Business Links Australia Pty. Ltd. is a CPA Practice
CPA Australia Logo
Liability limited by a scheme approved under Professional Standards Legislation
Hot Issues
spacer
Sub-trusts ‘redundant’ under final Div 7A ruling
spacer
Tax Office homing in property deductions, SMSFs warned
spacer
ATO adds indebted sole traders to credit referrals
spacer
State and Federal Covid support --- Aug 2022
spacer
ATO casts net wide when it comes to taxable business income
spacer
Largest natural gas produces by country from 1970-2021
spacer
NALI ‘a special problem for SMSFs’
spacer
Tax time tips
spacer
Census 2021 Data
spacer
Single Touch Payroll: Phase 2 deferral reminder
spacer
Largest inflation rates by country in Oceania
spacer
Write a business plan
spacer
Be wary of trust disclaimers, ATO warns
spacer
Tax time guide offers path through 100A
spacer
Car allowance increase ‘welcome news’
spacer
Tax Time Checklists - Individuals; Company; Trust; Partnership; and Super Funds
spacer
ATO zeroes in on work expenses, crypto investments
spacer
Forget the Tim Tams in your WFH claim, say ‘fun police’
spacer
Inflation will force a third of businesses to raise prices
spacer
Year-end tax planning
spacer
World GDP Ranking (1960~2025)
spacer
100A ruling ‘turns tax avoidance logic on its head’
spacer
Company directors must register - all you need to know
spacer
Be alert for phoenix activity, businesses told
spacer
Equifax signs data agreement with ATO
spacer
E-invoicing will reduce emissions, says PwC
spacer
Largest cities in the world 1500 to 2100
spacer
Last chance to claim the loss carry-back
Article archive
spacer
Quarter 2 April - June 2022
spacer
Quarter 1 January - March 2022
spacer
Quarter 4 October - December 2021
spacer
Quarter 3 July - September 2021
spacer
Quarter 2 April - June 2021
spacer
Quarter 1 January - March 2021
spacer
Quarter 4 October - December 2020
spacer
Quarter 3 July - September 2020
spacer
Quarter 2 April - June 2020
spacer
Quarter 1 January - March 2020
spacer
Quarter 4 October - December 2019
spacer
Quarter 3 July - September 2019
spacer
Quarter 2 April - June 2019
spacer
Quarter 1 January - March 2019
spacer
Quarter 4 October - December 2018
spacer
Quarter 3 July - September 2018
spacer
Quarter 2 April - June 2018
spacer
Quarter 1 January - March 2018
spacer
Quarter 4 October - December 2017
spacer
Quarter 3 July - September 2017
spacer
Quarter 2 April - June 2017
spacer
Quarter 1 January - March 2017
spacer
Quarter 4 October - December 2016
spacer
Quarter 3 July - September 2016
spacer
Quarter 2 April - June 2016
spacer
Quarter 1 January - March 2016
spacer
Quarter 4 October - December 2015
spacer
Quarter 3 July - September 2015
spacer
Quarter 2 April - June 2015
spacer
Quarter 1 January - March 2015
spacer
Quarter 4 October - December 2014
ATO reiterates tax system incentives

 

ATO second commissioner Jeremy Hirschhorn has outlined the Tax Office’s commitment to ensuring a business-led recovery continues in the Australian market in the 2022 calendar year.

 

 

Speaking as part of a keynote delivered to Financial Review CFO Live event on 6 December, Jeremy Hirschhorn said the ATO is working hard to ensure ongoing tax system measures are created to boost cash flow for eligible businesses. Its signature initiatives, he said, are temporary full expensing, “which has already been claimed by approximately 40,000 taxpayers for almost $3 billion of new capital expenditure”, as well as loss carry back.

The latter, according to Mr Hirschhorn, has already been claimed by approximately 7,000 taxpayers for refunds of almost $500 million.

“I note that these are early numbers, with many tax returns for 30 June 2021 taxpayers only due to be lodged in January 2022,” Mr Hirschhorn said.

“The nature of these measures is that they will generally be timing differences from a financial accounting perspective.”

Further, Mr Hirschhorn said the ATO remains committed to introducing a variety of administrative initiatives to support investment in Australia, and to facilitate transactions.

“We have launched the New Investment Engagement Service or NIES, a service for companies proposing to make significant investments in Australia. It streamlines processes to deliver outcomes that meet transaction timeframes, and to provide requested guidance in a tailored report, including highlighting any concerns and mitigation steps,” he said.

“It also provides tailored information about other ATO services and programs, assistance in navigating the Foreign Investment Review Board process, and co-ordination of ATO binding advice. Already, since its launch on 1 July 2021, there have been nine engagements, three of which have proceeded to a formal engagement.”

In addition to reiterating the ATO’s focus going forward, Mr Hirschhorn also used the opportunity to touch on certain measures introduced in the 2021 calendar year, including, notably, the JobKeeper program.

“Of course, these are over and above the economic stimulus measures administered by the ATO over the past two years which have provided immediate support to over 1 million entities, and 4 million individuals across Australia. Through the JobKeeper, Cashflow Boost and Early Release of Super measures the ATO released $164 billion in much needed support to the community. Of this about $9 billion went to large businesses under the JobKeeper program,” Mr Hirschhorn said.

“...Based on our initial review work to date, JobKeeper was an extraordinarily high integrity program, in terms of payments only going to those legally entitled to them. Secondly, it was a deliberate feature of the program that, once qualified by a reasonable estimate of a downturn in revenue (or actual downturn), a business remained qualified for a period of up to another five months regardless of a rebound in turnover.

“Much has been made of a few examples of large businesses which had rebounding turnover and kept claiming JobKeeper (and have not repaid some or all of it), as well as the overall amount estimated to be paid to rebounding businesses. (Noting that, if anything, large businesses were under-represented in rebounding businesses claiming JobKeeper relative to smaller businesses and not for profits.) What I would say though, is if you are a large business that had rebounding turnover, it is still not too late to take stock and return any excess JobKeeper that you actually did not need – join the 100 businesses that have approached the ATO, with around $270 million already repaid.

“Similarly, and as I mentioned last year in relation to the newer stimulus measures, please access them and use the proceeds to invest in your business. But also think twice if your plan is to access them simply to pay bigger dividends or executive bonuses.”

 

 

Emma Ryan 
10 December 2021 
accountantsdaily.com.au