Pre-filling 2008
Pre-filling 2008
The pre-filling service expanded in 2008 to provide even greater assistance to you as you complete your client's tax return. The enhancements were:
- The Pre-filling report 2008 can now be requested in two ways on the Tax Agent Portal via
- 'Reports' in the left navigation menu (existing method)
- 'Client reports' under 'Your clients' in the left navigation menu. Using this method, you will only see the details for the client whose record you are looking at.
- You can now request Medicare levy related items.
- You may now have the option to import the Report into your tax agent's software in an XML format (conditions apply).
- More data information is provided to help you.
- The portal's 'Help' function will provide you with more guidance.
- The multi tax file number (TFN) function that allows you to enter up to five client TFNs and Medicare card details at the same time.
|
For further information about pre-filling in other income years, select:
|
The following table outlines the availability of information in the Pre-filling report 2008.
Taxpayer personal details
The Pre-filling report 2008 will display more of your client's personal details. The following information will come from our records:
- name
- postal and residential address
- phone number
- date of birth.
Important information
The Pre-filling report 2008 may display messages indicating:
- details of a rental property that was sold or transferred and may be subject to capital gains tax
- an investment may be affected by a class ruling and subject to capital gains
- your client has a repayable balance for higher education loan schemes (HELS) and Student Financial Supplement Scheme (SFSS)
- source of income declared in the 2007 income tax return may need to be reported again, for example
- dividend income
- partnership and trust income
- personal services income
- net income or loss from a business
- foreign entities
- foreign source income
- rental income (conditions apply*).
* A rental income message appears if your client had rental income but no capital gains tax in 2007. The message does not appear if your client had rental income and some capital gains in 2007.
We did not want to display this message for taxpayers who were compliant in 2007 if they had part year rental income and declared the disposal of the rental property.
It is acknowledged that the capital gains reported in 2007 could have been due to the disposal of another asset, such as shares, however the messages are intended as prompts only and you should always check your client's records.
PAYG payment summaries
The Pre-filling report 2008 will display information from all original and amended PAYG payment summaries that have been lodged electronically.
PAYG payment summary - individual non-business
The Pre-filling report 2008 will display details for:
- item 1 - Salary or wages
- item 2 - Allowances, earnings, tips, director's fees
- item 3 - Employer lump sum payments
- item 5 - Australian Government allowances and payments
- item 10 - Total reportable fringe benefits amounts
- item 24 - Other income
- occupation code (as shown on their 2007 income tax return).
PAYG payment summary - employment termination payment
The Pre-filling report 2008 will display details for item 4 - Employment termination payments.
PAYG payment summary - superannuation income stream
The Pre-filling report 2008 will display details for:
- item 7 - Australian annuities and superannuation income streams
- item T4 - Tax offsets, Australian superannuation income stream.
PAYG payment summary - superannuation lump sum
The Pre-filling report 2008 will display details for item 8 - Australian superannuation lump sum payments.
PAYG payment summary - personal services attributed income
The Pre-filling report 2008 will display details for item 9 - Attributed personal services income.
PAYG payment summary - voluntary agreement, and PAYG payment summary - labour hire and other specified payments
The Pre-filling report 2008 will display details from these payment summaries but will not indicate the item they are to be reported against.
Government payments
The Pre-filling report 2008 will display information that can be used to complete the following items in your client's tax return:
- item 5 - Australian Government allowances and payments
- item 6 - Australian Government pensions and allowances.
You will be able to view:
- taxable payments, including pensions and allowances
- tax exempt payments that can be used to calculate some tax offsets.
Information will be supplied from the following agencies:
- Centrelink
- Department of Veterans' Affairs
- Department of Education, Employment and Workplace Relations (formerly Department of Education, Science and Training and Department of Employer and Workplace Relations).
|
For information about the tax treatment of equine influenza payments made by Centrelink, see Known issues.
|
Interest income
The Pre-filling report 2008 will display details for item 11 - Gross interest.
A large number of financial institutions will provide interest income details. This will include original information and amendments as they occur. You will be able to view details of:
- a list of interest bearing accounts, including savings accounts and term deposits
- sole and joint accounts (as an individual), for example
- husband and wife joint accounts will be displayed
- business partnership accounts will not be displayed
- interest income details from fixed interest securities.
|
ATO interest amounts have been removed from the Pre-filling report 2008 because they were not accurate. For more information, see Known issues.
|
Dividend income
The Pre-filling report 2008 will display details for item 12 - Dividends.
