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If you've been affected by the Covid-19 slowdown and restrictions we've compiled a list of some of the financial packages that are currently available to support businesses and individuals.
Just a reminder that if your business is eligible for the April Job Keeper payment you do need to register by tomorrow, Tuesday 28 April.
Small business needs people to repay the faith if they can
Valuing car parking fringe benefits: Where businesses provide car parking fringe benefits to their employees, the taxable value of these benefits must be calculated correctly to ensure they are meeting their fringe benefits tax ('FBT') obligations, regardless of the method used. The ATO has advised they may directly contact businesses who have engaged an arm's length valuer, as required under the 'market value method'. According to the ATO, in some instances, valuers have prepared reports using a daily rate that doesn't reflect the market value, meaning the taxable value of the benefits is significantly discounted or even reduced to nil. The ATO wants businesses to understand that engaging an arm's length valuer does not mean they've met all the requirements for working out the taxable value of their car parking fringe benefits. It is actually the business's responsibility to confirm the basis on which valuations are prepared, and they are expected to examine any valuation they suspect is incorrect or which considerably reduces their liability. We can help check if a valuation report required under the market value method meets the ATO's requirements. In addition to the valuation report, businesses need a declaration relating to the FBT year that includes the: - number of car parking spaces available to be used by employees; - number of business days; and - daily value of the car parking spaces. ... See more
Further STP developments: In an indication of the far-reaching changes that Single Touch Payroll ('STP') will be bringing, Treasury has recently finished consulting on draft legislation that expands the data that may be collected through STP by the ATO (as announced in the 2019/20 Budget). The legislation, if enacted, will broaden the amounts that employers can voluntarily report under the STP rules, to include employer withholding of child support deductions from salary or wages and child support garnishee amounts from salary or wages that are paid to the Child Support Registrar. Amendments will also be made to ensure that if employers choose to report under STP to the Commissioner of Taxation, they do not also have to report the amounts to the Child Support Registrar. STP and employer clients: The ATO has advised that over 580,000 small employers have made the transition to STP reporting, and they are encouraging tax practitioners to help any clients who have yet to engage with STP reporting make the transition now. They will also send reminders to small employers who are not yet reporting through STP. So if you receive any such correspondence and/or simply want to discuss this with us, please call our office. ... See more