With an election looming, it is important to keep up to date on new taxation developments. Here is our current edition of our tax newsletter. This month topics include:
- ATO to ramp up ABN investigations and cancellations - The ATO is ramping up its focus on cancelling inactive ABNs over the coming months.
- Fringe benefits tax: rates, thresholds and ATO focus for 2019–2020 - The ATO has issued its annual rulings about FBT rates and thresholds and will focus on monitoring a range of related issues this year.
- Guidance on when a company carries on a business - New guidance is now available on how the ATO deals with the concept of a company “carrying on a business”.
- Super guarantee amnesty not yet law, but $100 million recovered - There has been a notable increase in employers coming forward to self-report unpaid super guarantee amounts in response to the amnesty proposal announcement, despite it not yet being law.
- Instant asset write-off with Budget changes now law - The write-off rules have been extended to medium sized businesses, the threshold has increased and the dates are extended.
- Rental deductions: ATO audits to double - The ATO has warned that it will increase its scrutiny of rental-related deductions this year.
- Shortfall penalties reduced under new ATO initiative - If the ATO finds an error on a tax return or an activity statement during an audit or review, the taxpayer may now be eligible for automatic penalty relief.
- How the ATO identifies wealthy individuals and their businesses - The ATO says it uses sophisticated data matching and analytic models to identify wealthy individuals and link them to associated businesses.