecting taxpayers for an e-Audit is the same as a normal audit. Although because the ATO can do these types of audits cheaper and more efficiently, it might […]
Pre-lodgement compliance review: what you need to know
As a part of the ATO’s concerted efforts to engage taxpayers earlier and identify risks before they become an issue, pre-lodgement compliance reviews (PCRs) are increasingly being used. PCRs have previously exclusively been in the domain of higher consequence taxpayers such as public companies, international groups and other large businesses. However, the ATO may now […]
Are you ready for GST on low-value goods?
If you’re running a foreign business that supplies low-value goods to Australia, you may be caught in the GST net from 1 July 2018. From that date the ATO will be using a number of information resources to find non-compliant businesses including: financial data tracking that follows the flow of funds from purchasers to suppliers […]
Got clearance to sell your home?
In the market to sell your house? Before you call in the real estate agents and home stylists, you probably know that you’ll need to have a contract of sale handy. Did you know that you may also need to get a capital gains withholding clearance certificate from the ATO? This certificate allows ATO to […]
Tax time focus areas for businesses
A recent interview with Tax Commissioner Chris Jordan revealed details of what the ATO will be paying particular attention to this year. Perhaps not surprising, but the ATO will be targeting businesses that deal in cash. As a part of its cash and hidden economy operation, the ATO has compiled “data-maps” of cash-only businesses and […]
Tax debts to affect your credit score
Your tax debts could soon affect your credit score after the government released draft legislation to allow ATO to share debt details of businesses to credit rating agencies subject to certain conditions. Previously, it was an offence punishable by 2 years imprisonment for a taxation officer to disclose protected information, such as information relating to […]
Travel allowances or LAFHA: Which applies to you?
Travel Allowance or living-away-from-home allowance (LAFHA)? Understanding the difference between these two allowances can be difficult, particularly when there is the perception of an overlap. The allowances are in fact different and have different consequences for the person receiving them. An amount paid by your employer to cover expenses such as accommodation, food, or drinks […]
Payroll reporting: a touchy subject
If you are an employer the way you report payments, such as salaries and wages, pay as you go (PAYG) withholding and superannuation is changing from next year. The ATO will need you to report these payments directly from your payroll solution in real-time, at the same time as you pay your employees. This is […]
ATO spotlight on Visa holders, sponsors and migration agents
The ATO has launched the latest round of their data-matching program to include all visa holders, visa sponsors and migration agents. The ATO will request the records of approximately 20 million individuals from the Department of Immigration and Border Protection for the years 2017 to 2020 for compliance purposes. Some of the information that will […]
Bitcoin: Personal investors
There has been plenty of press coverage on bitcoin, but what are the tax consequences if you decide to join the craze? Here we examine the tax effects if you choose to invest in bitcoin on a personal level. Bitcoin is a digital cryptocurrency, created in 2009. Bitcoin currency transactions are entered on a peer-networked […]
