It follows: higher education debts
It might seem like a horror movie cliché, a monster that follows you wherever you go, but did you know that your higher education debts under the Higher Education Loan program (HELP), Trade Support Loan (TSL) or the Higher Education Contribution Scheme (HECS) debts follow you wherever you go in the world? Prior to 2017, […]
Paying company debts by instalments
If your business has gotten into a bit of trouble lately and you suddenly find yourself faced with a tax debt. Don’t panic. Despite what has been reported in the media recently, the ATO won’t bankrupt your business if you make early contact and make a genuine attempt to either pay or work out a […]
Clothing deductions – Beware this tax time
If you have previously claimed work-related clothing expenses and laundry expenses in your tax return, you should beware this tax time because the ATO is cracking down on these claims. According to the ATO, clothing claims went up nearly 20% over the last 5 years and last year around 6 million people claimed expenses totalling […]
Tax time focus areas for individuals
It’s tax time again, as you gather your receipts and other assorted tax documents, you should also turn you mind to what the ATO is paying close attention to this year. This year, the ATO is focusing on taxpayers who claim “other” work-related expense deductions at label D5 on individual tax returns. According to the […]
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 […]
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 […]