Dividend income details from most listed public corporations will be provided. You will be able to view details of:
- investment accounts that are Issuer or Clearing House Electronic Subregister System (CHESS) sponsored
- sole and joint accounts (as an individual), for example
- husband and wife joint accounts will be displayed
- business partnership accounts will not be displayed.
Managed funds distributions
The Pre-filling report 2008 will display details for:
- item 13 - Partnerships and trusts
- item 18 - Capital gains
- item 20 - Foreign source income.
A large number of managed funds will provide distribution income details. You will be able to view details of:
- a list of managed fund accounts
- sole and joint investments (as an individual), for example
- husband and wife joint investments will be displayed
- business partnership investments will not be displayed
- net capital losses carried forward - as declared on their 2007 tax return.
|
We are aware of discrepancies with managed fund data. For more information, see Known issues.
Use your client's distribution statements to complete other details, such as national rental affordability tax offset, capital gains, capital losses and foreign loss quarantining
|
Deductions
Where the total deduction declared for items D1 to D15 was less than $300, the Pre-filling report 2008 will show details from your client's 2007 income tax return, for example, from:
- item D3 - Work-related clothing, laundry and dry-cleaning expenses
- item D5 - Other work related expenses
- item D8 - Gifts or donations.
|
ATO interest amounts have been removed from the Pre-filling report 2008 because they were not accurate. For more information, see Known issues.
|
Family tax benefit claim status
This information is provided by the Family Assistance Office (FAO). One of the following messages will display:
- 'your client or their partner has claimed family tax benefit from the FAO for the full financial year and that means they cannot claim it through the tax system'
This message is applicable for clients who elected to receive their payment as ongoing fortnightly payments. It is also applicable for those who elected to receive a lump sum payment through the FAO after lodgment of their own and their partner's tax returns. Your client will need to confirm the option they chose
- 'no details are recorded' and that means either of the following
- your client or partner may have a part-year entitlement to family tax benefit
- the information supplied by FAO could not be accurately matched.
|
You are still able to access the 2008 information; however you will not be able to lodge a claim with us.
From 1 July 2009, claims for family tax benefit can no longer be accepted by us. To claim family tax benefit, you need to apply to the FAO by lodging online at www.familyassist.gov.au
|
Baby bonus
The Pre-filling report 2008 will display details from your client's 2007 tax return for item T6 - Ongoing baby bonus claim.
You will be able to view details of the:
- number of eligible days
- claim type
- base year
- base year taxable income and gross tax on base year taxable income
- child's name and event date.
Medicare details
|
The Medicare benefit tax statement data in the Pre-filling report 2009 is no longer available. This is because Medicare Australia can only provide information to us for the current year.
Your client can register to receive their Medicare benefit tax statement:
- through the online services section of the Human Services website -for further information, visit www.humanservices.gov.au
- by phoning Medicare Australia on 13 20 11
- by visiting their nearest Medicare Australia office.
Remember, you will still need to include additional medical expenses your client may have incurred that are not reported to, or claimable through, Medicare Australia.
|
Private health insurance
|
Due to problems with the private health insurance information, this service has been turned off. You will need to check the statement provided to your client by their health insurance provider for details.
|
Known issues 2008
If you have noticed instances where the interest from non-formal trust accounts, such as children's bank accounts, are being matched to the trustee (parent), the following information may help you.
How it occurs
Non-formal trust accounts with entity type 'I' (for individuals) are included for the pre-filling service. Regardless of whether the parent TFN is attached to the account or not, if the parent name forms part of the account name, the record may be matched to the parent name. The provision of this income allows you to work out if the income needs to be declared in the income tax return.
What we are doing
For discrepancy matching purposes, non-formal trust accounts with the following words are excluded:
- '<Trustee name> ATF <beneficiary name>' if single trustee
- '<Trustee name and Trustee name> ITF <beneficiary name>' where multiple trustees.
Therefore no letters should issue to trustees of children's bank accounts where these names are used. We understand there may be occasions where some of these accounts may be identified through discrepancy matching processes, but these instances should be very limited. Where this occurs there are procedures and guidelines in place to help staff in correctly finalising these cases.
Refer to the following information if your client's pre-filling report is showing an amount of investment income that belongs to a linked non-individual entity of the client - for example, a super or trust fund.
How it occurs
This normally occurs if the investment account of the entity has been established incorrectly. The interest or dividend income from these accounts will be incorrectly mapped to the individual client's record in our systems if their linked entity account has been established with either of the following:
- the individuals personal TFN quoted
- an entity type 'I', for an individual account.
What you should do
To prevent these records showing on future reports, you should ask your client to contact the financial institution to ensure that the correct:
- TFN is quoted on the account
- entity type is listed on the account; for example, the correct entity type for a formal trust account is 'T' and for super accounts is 'S'.
