Tag: Economy

ATO to Resume Recovery of Debts on Hold

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The Australian Tax Office (ATO) has informed tax professionals that their clients will begin receiving notification letters on any outstanding aged debt beginning May 2022. Aged debt, or debts on hold, are uneconomic non-pursued debts that are not visible on the balance of taxpayers’ accounts as they have been classified…

IPA Criticizes ATO On New 100A Guidelines

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The Australian Tax Office (ATO) released draft documents concerning the tax treatment of trusts. These guidelines provide recommendations as to how section 100A under the Income Tax Assessment Act of 1936 should be applied in regards to trust stripping arrangements. A key focus of the documents is where distributions are…

Directors Targeted In ATO Debt Collection Drive

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Seen as a sign that the government is now ending its soft approach to tax debt since the pandemic started, the Australian Tax Office (ATO) announced earlier this year that they would be contacting company directors via letter concerning their potential liability for company tax debts. Since then, over 50,000…

Accountants Put On Notice Over LMITO Changes

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As part of the pre-election budget reading on 29 March 2022, the government declared plans to boost the low and middle-income tax offset (LMITO) by an additional $420. Prior to this, the cost of living offset amount was $1,080. This brings the new total to $1,500 for individuals and $3,000…

Do Australian Small Businesses Lag In Digital Adoption?

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A recent business survey conducted by CPA Australia has found that the Australian small business sector is lagging behind that of its peers in other Asia Pacific nations. The 13th annual Asia-Pacific small business survey collected data from 11 economies and found that despite the sluggish performance recorded by businesses…

ATO Ramps Up Debt Collection Effort

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Businesses are being encouraged to do more in clearing their tax debt with the Australian Tax Office (ATO). Earlypay’s Daniel Riley noted that the ATO was back to making collections on tax debts owed by small businesses after having temporarily ceased their efforts during the worst of the pandemic. He…

ATO Issues Warning Over Unpaid Crypto Taxes

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The Australian Tax Office (ATO) acting assistant commissioner, Sylvia Gallagher, confirmed that people as young as 18 years were getting involved in cryptocurrency trading and that the authority was paying attention. Cryptocurrency trade reportedly increased by 64% in 2021 as over half a million Australians engaged in trading digital coins. …

FHSS Changes to Help First Home Buyers Get On the Property Ladder

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In keeping with announcements made during the 2021-2022 Federal Budget, the government has announced that it will increase the maximum releasable amount that contributors can draw upon in making their first home purchase. This is after the proposed changes received Royal Assent on 22 February 2022. The First Home Super…

CA ANZ Releases Playbook for Addressing Gender Pay Gap Problem

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In 2021, Chartered Accountants Australia and New Zealand (CA ANZ) published the results of its Member Remuneration Survey that found female accountants were being paid far less than their male counterparts. This amounted to a gender pay gap of about $50,000 in Australia and $60,000 in New Zealand. These figures…

ATO Reports Improved GST Cash Collections for 2020-21 Period

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Despite the challenges brought on by the pandemic, the Australian Tax Office (ATO) is reporting improved goods and services tax cash collections for the 2020-21 period. According to the recently released GST administration annual performance report 2020-21, net GST cash collections, including Department of Home Affairs collections of $4.8 billion,…