From the 2013 year, all refunds for individual tax returns were deposited directly into the taxpayers bank account.
The ATO has announced that from the 2014 year, direct deposit of refunds will be expended to include:
• Individual income tax returns
• Company income tax returns
• Trust income tax returns
• Self-managed super fund annual returns
• Fringe benefits tax returns
Therefore, these entities will also need to provide their bank account details when returns are lodged.
We are seeing increasing activity from the Taxation Office around clients who are consistently late in lodging their quarterly business activity statements and their annual taxation returns.
The tax office is adopting the approach with clients that are tardy in the area of meeting their lodgement deadlines that there is an increased possibility they are not maintaining proper records or being truthful in their disclosure to the authorities.
Therefore, we urge all clients to meet their lodgement deadlines meticulously if they wish to remain above scrutiny from the tax office.
If you require advice regarding the timeframes you need to meet, or you require assistance in improving your bookkeeping arrangements so that you can meet your reporting obligations, please contact our office on 07 5482 2855 and we will readily assist.
Where motor vehicle expenses are being claimed, one method supporting a claim to the Tax Office is to complete a log book. The log book contains details of the business use over a period of at least 12 consecutive weeks. The 12 week period will represent the whole year's business travel.
Once you have completed a log book we can use the business percentage for 5 years at which time a new log book must be completed. If you are unsure if your log book is current or compliant you can send it into our office and we will review it for you to make sure it meets Taxation Office requirements.
If you have not kept a compliant log book in the past 5 years, please contact us and we will send you a new log book in the mail.
To be an effective log book that meets strict Taxation Office requirements, the log book must contain:
1. The date of the business trip commences and the opening odometer reading.
2. The date the business trip concludes and the closing odometer reading.
3. The number of business kilometres travelled in the business trip.
4. Purpose of journey (do not just say "work"). eg. client meeting, seminar attendance, property inspection.
5. Records must show the make, model and registration number of the car.
6. You must record the 30 June odometer reading every year. This does not have to be documented in the log book.
Complete the log book as above at least every five years, provide it to our office and pass the ATO inspections. Sometimes completing the log book is an inconvenience however, having an up to date log book could save you in tax if kept up to date.
If you have any questions regarding the vehicle log book please feel free to contact our office on 07 54822855 or firstname.lastname@example.org