This will not change what appears in the report unless the information provider sends us replacement information.
ATO interest amounts are no longer displayed in the Pre-filling report 2008 because they were not accurate.
In the 2008 and 2009 reports, ATO interest was a static component with the data extracted only once, around 14 July, after the end of the relevant financial year. This meant that if an activity statement was amended or lodged after that date, the pre-filling report would not include any adjustments made to the interest charges or remissions and was different to the 'Year to date interest summary report'.
What you should do
You can access information about your client's ATO interest for the 2008 year via the 'Client accounts' option in the portal.
Use the following information if the pre-filling report appears to be showing duplicate payment summaries.
How it occurs
This usually occurs when an employer has lodged an amended or subsequent payment summary but not indicated so. When this happens, the amendment is processed in our system as another original payment summary. This means both the original and amended payment summaries appear.
If lodged correctly, the amended payment summary will either:
- replace the original payment summary on the pre-filling report
- be displayed as an amended payment summary on the pre-filling report - this occurs where an amended payment summary is lodged on paper and the original payment summary was lodged electronically.
The correct action for employers to take when lodging amended payment summaries:
- in paper is to place an 'X' in the amendment box near the top of the form
- electronically is to place an 'A' in the amendment indicator field within the electronic report.
What you should do
If you have referred back to the payment summaries your client has received from their employer and you are still unsure which is the correct one, your client will need to check with their employer.
Use the following information if your client has an amount of Equine Influenza Business Assistance Grant payment on their pre-filling report.
Background
During the 2008 income year, Centrelink paid Equine Influenza Business Assistance Grants to businesses, that were adversely affected by the equine influenza outbreak. The payments are assessable income.
While a company, partnership or trust applied for each grant, the Centrelink reporting system cannot record payments to a business entity. This means, the Centrelink payment summary reported the payment as being made to an individual connected with that business entity rather than the entity itself.
For the period 1 July to 30 July 2008, these payments were incorrectly identified in the pre-filling report against label 5.
What you should do
If you lodged your client's return with the amount declared at label 5, you may need to contact your client about lodging an amended tax return.
From midday 30 July 2008, these payments were identified on the pre-filling report but not reported against a particular label. The following table identifies where to show these payments on your client's tax return.
If the business entity that received the payment is a:
|
Show the Equine Influenza Business Assistance Grant at:
|
Company
|
Company tax return
Item 6, Label Q - Assessable government assistance payments
|
Sole trader
|
Business and Professional Items Schedule for Individuals
Item P8, Label G - Assessable government assistance payments
|
Partnership
|
Partnership return
Item 5, Label E - Assessable government assistance payments
|
Trust
|
Trust return
Item 5, Label E - Assessable government assistance payments
|
Your clients' pre-filled managed fund data may be different to the statement they received from their managed fund.
How it occurs
Some discrepancies have been identified between the information fund administrators have sent to their clients and the information reported to us for pre-filling.
We identified a number of managed funds affected by this issue and chose to reject the data, therefore it was not pre-filled. We allowed other information to pass through for the pre-filling service because we considered it better quality. However we have since identified discrepancies with this information.
What you should do
You should use the information from your client's distribution statement if there is a discrepancy between the information shown on the Pre-filling report 2008 and their statement. Contact the managed fund if you have any questions.
Use the following information if your client started a super income stream with a taxed element before they turned 60 years of age.
How it occurs
For taxpayers aged 60 years old and over, only the amounts they received before they turned 60 years of age should be shown on their payment summary and declared in their tax return.
Some funds have incorrectly reported non-taxable amounts to us and these have then been incorrectly displayed in the 2008 pre-filling report.
What you should do
We recommend you check your client's payment summary and the information displayed in the pre-filling report to make sure that neither contains any taxed elements your clients received after they turned 60. You will need to contact the super fund to check the amount they reported for taxed element payments is correct.
If you have already lodged returns for clients and included amounts received after your clients turned 60 years of age, you may need to lodge an amended return.
We have taken action to make sure that this problem does not occur in the Pre-filling report 2009.
Discrepancies between the information sent to your clients and the information reported to us for pre-filling should be resolved with the data provider before you lodge your clients return.
If you are unable to resolve the discrepancy, you can contact us by:
- using 'Portal mail' - our preferred method of contact. To use Portal mail
- select Mail in the navigation bar on the left side of the screen
- select Income tax as the mail topic
- select Pre-filling as the heading
- phoning us on 13 72 86 Fast Key Code 2 1 4.
Provide as much detail as possible to help us investigate your issue.
Last Modified: Thursday, 14 June 2012
|