Lodgment program 2010-11 - managing your lodgment program

When further returns are not necessary the income tax role will be end dated under the integrated core processing system

There are numerous reasons why a client does not need to lodge an income tax return for all future years. For example, it may be appropriate to end date an income tax role for:

• individuals who are deceased
• individuals who have derived income below the relevant threshold and will remain at this level in future years
• individuals who have retired and whose continuing sole source of income is a full government pension
• non-individuals that cease operations before the current year of lodgment - for example, a company that was deregistered in December 2007.

You can use ELS and the Tax Agent Portal to advise us that an income tax return is not required to be lodged for current or prior years. You can also advise for further returns not required, except for super funds. To lodge these use the ELS CU transaction form or the 'Lodgment status - income tax' function in the Tax Agent Portal.

Each year, we receive data from Centrelink, the Department of Veterans' Affairs and other external sources, including financial institutions. This data is matched with taxpayers' individual records to identify those who may not need to lodge an income tax return for that year. Should your client meet these requirements, a 'not necessary' will be placed against the client's record for the current year.

You cannot lodge a return not necessary form through the portal if a lodgment demand has been issued by the ATO. A non-lodgment advice indicating the reasons why a return is not required must be submitted by mail to:

Australian Taxation Office
PO Box 327
ALBURY  NSW  2640

For the 2010 year, taxpayers are required to lodge if they were either a liable parent or a recipient parent under a child support assessment, unless they received government benefits for the whole of the financial year and their income was less than $19,618.

Fringe benefits tax returns

To advise the ATO that a fringe benefits tax (FBT) return does not need to be lodged, download and print a Notice of non-lodgment of fringe benefits tax, complete it and send it to the address listed on the form. You cannot use this form if there is a credit on your client's FBT account, or FBT instalments have been paid. In these circumstances, lodgment of a 'nil' FBT return will allow the credit to be refunded to your client as quickly as possible.

Sections within When lodgment is not required

• When further returns are not necessary the income tax role will be end dated under the integrated core processing system
• Tax agent personal lodgment