TSA welcomes Inspector-General’s report on how the ATO communicates taxpayer rights after members report inadequacies

Tax & Super Australia (TSA) has welcomed the Inspector-General of Taxation and Taxation Ombudsman’s (IGTO’s) report – An investigation into the effectiveness of the Australian Taxation Office (ATO) communications of taxpayer rights to complain, review and appeal ­– after nearly 60% of TSA members said the ATO’s communication in this area was inadequate.   While 82% of respondents

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ATO’s deferral of single touch payroll phase 2 a relief to business

Tax & Super Australia (TSA) has welcomed the ATO’s decision to give businesses and digital service providers (DSPs) more time to transition to phase 2 of single touch payroll (STP) in light of the extra workload businesses have taken on during the COVID-19 pandemic.  The second phase of STP, known as STP2, continues the automation

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Resolving lodgement program issues would reduce tax agent stress

Tax & Super Australia (TSA) has called for the ATO to consider tax agent feedback about its lodgement program after a TSA member survey showed that the program caused nearly two thirds of tax agents stress, and most believe the Inspector General of Taxation should review the ATO’s administration of it. Nearly 450 TSA tax

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The ATO’s stance on LCR 2021/2 prompts unprecedented concerns for super funds

The ATO’s release of LCR 2021/2 – which relates to expenditure incurred by superannuation funds under non-arm’s-length arrangements ­– is probably the most concerning tax interpretation ever made by the ATO regarding superannuation funds, says Tax & Super Australia (TSA).  All superannuation fund trustees (from both SMSF and APRA regulated funds) should be very concerned

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New CGT granny flat measures – the “non-commercial” requirement

The new CGT “granny flat measures” contained in new Div 137 of the ITAA 1997 provide that a CGT event does not happen on entering into, varying or terminating a granny flat arrangement provided certain conditions are met. One of these conditions is that the arrangement cannot be of “a commercial nature”. Sadly, the legislation

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Daily updates: 2-6 August

6 August JobMaker Hiring Credit scheme’s third claim period now openThe ATO has advised that the JobMaker Hiring Credit scheme’s third claim period is now open. If an employer has taken on additional eligible employees since 7 October 2020, they may be able to claim JobMaker Hiring Credit payments for their business. Draft Ruling and instrument re “stapled

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Daily updates: 26-30 July

30 July Superannuation: Annual balance reporting reminder  The ATO has reminded trustees of superannuation funds that they have an obligation to report the 30 June 2021 account balance amounts and any applicable phase values, notional taxed contributions and defined benefit contributions, on or before 31 October 2021 (via the Member account transaction service for any account that is

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Getting deductions for clothing and laundry expenses right

The ATO allows certain taxpayers to claim a deduction for the cost of buying and cleaning occupation-specific clothing, items of protective wear and for certain unique, and usually distinctive, uniforms. To claim a deduction it is generally expected that your client will be able to provide evidence that they purchased the clothing concerned, and will

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Daily updates: 19-23 July

23 July Certain business COVID grants NANE The ATO has reminded business taxpayers that certain government COVID grants received by businesses are non-assessable, non-exempt (NANE) income, and therefore do not have to be included in assessable income. The ATO has also advised that businesses will have to self-assess whether they meet the eligibility requirements to treat such

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