ATO amnesty coming to an end for small businesses
On the 9th of May 2023 the government announced a lodgement penalty amnesty program for small businesses to encourage them to re-engage with the tax system and get their obligations up to date.
To be eligible for the amnesty the small business must have had an annual turnover of less than $10 million at the time the original lodgement was due.
The amnesty applies to overdue income tax returns, business activity statements and fringe benefits tax returns that were due between 1 December 2019 and 28 February 2022.
For eligible businesses who lodge these overdue forms between 1 June 2023 and 31 December 2023, any failure to lodge penalty will be remitted. With such an offer on the table by the ATO it’s not unreasonable to think that forms lodged after December 31 may be denied any remittance of such penalties.
It’s important to get back on track with your lodgements. This will help you understand your net tax position. If you end up with a debt and you need help with paying, we can also assist in arranging a payment plan with the ATO.
Although the deadline for lodgement is the 31st of December, bear in mind that most professional practices close over the Christmas period, including us at Avance, whose doors close for the festive season at 5pm on the 21st of December. Therefore, if you do have such activity statements and returns outstanding with a due date between 1 December 2019 and 28 February 2022, we advise you to perhaps prioritise them over any Christmas shopping…for now anyway!
If you have questions in relation to the above, or any other matters, please do not hesitate to contact our office on 1300 620 345.