Australian Tax Office News

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An email bulletin for tax professionals
Issue 43/10
3 November 2010

New SMSF member verification system

The new self-managed super fund (SMSF) member verification system is now available and provides you with greater transparency for rollovers from Australian Prudential Regulation Authority (APRA)-regulated super funds into SMSFs.

APRA-regulated super funds and their administrators are able to complete online searches to confirm whether individuals are members of nominated SMSFs as part of the rollover process.

It is important to ensure that your client’s SMSF membership details are recorded correctly with us, so the new system can match clients and confirm membership.

To find out how or for more information, refer to New SMSF member verification system.

Lodgment of business activity statements

We will soon be contacting a number of registered agents about clients that may have outstanding business activity statement/s (BAS). We plan to contact both tax agents and BAS agents where our records indicate their clients have at least one BAS outstanding and request lodgment.

When we make contact, we may need to discuss multiple clients listed against your registered agent number.

To assist us to avoid unnecessary contact, we recommend that you ensure that your client lists are updated.
Leading for all Australians
Speech by Michael D’Ascenzo, Commissioner of Taxation and Chair of the PSMP Board at the Public Sector Management Program (PSMP) ACT Graduation, Canberra on 28 October 2010.

It’s only natural
Speech by the Commissioner of Taxation, Michael D’Ascenzo AO to the New Zealand Institute of Chartered Accountants Tax Conference, Auckland on 30 October 2010.

Message from the Commissioner of Taxation
Broadcast sent on 29 October 2010 thanking tax agents for their assistance during tax time.

Commissioner of Taxation Annual Report 2009-10
This annual report details the performance of the (ATO over the 2009-10 period (NAT 0995-10.2010).

Keydates for registered agents – November
November key dates for registered agents.

Foreign exchange rates
List of daily, monthly and annual foreign exchange rates.

Legal Database updates
The latest updates to the Legal Database.

About the cash economy
The cash economy reduces the amount of money available to fund community services such as health, education and other government programs. We use a range of increasingly sophisticated strategies to identify businesses that may be participating in the cash economy.

Evading tax and super laws by using unrelated trusts
The arrangement outlined in Taxpayer Alert 2010/5 is where a self-managed super fund (SMSF) invests funds in an unrelated trust. The trust then on lends the funds to an SMSF member or relative of the member.

Special disability trusts
Instructions for trusts and beneficiaries on how to lodge their 2010 income tax returns.

International dealings schedule – financial services 2011 (draft)
Draft International dealings schedule – financial services (NAT 73345-10.2010), to be completed by large financial service providers (excluding super funds).

ATO Update – reposted by andre di cioccio

PAYG instalments – making annual elections online Did you know annual pay as you go (PAYG) instalment elections can be submitted electronically? This means no more waiting on the phone! You can: access an e-form on our website by searching ’3133′ submit requests for up to 20 clients at once partially complete the form and submit it later (but before the due date for elections). The e-form will: generate a receipt number followed by an email confirmation within 48 hours of transmission issue a confirmation letter to the client’s postal address when the form is processed. For more information about PAYG instalment elections via e-form, refer to Choosing to pay an annual pay as you go (PAYG) instalment. PAYG instalments – discussions with selected tax professionals and business operators During October 2010, we will be contacting selected tax professionals and business operators in the $2 million to $100 million annual turnover range, to discuss instances where the amount of PAYG instalment received for the quarter under review, is significantly different to the amount of PAYG instalment received in a previous quarter. Businesses should review their PAYG instalment rate each quarter to ensure they are not paying more than is necessary. For more information, refer to How to vary pay as you go (PAYG) instalments. Lodgment deferrals for quarterly BAS – do you lodge electronically? Did you know that if you lodge your clients’ quarterly business activity statements (BAS) electronically, you get a four week electronic lodgment and payment concession? Quarterly BAS lodged electronically have a lodgment and payment concession of four weeks for quarters 1, 3 and 4 and have until 28 February for quarter 2 lodgments. This means that if you lodge electronically, the quarter 1 BAS is due for lodgment and payment by 25 November 2010. If you are experiencing hardship and need further time to lodge, you need to apply for a deferral. For more information, refer to Lodgment Program 2010-11 – details of the program – Activity statements. Progress report 9 – income tax returns since 1 July 2010 Since 1 July we have received 7.28 million returns and have issued refunds worth nearly $15.15 billion. The ATO’s regulation of SMSFs – the compliance program, specific risks and other areas of focus Address by Neil Olesen, Deputy Commissioner of Taxation, to the ICAA SMSF Conference in Sydney on 23 September 2010. Super funds and taxation: working together for effective compliance Address by Stuart Forsyth, Assistant Commissioner Superannuation, in Brisbane on 15 September and in Melbourne on 17 September 2010. Tax help for small business in Bundaberg and Hervey Bay regions in Queensland and Yarra City Council Victoria during October 2010 We invite small business operators to attend free one-on-one information sessions to help them stay on track with their tax and super obligations. Bookings are essential. System maintenance and issues This page contains scheduled downtime and details of issues currently affecting our online services. Keydates for registered agents – September September key dates for registered agents. Foreign exchange rates List of daily, monthly and annual foreign exchange rates. Legal Database updates The latest updates to the Legal Database. ATO data match to identify people avoiding tax obligations We continue to identify people who deliberately under report income or participate in the cash economy to hide income and evade their tax obligations. Excess contributions tax – applying to have your contributions disregarded or reallocated Information about applying to have contributions disregarded or reallocated. SuperUpdate September to November 2010 SuperUpdate provides news and information for those working in the superannuation industry. Non-Profit News Service No. 0299 – Senate Economics Legislation Committee releases report on public benefit test The Senate Economics Legislation Committee has released its report on Tax Laws Amendment (Public Benefit Test) Bill 2010.