{"id":3935,"date":"2025-06-06T16:01:35","date_gmt":"2025-06-06T06:01:35","guid":{"rendered":"https:\/\/wiselinkaccountants.com.au\/?p=3935"},"modified":"2025-06-06T16:01:37","modified_gmt":"2025-06-06T06:01:37","slug":"ato-compliance-updates-for-business-and-individuals","status":"publish","type":"post","link":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/ato-compliance-updates-for-business-and-individuals\/","title":{"rendered":"ATO Compliance Updates for Business and Individuals"},"content":{"rendered":"\n<p>As the end of financial year approaches, the Australian Taxation Office (ATO) has released several important updates and reminders relevant to individuals, small business owners, and ride-sourcing service providers. This month\u2019s key developments include clarification on deduction rules, compliance obligations, asset write-off measures, and superannuation preservation age. Below is a summary of the most critical points.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>ATO Denies \u201cWild\u201d Work-Related Deduction Claims<\/strong><\/h2>\n\n\n\n<p>The ATO has highlighted a number of unreasonable tax deduction claims submitted by individuals attempting to categorise personal purchases as work-related expenses. Examples include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>A mechanic who tried to claim an air fryer, microwave, two vacuum cleaners, a television, and gaming equipment as work-related tools<\/li>\n\n\n\n<li>A truck driver who claimed swimwear expenses used during rest stops<\/li>\n\n\n\n<li>A fashion industry manager who attempted to deduct over $10,000 in luxury-brand clothing and accessories<\/li>\n<\/ul>\n\n\n\n<p>All of these claims were rejected, as they relate to personal use rather than genuine work-related expenses. The ATO reiterates that taxpayers must ensure any claim is directly tied to income generation, and must retain supporting records.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>$20,000 Instant Asset Write-Off for 2024\/25<\/strong><\/h2>\n\n\n\n<p>Small businesses with an aggregated annual turnover of less than $10 million and using the simplified depreciation rules are eligible to immediately deduct the full cost of qualifying business assets valued under $20,000. Key points include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Applies to assets first used or installed between 1 July 2024 and 30 June 2025<\/li>\n\n\n\n<li>Available for both new and second-hand assets<\/li>\n\n\n\n<li>Improvement costs to previously deducted assets (within the same threshold and timeframe) are also deductible<\/li>\n\n\n\n<li>The $20,000 limit applies per asset, allowing businesses to claim multiple deductions if each asset is below the threshold<\/li>\n<\/ul>\n\n\n\n<p>This measure is intended to boost small business cash flow and simplify capital expenditure reporting. Businesses must ensure they retain evidence of purchase and allocate deductions only to the business-use portion of the asset.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>GST Obligations for Ride-Sourcing and Transport Providers<\/strong><\/h2>\n\n\n\n<p>The ATO reminds all providers of taxi, limousine, and ride-sourcing services (such as Uber or DiDi) that GST registration is mandatory, regardless of their turnover. Operators in this sector must:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Register for GST, obtain an ABN, and report all ride-related income<\/li>\n\n\n\n<li>Charge GST on all fares and lodge BAS statements as required<\/li>\n\n\n\n<li>Include this income in their annual tax return<\/li>\n\n\n\n<li>Amend previous returns if past income has not been correctly reported<\/li>\n<\/ul>\n\n\n\n<p>Non-compliance may result in penalties and general interest charges.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Key Reminders for New Business Owners<\/strong><\/h2>\n\n\n\n<p>The ATO has released a \u201ctop 7\u201d checklist for those establishing a business:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Use digital tools and keep accurate records<\/li>\n\n\n\n<li>Register for an ABN and business name as required<\/li>\n\n\n\n<li>Only claim tax deductions for business-related expenses (with proper records)<\/li>\n\n\n\n<li>Choose a business structure that matches operational and compliance needs<\/li>\n\n\n\n<li>Understand employer responsibilities, including superannuation and STP reporting<\/li>\n\n\n\n<li>Lodge and pay taxes on time, and consider PAYG instalments<\/li>\n\n\n\n<li>Maintain compliance to avoid penalties and build financial resilience<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Superannuation Preservation Age: No Change<\/strong><\/h2>\n\n\n\n<p>In response to a rise in misinformation online, the ATO has clarified that the superannuation preservation age remains unchanged. For individuals born on or after 1 July 1964, the earliest age at which they can access super is still 60.<\/p>\n\n\n\n<p>The ATO urges the public to verify any changes with trusted official sources and to consult qualified professionals before acting on online information.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Partial Tax Debt Relief for Serious Hardship<\/strong><\/h2>\n\n\n\n<p>In a recent decision by the Administrative Review Tribunal (ART), a taxpayer with over $528,000 in accumulated tax debt was granted partial relief on the grounds of serious financial hardship. The debt had arisen largely from assessable income protection payments received following a workplace injury. Despite a poor compliance history, the taxpayer\u2019s financial circumstances, health condition, and lack of repayment capacity were sufficient grounds to reduce the liability to $250,000.<\/p>\n\n\n\n<p>This case highlights the importance of seeking timely professional support in managing unresolved tax liabilities.<\/p>\n\n\n\n<p>Ref: ATO website<\/p>\n\n\n\n<p><em>Please contact Wiselink Accountants if you require<\/em> further information<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As the end of financial year approaches, the Australian Taxation Office (ATO) has released several important updates and [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":3937,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[61,121],"tags":[66,63,85,84,70,64,93],"class_list":["post-3935","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-english-post","category-practice-update","tag-accountants","tag-ato","tag-business-gst","tag-business-tax","tag-small-business","tag-tax","tag-tax-accountant"],"_links":{"self":[{"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/posts\/3935","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/comments?post=3935"}],"version-history":[{"count":1,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/posts\/3935\/revisions"}],"predecessor-version":[{"id":3936,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/posts\/3935\/revisions\/3936"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/media\/3937"}],"wp:attachment":[{"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/media?parent=3935"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/categories?post=3935"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wiselinkaccountants.com.au\/zh-hans\/wp-json\/wp\/v2\/tags?post=3935"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}