Archive for the 'Tax Office Alerts' Category
The ATO has launched a new awareness campaign to help taxpayers protect themselves against promoters marketing dodgy tax and investment schemes.
From the ATO press release:
Don’t let yourself get a lemon
Are you considering a tax-effective investment?
It’s important you have all the facts to make an informed decision.
Some investments offer tax benefits such as reducing assessable income or increasing deductions, but end up being outside the law. You can check with the ATO to ensure promised tax benefits will be available.
Find out as much as you can about an arrangement before investing. Make sure the arrangement has a prospectus or product disclosure statement and get independent advice about the promised tax benefits from a professional advisor. A person associated with the scheme is not independent.
Start by visiting www.ato.gov.au/investing and read the Investigate before investing fact sheet. It provides information about tax effective investing and how to detect potential tax avoidance schemes.
You can also check if the arrangement you’re considering is covered by an ATO product ruling confirming the tax benefits, or if a Taxpayer alert has been issued warning about the arrangement.
Doing your research will help you avoid negative consequences including having to repay tax and incurring interest and penalties.
For more information
Please contact us via telephone or email if you have any questions.
More than 300 000 taxpayers who have already lodged their 2008/9 tax return are still waiting for the ATO to issue their notice of assessment and pay their tax refunds.
This situation is affecting many of our clients who have lodged after 1 January 2010.
Since the the Tax Office installed a new multimillion-dollar computer system to process claims in January, there is a growing list of delays, glitches, errors and problems.
Recent media coverage about the problem:
- Article: Tax Office admits delays with income tax refunds
- Article: Refunds delayed by new system and Child Support Agency
- Article: ATO sorry your tax refund is overdue
What can we do if you are affected?
If you have lodged your tax return after early January 2010 and have not received your notice of assessment then you may be affected. The ATO will pay interest on all tax refunds that are more than 30 days late if their system is responsible for the delay.
We continue to contact the ATO on behalf of our clients on a regular basis – and through our professional body, the NTAA – provide feedback to the ATO.
These glitches are creating hardships and cashflow problems for some of our clients. Unfortunately, there is very little we can do except process refunds and send out assessment notices as soon as we have received them.
If clients wish to contact the ATO directly, they may do so on 13 28 61 or visit this ATO website for more information.
For more information, please contact us on 08 9246 9055 or send an email to: marmion@prouse.com.au
The Tax Office has recently upgraded their computer system and there are significant delays processing income tax returns.
If you lodged your return after 4 January 2010 then we have not received your assessment notice – or tax refund – yet!
The ATO have started processing income tax returns again and they hope to have cleared backlog of tax assessment notices – and tax refunds – before the end of the month.
For more information – click here to read the ATO Press Release – or contact us via telephone: 08 9246 9055.
The Federal Government’s Investment Allowance provides the perfect opportunity for eligible small businesses to purchase BRAND NEW motor vehicles, machinery or office equipment.
The Federal Government’s Investment Allowance or small business tax break provides a "one-off" bonus tax deduction; over and above the standard depreciation allowance.
The ATO has announced that it will be undertaking a number of data matching programs to identify taxpayers who may not be meeting their taxation obligations.
The ATO will request and collect:
- details of approximately 2.5 million individuals or entities that have purchased or acquired a motor vehicle valued at $10,000 or higher, from the Roads and/or Traffic Authorities of each State and Territory;
- information on amounts paid to personal services entities by labour hire firms, placement agencies and computer consultancies; and
- information on amounts paid by mining companies to contractors and sub contractors.
If you have a few questions about data matching or any other taxation matter then please contact us on 9246 9055 and make an appointment.
Media release 2008/59
The Tax Office will shutdown all IT and communication systems and applications over the Christmas and New Year period to complete essential maintenance at our data centres.
This means all systems and services will be unavailable from 4pm EDST Wednesday 24 December 2008 until 9am EDST Monday 5 January 2009.
There may also be some disruption to our systems and services after those dates.
If you think you will need to contact the Tax Office over this period please consider contacting us before 24 December.
The systems and services affected include the tax agent portal, business portal, electronic lodgment service, e-tax lodgment service, call centres, telephone services, the Tax Office website and internal business systems.
We apologise for any inconvenience this may cause.
The ATO is concerned that many new SMSF trustees are unfamiliar with their duties and obligations under the Superannuation Industry Supervisition Act.
In its recent publication, Completing the Auditor/Actuary Contravention Report, it has stated that: From July 1 2008, all superfund auditors must now report EVERY BREACH (regardless of its size, nature or status) for every self managed superannuation fund that is less than 15 months old.
Parents are being advised to ‘keep their receipts’ for education expenses in light of the commencement of the Education Tax Offset from 1 July 2008.
How much can be claimed?
Eligible families (generally parents entitled to Family Tax Benefit (FTB) Part A) will be able to claim a 50% tax offset every year (in their tax return) for key education expenses up to:
$750 for each child undertaking primary studies (i.e., maximum refund of $375 per child, per year); and
$1,500 for each child undertaking secondary studies (i.e., maximum refund of $750 per child, per year).
