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ATO tax toolkit to help take the pain out small business tax returns

- July 3, 2020 2 MIN READ

The Australian Taxation Office (ATO) has released a tax time toolkit designed to help small businesses and their tax advisers make fast work of lodging their tax return.

The toolkit delivers a series of fact sheets and tips highlighting any tax implications of COVID-19 support. It aims to assist small business owners in better understanding of how to ensure they remain compliant.

ATO Assistant Commissioner Andrew Watson said the ATO appreciates that the COVID =19 pandemic has ben particularly tough on small businesses.

“Our job is to continue to support businesses who need help with their tax and super obligations, in partnership with the tax profession.”

“Many small businesses have had a really difficult few months, and we fully acknowledge this. From bushfires to floods to COVID-19, we know times are tough. Small businesses have a long to-do list, and tax obligations are just one of many items that need to be done, said Watson.

“We also know that many small businesses rely on and trust the advice of their tax professional. Whether you use a registered tax professional, or lodge your own tax return, we hope our toolkit will be helpful when the time is right to sit down and consider lodging your income tax return.”

The toolkit includes a set of fact sheets to help you understand a range of tax time topics, including:

  • home-based business expenses – if as a business owner, you’re claiming deductions for the costs of using your home as your main place of business.
  • pausing or permanently closing your business – if you’ve had to pause or permanently close your business due to COVID-19.
  • motor vehicle expenses – if you’re claiming a deduction for motor vehicle expenses for your business.
  • travel expenses – if you’re claiming a deduction for expenses you incur when travelling for your business.
  • using your company’s money or assets – if you’re a director or shareholder of a company that operates a small business, and you take money out of your company or use its assets.

“Don’t forget, it’s best to ask for help with your tax if you need it. And it’s never too late to speak with us or a registered tax professional if you aren’t sure about something or need a helping hand,” Wtason concluded.

The tax time 2020 toolkit for small business is available at ato.gov.au/SBtaxtimetoolkit

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