Every year, the commissioner releases the ATO’s business compliance program. It sets out his views on the most significant compliance risk areas.
Superannuation Guarantee Obligations
ATO’s concerned is that many employers haven’t been paying their SGC obligations. As an employer, you can make sure you pay the SGC on time. Otherwise, you will need to send the money to ATO and it will no longer be tax deductible.
[ctt template=”7″ link=”2cDXf” via=”no” ]As an employer, you can make sure you pay the SGC on time. [/ctt]
Small Business Benchmarks / Cash Economy
People often ask me, “How does the ATO determine who will be audited and who will be left alone?” This year, the ATO will continue to increase its focus on businesses, under-reporting their cash income by targeting those who operate outside the small business benchmarks for their industry.
Have a look at the benchmarks to see if they apply to your business. Generally, if you fall outside these parameters you could be in the gun for an audit.
Are you a Director
There were changes made to the director penalty notices, which means, as a director you could be personally liable for super and tax obligations.
In the past, some companies had debts to the ATO. In some of those cases, the directors, if served with a DPN, closed the company and walked away without having to pay anything.
If you are a director and the company has not paid superannuation and tax obligations you could be caught. There are some things you can do to protect yourself, make sure you discuss with your accountant.
Remember, keep your records up to date and make sure you lodge all your documents on time.
If you have any further question about your tax and accounting, the specialists at Shuriken Consulting are happy to assist you. Get in touch with our team of experts here.