ATO’s warning in Investment Loan Reporting
The ATO has raised concerns over the widespread misreporting of income and expenses related to rental properties, estimating an annual loss of approximately $1 billion in tax revenue. A significant contributor to this issue lies in the questionable practices surrounding the claiming of interest on investment property loans.
Offsetting credits and refunds from debts on hold
From October 2023, we're writing to small businesses with debts on hold greater than $50.
When a debt is on hold, any credits or refunds you become entitled to are used to pay off the debt. This is called offsetting and it's required by law. When you lodge your tax return or BAS, you may find your credit or refund is less than expected or reduced to zero.
Don't wait! ATO lodgment penalty amnesty is ending
Thousands of eligible small businesses have taken advantage of the ATO’s lodgment penalty amnesty. If you haven’t; you only have until 31 December to join them!
Division 7A dividends
A payment or other benefit provided by a private company to a shareholder or their associate can be treated as a dividend for income tax purposes under Division 7A even if the participants treat it as some other form of transaction such as a loan, advance, gift or writing off a debt.