The Australian Tax Office recently announced a Small Business Lodgement Amnesty Program to allow businesses to bring outstanding tax returns and business activity statements up-to-date.
It applies to tax obligations, including income tax and business activity statements, that were originally due from 1 December 2019 and 28 February 2022.
To be eligible for the amnesty businesses must meet the following criteria:
The amnesty doesn’t apply to privately owned groups, or individuals controlling more than $5 million of net wealth.
If those returns are lodged between 1 June 2023 and 31 December 2023, any failure to lodge a penalty applying to the late lodgement will be automatically remitted. No action is required to request a remission. However, general interest charges will continue to apply.
In most cases businesses will be able to set up a payment plan online – the ATO’s self-serve payment plan option is available for debts up to $100,000.
It’s important to get back on track with your lodgements. This will help you understand your net tax position. If you end up with a debt and you need help, contact us early so we can find the best solution for you.
If you have outstanding lodgements because you are no longer operating a business, it’s important to lodge your obligations, and then cancel your ABN and any tax registrations such as GST.